Getting pre-approved for a car loan before you walk into a dealership helps put you in the driver’s seat during the car buying process. With your pre-approval, you’re transformed into a “cash buyer" and you’re in a much stronger negotiating position.
Dealers often focus on the monthly payment, that way they can fiddle with other parts of the deal to turn a profit. When you go in with a pre-approved car loan, you don't need to discuss the monthly payment with the dealer, so there are no games to play. You and your lender have already agreed to the financing and the dealer just needs to decide if your offer to buy is high enough for them to let go of the car.
Be aware that some car dealers or car buying services offer "no-haggle" pricing and don't negotiate on price. However, here are some tips for talking to dealers who will negotiate.
If you financed your purchase with another lender and later discover you could have gotten a lower rate at Virginia Credit Union, simply call us. If you qualify, we'll help you move your loan over to your credit union!