What Does Guaranteed Car Financing Mean?

Your credit score is recovering from taking a hit and you’ve been working hard to improve your credit score. What can you do if you need to purchase a new car before your credit score is high enough for your bank to approve you for a car loan? If you’re looking for guaranteed car financing near Kyle, the answer is Sterling Acura of Austin. Our finance center explains what guaranteed car finance dealers can do to help you get into a new car while rebuilding credit.

How Does Financing Work?

Auto loan financing means that a driver applies for a loan, either with our finance center or their bank. Traditional loan approval and interest rates are determined in large part by the applicant’s credit score acquired from a credit check, along with the loan amount, how long the borrower needs to pay it off, their debt-to-income ratio, and the kind of car they want to buy. If approved, the borrower will pay back the loan amount plus interest in monthly installments.

How Does Guaranteed Car Financing Compare to an Auto Loan?

What if you’re turned down for a loan because of bad credit? Guaranteed car financing doesn’t require a credit check, unlike a traditional auto loan. In-house guaranteed loan dealers in Buda use your income to determine your loan amount and interest rates. Auto loans are available for drivers with bad credit, but depending on the lender your prompt payments might not work towards improving your credit score. Also, these loans usually have a much higher interest rate.

Build Your Credit with an In-House Auto Loan

Georgetown-area drivers with reliable income deserve a reliable car and an opportunity to raise their credit scores. Here’s what you need to make guaranteed car finance work for you:

• Income of around $1,500 to $2,000 a month before taxes
• Proof of income
• A down payment of 10% of the vehicle’s price
• A personal list of references

Save Money on Your New Acura at Sterling Acura of Austin!

Once you’ve secured your guaranteed car financing, check Sterling Acura of Austin’s special offers to make your loan go further. Our finance team is here to answer any of our questions and can help get the car buying or financing process started. You can even find helpful finance features to help you explore your options like how financing works or how to trade in a financed car. Contact us today for more information and to schedule a visit to our dealership near Georgetown and Round Rock!