Many of us skip taking a pre-approved loan when buying a car but it is an intelligent decision because it could help you in making several decisions in terms of the car you choose and avoid sketchy money lenders.

Pre-approval is nothing but a proper assessment of your ability to pay off the loan based on details like your financial condition and credit history.

Helps in budget decisions

 If you have a loan amount pre-approved, it helps you in setting a proper budget for the car you want to buy. In case, you haven’t decided on the model of the car, now you have an idea of the amount you can spend on the car. This majorly helps you in calculating the monthly payments you desire and the down payment you can afford.

You do have to keep taxes, documentation fees and insurance amounts in your mind, before planning.

Get best interest rates

If you are not well-versed with the financing terms, dealers can take advantage and try to add a certain value to your interest rate. This could add a huge amount to your loan tenure. When you get a pre-approved loan, you get the best interest rate that your credit score is eligible for. You can be rest assured that the dealer cannot play around with the interest rate anymore, and is offering you the perfect deal.

Get the right deals

When you land in a dealership with a pre-approved loan, it tells the dealer that you are most definitely buying a car and have a set budget. This helps making a choice easier as you can just tell the dealer about the car you want and the price you will pay. In case, the dealer tries to sell extended warranty or unnecessary add-ons, you can use pre-approved loan to stick to the price decided.

At Kuwy, we take care of all your car finance troubles. All you have to do is decide to buy a car and leave the rest to us. Get pre-approved loans, hassle-free documentation and more, only on the Kuwy app. Download the app now or visit www.kuwy.in.