The auto loan process starts by expressing your interest to a lender, dealership or bank by visiting a show room or inquiring online. Then an agent will contact you and tell you about the requirements. The usual requirements when applying for an auto loan in the US are proof of income like pay slips and bank statements (credit cards and other existing loans will also help), proof of identity like passport and/or visa copies and driver license and proof of residence like utility bills. You will be asked for the model of vehicle that you plan to purchase. The lender or bank will then pull your credit score and check if you are creditworthy. If you applied in a dealership, they will find a good financing source for you. On the other hand, you will have to wait for the approval, if you applied with a lender or a bank. Most of the time, the credit score is a big influence in the approval decision, but you can still get your auto loan approved even with bad credit score. When this happens, you will either get a high interest rate or the lender will require you to get a co-signer.
One the loan is approved, the lender or bank will process the loan money. Once it becomes available, the lender will call you to get the check, which you can take to the dealership to pay for the loan. You on the other hand are required to make a down payment, which is usually up to 20%. After buying the car, you will then start with the monthly repayments.
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