Auto Loans
If you want your car immediately and for a long time – take it for cash or on credit. Then travel all over America without worrying for miles. And when you get tired of the car, sell and buy another one.
Buy a car for cash
You can buy both a new and a used car for cash. Take a used car older than three years – it’s inexpensive. In the future, such a car will lose less in price.
Used cars are found in showrooms or by hand-held ads. Private traders are cheaper, but be careful: there is a risk of running into scammers.
The most profitable option is auctions. You can buy a car there for only $ 1,500-3,000. It may have damage that can be easily repaired. The small dent is pulled out with a suction cup, and the scratch is retouched with a $ 10 car pencil.
You will find some auto brands 8 times cheaper than the market value.
There are cars at risk. For example, “drowned” – a car with water damage. This does not always mean that the car was drowned in the Hudson. Perhaps the previous owner simply forgot to close the hatch and rain flooded the interior. Even a car, on which a branch fell or a very heavy cat jumped, is considered a damaged. You already know what to do with a small dent.
If you buy a used car in the salon, check it using the Carfax system. There is the whole history of cars: owners, accidents, documents.
Pros
- Do not overpay interest on a loan or lease;
- You can bargain;
- Do not contact banks;
- You can sell a car at any time.
Cons
- The risk of running into scammers;
- You need the whole amount in cash at once.
What you need to buy a car for cash?
You give the money and in return you receive a title certificate. Keep in mind that not all merchants prefer large cache amounts. If the car costs over $ 10,000, an SSN will come in handy.
The car may have a flat battery or a flat tire. Therefore, before buying, check if you need a tow truck to take the car to the parking lot. You will not be able to leave immediately, even if there is no insurance and technical inspection – for this you can run into a severe fine.
After the transaction, you register the car and take out insurance. Registration requirements vary from state to state, check your state’s Department of Motor Vehicle website.
Autoloan
If you don’t have enough cash, try buying a car on credit. In California, you will get it right in the salon. Some other states will require insurance and license plates before registration. Check the loan terms in the state where you are going to buy the car.
Interest rates in America are much lower than in the CIS countries. No credit is given if the Credit Score is below about 630, which is considered bad.
To start your credit history, you need to get an SSN and get yourself a loan or credit card from an American bank. If you don’t have an SSN yet, you can start preparing your credit history with a secure credit card.
On the websites of US banks, you can calculate the interest on the loan and monthly payments.
The bank needs to show that you are a good borrower: you legally live and work in the United States, pay taxes, repay loans on time. Not only the approval of the loan depends on this, but also its rate. The higher the Credit Score, the lower the rate.
Pros
- Immediately dispose of the car as you want;
- You can take a new or used car on credit;
- If you pay your dues on time, your credit rating increases and the rate can be lowered.
Cons
- You cannot buy a car on credit if there is no credit history;
- High rate if Credit Score is below 700.
What you need to buy a car on credit?
To apply for a loan, you need an identity card. If you are not a US citizen and you do not have a Green Card, you will need a foreign passport. You also need rights and proof of income – a salary statement in the States or an account statement in an American bank. But the main identifier is the SSN number, this is the most reliable way to confirm that your identity.
If the rating does not reach 700, the bank may refuse a loan. Then try getting recommendations from relatives, friends, or colleagues in the United States.