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Financing a Car Loan with No Down Payment in Burlington

Financing a Car Loan with No Down Payment in Burlington

Posted by on Mar 08, 2022 - Archived under Uncategorized

If you are reading this, you must be interested in buying a new vehicle; otherwise, you wouldn’t be here, right? So, our goal is to provide you with some tips on how to finance a car loan with no down payment in Burlington.

 

It’s all about the Fico or Vantage 3.0 score

 

To secure a no money down car loan, you will need a high Fico of Vantage 3.0 score; these are the scoring models that are used by Equifax and TransUnion, respectively. Lenders are looking for borrowers with a credit score of 700 or higher to get a prime interest rate car loan.

 

You can get a competitive car loan if your credit score is 600 or higher, and if your score is under 600, you are in subprime territory.

 

Subprime borrowers need to come up with a down payment and pay some of the highest interest rates in the market.

 

If your credit score is 600 or higher, you will be able to get approved for a car loan, but there is still more underwriting to be completed.

 

Do you have the funds to pay the loan as agreed?

 

This is an essential step; you could have fantastic credit, but it doesn’t mean you can afford to make the monthly payments.

 

The current underwriting requirement for a car loan is a debt-to-income threshold of 40% or lower. So, for the sake of easy illustration, if you earn $10,000 per month, the maximum amount of debt you can have is $4,000, and that includes the new car loan.

 

The average car payment can easily reach $800 a month, and that is not factoring in maintenance and insurance. So if you have a significant amount of room in your budget, it will make the entire car buying experience more pleasant for everyone involved.

 

Have you identified the make and model of the car you want to buy?

 

The world is going through a car shortage; this has impacted markets and forced prices up. However, even with high prices, there are not enough cars to meet the needs of all the buyers who want a car.

 

This means you should adjust your expectations to avoid disappointment.

 

Where to get a Car Loan with No Down Payment in Burlington

 

We hate to break it to you, but you are not going to find an outstanding car loan online. The websites that tout the best car loans are not able to access wholesale lending.

 

If you want to get the best car loans, head on down to your neighbourhood car dealership.

 

The dealership has access to wholesale lenders who are going to offer you an outstanding car loan.

 

Along with being able to get you approved for a competitive car loan, the dealership already has vehicles that you can take for a test drive right away.

 

This is why you should start contacting these dealerships right away before their inventory of cars is reduced further. You are going to be very happy you stuck with us to the end, so be sure to contact the dealership right away.

 

For those of you who know that you have a challenging credit situation, please visit Dixie Auto Loans where we have a team of credit specialists ready to help you get approved for a car loan today!

 

Click here to get approved for a car loan with no down payment in Burlington! we have a team of credit specialists ready to help you easily buy a car with low credit score, and will work with you no matter your credit score. 

 

For any questions or concerns, please don’t hesitate to contact us here! 

 

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Dixie Auto Loans