ALL ABOUT AUTO FINANCING
What Is Auto Financing?
Bobb Says Yes! does offer Buy Here Pay Here options, but those are limited and impractical for many. That’s where auto financing comes in.
So, what exactly is auto financing? Financing a vehicle means you are borrowing money in order to purchase it. By doing so, you are entering into an agreement contract to repay the amount you have borrowed, plus interest and financing charges if they apply. This is typically done by making monthly payments. The amount of your monthly payment is determined by the total amount you are financing. This amount may be lower if you make a down payment. The monthly payment also varies depending on the annual percentage rate (APR) and the number of months you have to pay off your loan (the repayment term).
Banks determine who gets financed, and they also set your interest rate based on your application information. It’s all done through a formula that we help put together, so while it’s ultimately the bank’s decision, we fight for you. We have relationships with national and local banks and auto lenders, and we offer a variety of financing services from our single location, so there’s no need to shop. Your preferred bank or credit union may also offer options for purchasing a vehicle. If you prefer to pay for your vehicle with cash or a credit card through Buy Here Pay Here, contact us for more information.
Good Credit vs. Bad Credit. What’s the Deal?
Credit can be confusing, so let’s make it simple. There are many types of credit scores, but the most commonly used ones when assessing a loan applicant are FICO and VantageScore. Credit scores range from 300 to 850, and they are used to determine the lending risk, such as when financing a vehicle. The typical scale for all types of credit generally works like this
CREDIT SCORE CHART