If you have just passed your G1 test and are impatient to taste independence, you’re not alone. We deal with many young people wanting to buy their first car. It’s as exciting for us to see you gain independence as it is for you to have it! We have prepared some tips for first time car buyers in this article.
If you don’t have the cash to buy a car outright, we can help you secure a car loan. You may have a little preparation to do first though.
Check your Credit Score
This is the first and one of the most important tips for first time car buyers. It’s also one of the first things everyone has to do when looking at car loans is to check your credit score. You can do that for free once per year and now is a good time to use that free check.
You need to know your credit score so you know how much you are likely to be able to borrow and how likely you are to be accepted for a car loan.
If you don’t have much credit history, your score may be low. Don’t worry too much about that as that’s normal for young people. You haven’t yet created a history of paying off debt because you haven’t had any.
Set a Budget
It is critical that you set a budget when shopping for your first car. The temptation to go crazy and buy something you cannot afford may be overwhelming. That’s not a good idea.
Ideally, your first car should be something ordinary. Something without too much power, that you can dent and ding without losing sleep and that is cheap and easy to maintain. It may fly in the face of what you actually want but we all have to start somewhere!
Explore the Market
Now you know how much you have to spend, you can begin researching what’s available. You may already know exactly what you need. You may not.
If you know what you want, make sure you can comfortably afford it and can find the make and model at a dealership near you.
If you don’t know what you want, it’s time to start researching. Look at online reviews, car guides, ask friends and family and explore as many cars as possible. You will very likely settle on a car eventually.
Just make sure it’s in budget!
Apply for the Car Loan
You can apply for a car loan on your own online but we would suggest working with a car loan specialist. We can help you with your application so it stands the highest chance of being accepted. We work with a range of lenders who offer great rates and can help you through the entire process.
Hopefully these tips for first time car buyers gave you a better idea of how you want to go about getting your first car.
Contact our team today for expert help with your very first car loan.