Consumer Portfolio Services have been providing auto financing for over 25 years, becoming a leader in the industry. While car financing can be difficult to understand, this guide will answer all your questions about what it takes to secure a loan from CPS.
What is Auto Financing?
Auto financing is the process of borrowing money from a lender, such as Consumer Portfolio Services, to purchase a vehicle. The borrowing party will then make monthly payments, including interest, until the loan is paid off in full. This type of loan is typically secured by the vehicle itself and may require a down payment.
Why Do People Use Auto Financing?
For those looking to purchase a new or used vehicle, seeking out an auto loan could be their best bet. Unlike purchasing with cash, which can require a lot of savings, a loan allows you to spread out the cost over several months. In addition to convenience, many lenders like CPS also offer competitive rates and terms so you’re getting the most bang for your buck.
Who Qualifies for Auto Financing?
When applying for a loan at Consumer Portfolio Services, the lender will review your credit history, employment status, and income. Generally speaking, those with good credit, steady income, and a reliable job are more likely to be approved for the loan amount desired. However, even those with unfavorable credit can apply if they submit additional forms of documentation showing proof of income.
Things to Consider Before Applying for Auto Financing
Before taking out an auto loan, make sure to do some research. Understand how much you can realistically afford each month when factoring in other financial obligations you have. Additionally, shop around for competitive rates and terms to get the best deal possible. This step is especially important for buyers with a limited budget but still want to find quality vehicles.
Important Documents Needed for Auto Financing
Generally speaking, any document that verifies your identity and financial information is necessary when applying for auto financing. Examples include copies of your driver’s license and Social Security number, paycheck stubs, bank account information, and tax documents. Be sure to provide all the requested documents in order to expedite the approval process.
How Long Does It Take to Get Approved for Auto Financing?
Most loan applications take anywhere from 24-48 hours to process. This time window can be extended depending on the complexity of the loan, or if there is an extensive amount of paperwork needed for verification purposes. Make sure to discuss the approval timeframe with Consumer Portfolio Services prior to submitting your application.
The Benefits of Auto Financing with Consumer Portfolio Services
When it comes to auto financing, Consumer Portfolio Services (CPS) offers customers a wide range of benefits. For starters, they have some of the lowest interest rates in the industry, making it easy to pay back the loan without straining the monthly budget. They also work with qualified buyers who have less than perfect credit, giving them the same chance of obtaining financing as someone with excellent credit. Furthermore, CPS stands out because they offer quick turnaround times with no hidden fees or surprises.
For those looking to finance a vehicle purchase, Consumer Portfolio Services provides an excellent opportunity to obtain an auto loan quickly, with little effort, and at competitive rates. Understanding the different aspects of auto financing can help buyers make the right decisions when it comes to their next vehicle purchase.