Every year, right about this time, a concern preoccupies many ambitious young collegians: graduation.
And that concern comes with questions.
“Where will I live?”
“Where will I work?”
“How will I get back and forth between where I live and where I work?”
“How will I pay for the way that I get back and forth between where I live and where I work – and everywhere else?”
And this last question is what we’ll be covering here, because car loans for college students and graduates is a tricky subject, and the opportunities and pitfalls involved in buying a car can be tough to navigate. While this is true for everyone, it is especially so for a graduate (or person soon to graduate) with little or no credit.
Fortunately, if you are a collegian, or may be buying a car for one, then you’re already on board with the first step: educating yourself thoroughly on the subject.
Auto financing can be especially challenging, and those who succeed familiarize themselves with how it works and changes over time.
Some of the factors that play into this decision are:
- The price, age and dependability of the car you’d like to buy.
- The amount of cash you have on hand and the likelihood that you will need to get auto loan financing.
- Your credit history (get a free credit report at TransUnion, Equifax or Experian).
So here’s a quick look at some of the information that will get you rolling after graduation.
- Take a look at your credit report. Read articles on how your credit score affects creditworthiness. This will give you a picture of how lenders will see you before you approach them.
- Shop around for your car and do your homework. Dealers are a great resource for car shopping, but remember, their goal is to sell you a car, quickly if possible. That’s all. Visit more than one. Prices may or may not vary much, but focus on the type of car you’re seeking and not “the perfect car” for you. You’ll be a more educated buyer that way.
- Certain lenders specialize in offering car loans to buyers of any credit profile, even those with little or no credit history. These are sometimes called “full-spectrum lenders,” and they may or may not be associated directly with the dealership. Companies like RoadLoans even provide a loan process that can be completed in a short time, over the phone or on a website, and allow you to shop for your vehicle with financing already in place.
So start with knowledge, and get on the road.
RoadLoans offers car loans for college students so that they can shop with financing already in hand. Apply today.Written by Sonny Bynum