Guide to Loan Pre Approval…..
Getting pre approved for a loan before you commit to buying your new car, motorbike etc. is an increasingly popular way to organise your finances. But how do you organise a loan pre approval and what are the advantages of arranging your financing in advance? To help you decide whether it’s right for you here’s our complete Guide to Loan Pre Approval:
What is a Loan Pre Approval?
A loan pre approval means that you have an agreement with a lender that they will provide you with a loan for an agreed amount for an agreed purpose in advance of you making a purchase. So instead of finding a car, for example, and then seeing if you can obtain a loan for it you already have the loan facility in place before you go shopping.
Why Get Pre Approved?
There’s a number of advantages to getting your loan organised in advance. Here’s some of the main reasons why getting pre approved can benefit you:
1. Better Planning & Preparation – You have time to consider your requirements and shop around without being rushed into making a decision.
2. Effective Budgeting – You can determine your budget in advance and stick to it. By pre arranging your loan based on how much you want to spend you remove the chance of making impulse buys and spending more than you can afford.
3. Improved Negotiating Position – When your finances are already in place you put yourself in a stronger negotiating position. You’re not relying on the seller (e.g. car dealer) to organise the financing for you. Also, If they can’t get the price to fit within your pre arranged budget you walk away and shop elsewhere. It’s amazing what can happen once the seller realises that your serious about your best offer!
4. The Power of Cash – For all intents and purposes you are a cash buyer. Your money is organised and you’re ready to go. This makes you a serious buyer in the eyes of the seller. Once they know that you’re in a position to buy today the chances are you’ll get their undivided attention!
5. Quick Response – With your loan already organised you can move quickly when you find what you want, which means that you don’t lose out to another buyer due to the time that it would take to organise your finance.
6. Greater Choice – Compare a range of different banks and finance companies in advance so you can see what’s available and get the best deal for your individual circumstances.
How do you Organise a Loan Pre Approval?
These days many banks and finance companies can organise a pre approval for you if you approach them directly. However, more and more people are now working with Qualified Finance Brokers to arrange a loan pre approval. That way you can deal with an expert who searches the market for the best deals, negotiates with lenders on your behalf and handles the application process for you.
Find the Best Loan Pre Approval Deals
Using the tools and resources at LoanPlace.com.au and working with a Qualified Finance Broker can help you to find the very best Loan Pre Approval deals for your individual circumstances.
To get 3 Free Loan Pre Approval Quotes Click Here