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    Edmundo Daco Jr.

    As an international student, you should be able to demonstrate the capability to pay the car loan. You either should have a job (OPT, CPT or on-campus part-time work) or a huge savings. If you have one of these or both, then the next things that you should consider are the following:

    1. Credit Score - this is one of the most important requirements when applying for a car loan. It shows how good you were in paying your past  debts and loans. Basically,  the lenders are taking the risk that you may or may not pay back when giving out a loan. By having a good credit score, you are showing the lenders that the risk is lower with you. If your credit score is bad, then make sure to improve it first. Clear off any error on your credit report (if there are any). Use your credit card and pay for the monthly bills on time. Make sure to have a good or excellent credit score before applying for a car loan.

    2. Car Type - Consider if you need a new car or a used car will do. Also, think for which purpose you are going to use the car for, and based from it, choose the appropriate vehicle. Lastly, consider your budget. Choose the car according to your financial capability.

    3. Loan Product - there are many car loan products available in the market. Car loans can have fixed rates or variable rates. They can also have different terms and requirements like a cosigner or collateral. There are also secured and unsecured loans. Some loans allow extra repayments and prepayments without fees. You need to consider them so you can choose which one is the best for you.

    4. Loan Source - choose from banks, credit unions, private lenders and car dealers. Take your time to shop around for the best car loan deal before you send out your application. Different loan sources have different promotions and discount offers. So make sure to take advantage of them.

    Once you get approved for the loan and finally have your car, just remember to pay your monthly repayments on time.

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