CarHub Helps People Get Loans
Posted on May 19, 2021
Buying a new car is an interesting, exciting, challenging, and fun process. For most people, the decision to buy a new vehicle is the most exciting one that they’ll make all year, and it can have lasting effects on their happiness and well-being. It’s often a joint decision, one that can be a bonding exercise for couples that brings them over when they choose the perfect vehicle for their family together.
Car Loan Application Woes
Sometimes, new car dreams are dashed before they can even gain steam. For some unlucky people, the car loan applications that could turn their new vehicle into reality are denied. It’s tough, it’s discouraging but it’s not the end of the line for would-be new vehicle owners.
So, what should a person who finds themselves in this circumstance do? Give up the dream? Sorry, better get used to walking, maybe look into bicycles?
Hardly! At CarHub our in-house finance team works to tailor a financial plan that is right for you. We know that not everyone’s circumstances are the same, we know that sometimes timing can be all the difference in the world, and we know that there’s a finance package available for everyone.
Before we get into the details of the CarHub finance plan though, let's take a look at some of the factors that could limit your ability to create the perfect finance plan for you.
Circumstances Play a Part
We’ve processed car loans for so many people in our community that we’ve come to understand some things about the psychology of the loan application process. We know that there’s often some stigma surrounding the idea of a loan and even more surrounding a poor credit score. Mishaps happen and people make mistakes. Sometimes external factors such as layoffs, separations, or even bankruptcy can affect a person’s ability to procure a loan. There’s no shame in hitting a few bumps along the road of life and every challenge is just a new learning opportunity. At CarHub, the circumstances that led you to your credit score are your business, not ours, we’re just here to help you get out onto the road as quickly as possible.
Why Bad News Can Come Your Way
Many factors could play into a bit of bad news from your car loan application, but luckily at CarHub, we believe that challenges are meant to be solved and that every problem has a solution. Some of the issues that could arise include:
- A high debt to income ratio - In our society, most people take on debt and when they do, it may be perfectly justified. There is such a thing as ‘good debt’. Good debt is when someone takes on debt as an investment. The problem is that it is often difficult for lenders to differentiate good from bad debt on paper and it may make them shy about providing a loan to a person with a high amount of debt.
- Clerical errors - To err is human they say and sometimes something as simple as a missed step or erroneous information on a loan application can affect your loan application. This one is easily rectifiable but it can lead to some unnecessary heartache in the loan application process.
- Poor credit score - Unfortunately, it is true that if a person carries a lot of debt or makes poor debt decisions it will affect their credit score. Anything under 670 is considered a risk for lenders and it may cause them to question whether the borrower will be able to pay back their loan.
- No or limited credit history - Lenders want to make sure that a person who is borrowing from them has a history of paying their debts. That’s why they look through borrowing history to see if the borrower has traditionally been consistent in their ability to pay back their loans. If you don’t have a history to show, it’s very difficult for lenders to assess your ability to pay back a loan.
The CarHub Difference
People often enter a car dealership wary of being taken advantage of. This is not entirely surprising: many car dealerships, which will go unnamed, are not fully honest and forthright about their practices.
CarHub operates under a standard of promises that guide everything that we do. The most important of these is that we maintain transparency and honesty in all of our transactions. There’s no need for concern that we have anything but your best interest in mind when we set out to create a finance plan that’s right for you.
Relationship with Lenders
CarHub is a trusted and valued member of the automotive community and as a result, we do a lot of business. Due to the volume that we do, we deal with banks a lot. The more you deal with banks, the more you’ll develop relationships with them and we have. How does this benefit you? It means that we have a large network of banks and brokerages and that we can work with to create a finance plan that suits your needs. We have a vast range in our transactions. Our deals can be anything from a few thousand dollars to up to half a million and we treat every transaction equally. We have the infrastructure, insights, and intelligence to create a finance plan that works for anyone in the market for a new vehicle.
Let Us Do the Work for You
The process couldn’t be easier on your end. Here’s the best part: we’ll get the process started for you in advance so that by the time you’re ready for your loan, the wheels are in motion. All that you have to do is send us your credit application with a scan of your I.D. And that’s it! From that point on we’ll be working for you and you’ll be well on your way to taking your new vehicle home.
Once we have everything in place, the choice is yours: would you prefer to come into the store or continue the process remotely? Our systems are set up to allow the entire process to happen via email, phone, and Zoom. We can even complete the paperwork digitally, via Docusign. So you can get your loan in place from the comfort of your home!
A Common Mistake
A common mistake, especially for people who have had ups and downs in their credit history is to withhold information about their credit score and circumstances. Rest assured, we aren’t here to judge! At CarHub, our sole purpose is to work for you, whatever your credit history may be. That means that if a potential borrower withholds information, the only outcome will be that the process is prolonged and we may be hindered in doing our job as well as we possibly can for you.
Is This the Right Time for You?
Have you come to the right time in your life to create a car loan application for a vehicle? If so, you may find that you could encounter some barriers to entry. Many people do, there’s no shame in that. Often unforeseen or even foreseen circumstances can affect a person’s ability to take the step in their life to purchase a vehicle. This can have a damaging effect on everything from that person’s ability to make a living to their general sense of well-being and happiness.
If you’ve concluded that the time is right for you to create a loan application, you can contact our team of finance experts today to get the ball rolling!