Use Your 2014 Income Tax Refund To Get Approved For a Car Loan!
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It’s that time of year again when many of us are filing our taxes in hopes of a sizable return. Now is the best time of year to apply for a car loan, especially if your credit is less than stellar. If you have bad credit, you may be able to improve your chances of getting a car loan if you expect to get a tax refund this year.
Many lenders will qualify you for a loan with a sizable down-payment. Your tax refund may be just the boost you need for this down-payment. For those with challenged credit, tax time may be the best time of the year to purchase a vehicle. However, before April 15th arrives, you should take a few steps to prepare.
Check Your Credit Report
Each of the three major credit reporting agencies provide consumers with one free credit report per year. Experian, Equifax and TransUnion have joined forces to offer the annual credit report tool, a tool consumers can use to view their three credit reports online. Though the free reporting tool will not provide you with a true FICO score, you can review your credit reports from each of the three agencies. Reports can also be mailed, if preferred.
Use the free online tool to obtain copies of your credit reports and examine the reports for errors. Report any errors to the respective agency to have the entry removed from the report. When you challenge an entry, the creditor is given 30 days to respond to the challenge. If the company fails to respond, or if they cannot provide evidence for the entry, the negative entry is removed from your report.
Resolve any outstanding credit issues, if possible. You may find accounts that you thought were paid off, but a small balance remains. Clear any open accounts with small balances, then request that the payment is reported to the credit bureau as soon as possible.
Keeping an eye on your credit report is a good idea in general, even when you are not preparing to purchase a car. Identity theft is one of the fastest growing crimes in the United States and worldwide. By checking your credit reports on a regular basis, you will be aware of any inconsistencies with your credit history.
Gather Tax Documents
As you gather your wage statements and W2s to get ready to prepare your tax return, remember that you will need these documents to apply for your car loan, too. Start a Car Loan folder to contain the documents you will need when you get ready to apply for your loan. You do not need to mail in your W2s with your tax return, so after you file your taxes, you can simply file your wage documents in the Car Loan folder. When you get ready to complete the easy online loan application, all of your documents will be in one place.
Once you have filed your taxes and you know how much your refund will be, you can then begin planning for your auto purchase. Determine how much of your refund you will dedicate to your down-payment, and then sit tight until your refund arrives.
Find Your Dream Car
When your refund arrives, you are ready to shop for your dream car. Once you have selected the car you want, complete the Valley Auto Loans online application. We will match you with a lender who offers special services for those with negative marks on their credit reports.
When you apply for an auto loan with Valley Auto Loans, you can obtain a loan for the car that you want. No need to settle for a questionable vehicle from one of the We Finance lots. Purchase your car from a new car dealership, a used car lot or an individual. Your choices are not limited to one or two selections offered to you by a tote the note salesman or dealer finance manager.
Consumers with poor credit basically have three options for auto financing. They can pay cash for the vehicle, buy a car from a We Finance lot or obtain a loan from a lender who specializes in sub-prime car loans.
If you are one of the millions of Americans who must finance their autos, you really have two choices. Finance your car at one of the Buy Here Pay Here car lots in your general area, or find a lender who makes loans to those with challenged credit.
We Finance Lots
We Finance lots are those used car lots that advertise “Your Job Is Your Credit” or “Buy Here and Pay Here.” These lots will provide cars to those consumers with extremely poor credit. However, several conditions apply. These lots will generally have just one or two cars for in-house finance customers to choose from. Your ability to pay determines which cars they will show you, and usually, you have very few options.
One of the biggest drawbacks to using a We Finance lot is that these establishments rarely report their customers’ good payment histories to the credit reporting agencies. This means that, even if you make timely payments and even pay off the car, your excellent payment history is not reported, and therefore does nothing to help you build your credit.
Valley Auto Loans
Instead of financing your next car through a We Finance lot, consider obtaining a loan with the help of Valley Auto Loans. We will match you with a lender who will finance you, even with your credit problems. Our lenders provide loans to consumers with less than perfect credit histories.
Complete our online application to be matched with loan options for your needs in just a few minutes. Once you secure your funding with one of our lenders, the company that carries your note will report your payment history to one or more of the reporting agencies, so as you make your payments on time, your build your credit rating. When you pay the loan off, the account will be included as a positive entry on your credit report.
Build your credit and get the car you really want with a loan from Valley Auto Loans. There is no better time than tax time to start preparing to finance your next car. Once you have your employment and tax information gathered, take a few minutes to fill out the application on our site. We match you with a lender who specializes in loans for those with bad credit. Our lenders are the best in the business, offering our clients the best possible interest rates.
The process is simple, and there is no need to travel from car lot to car lot. Choose the car you want, then apply for a loan from the comfort of your home.