10-Mar

Why Should You Get Pre-Approved Before Walking Into A Dealership?

You are probably familiar with the standard process of purchasing a vehicle in Canada. Firstly, hours and hours of thorough research are performed and you gather enough information that would likely qualify you for a job position at a dealership. Furthermore, the decision to drive to a dealership and test-drive the vehicles you have been looking into is made. A charismatic and knowledgeable salesman gets you hooked in one specific vehicle you swear you’ll be driving it home in no time. Your family will be so proud of you. In your mind, you can already see the beautiful moments you’ll experience in that automobile with your loved ones.

Afterwards, you’re convinced to meet one of the finance managers at the dealership and complete your application for an auto loan. Days after, you receive a phone call from that dealership presenting not-so-great news. Unfortunately, your application was denied by the lending institutions for that particular vehicle.

The whole process seems backwards, doesn’t it?

Realistically, why would you waste time at a dealership, fall in love with a vehicle you won’t get approved for? Over and above, it would be much smarter to get a pre-approval first, from the comfort of your home, know how much exactly you can afford and only then walk into a dealership and pick a vehicle that fits in your budget.

Titanium AutoCredit is proudly part of a movement that is changing the way Canadians purchase vehicles. Accordingly, our finance specialists strongly encourage the engaging in a pre-approval process online before stepping foot into a dealership. It’s easy, quick and helps you immensely on making the best decision. Here are four reasons why you should do the same the next time you’re looking into purchasing a new automotive.

1) Helps You Set A Realistic Budget
A Pre-Approval allows you to know beforehand how much exactly you’re approved for and what your real budget is. It’s easy to fall into the trap of biting more than you can chew. A few more extra features are added to your vehicle or even upgrading to a higher-level one without knowing for sure it will fit within your budget on a medium-long term. Accordingly, many people fail to calculate the entire cost of a vehicle, forgetting to take into account maintenance costs, insurance, unexpected costs, among others.

2) Avoids Dealership Markups
When riding the regular route towards a new vehicle, you don’t know what rates you are entitled to until signing papers at a dealership. Contrastingly, when choosing to get pre-approved beforehand you already know the lowest rate you could get approved for, avoiding dealers to take advantage of that and marking that rate up.

3) Avoid Lineups
Dealerships and banks can get astonishingly busy, especially during special sales and events. Completing a pre-approval application online beforehand saves you countless hours at a store. Instead, use that time and complete a pre-approval process beforehand and use that extra time on something you love.

4) Avoid The Stress and Enjoy A Quicker And Smoother Process One could argue that one of the most stressful experiences in your life is when you’re waiting to hear back from a dealership’s finance office. Hours and sometimes days go by incredibly slowly when you’re waiting for that one phone call that will determine which vehicle you’ll be driving your family in for the next few years. By completing a pre-approval process before ever walking into a dealership eliminates that stress and allows you to experience a much more enjoyable buying procedure.