Designing a home or providing staging services as a growing company often requires the purchase of a van or similar vehicle to transport furniture, artwork and other design elements for the space. Before looking for an appropriate vehicle, finding financing solutions is a necessity for the continued growth of the company.
Obtain Credit Information
Business owners need a copy of the company credit report and a personal credit report before seeking an auto loan. According to CarsDirect.com, verifying the information in a credit report and disputing inaccurate data is important before seeking funds. If information is inaccurate, then it can lower the score and result in a denied loan.
Personal credit may or may not be necessary, depending on the auto loan and the amount of time since the company was established. Newer businesses will often need the owner’s credit information due to the limited information available on the company.
Read the Paperwork
Lenders are required to provide information relating to the loan. According to the Federal Trade Commission, the Truth in Lending Act requires full disclosure of details relating to the interest rate, terms, conditions and monthly charges on the loan.
Finding the right lender for the loan requires comparing the details. The contract will fully disclose all of the information and ensures the interest rate and payment plan is appropriate for the company budget.
Buying a van or truck to transport furniture and goods for a home staging or design company requires financing solutions. With a great credit rating and comparison shopping, it is possible to find an appropriate loan for the business.
Are you aware of your options for car loan sources? Here is a short list of places to consider if you need a car loan.
The most common place that people get a car loan from is onsite with a dealer. Nearly all dealers have a finance department where people can get a car loan for the vehicle they have just selected. In some cases, going through the dealer is the most logical choice. This is especially true if you are purchasing a new car. Dealers have extra leeway because the loan is financed directly through the manufacturer. As such, the manufacturer can offer perks such as zero percent interest. However, you may find that by going through a dealer you end up paying more for the vehicle.
All banks offer options for auto loans. If you have a good relationship with your bank, it's definitely worthwhile to find out what kind of terms they can offer you on the car you are considering. If you choose to finance your car through a bank, it's usually best to visit the bank before visiting the car lot. Do some research on the type of car you are considering, so you'll have an idea as to how much you'll need for the loan. If your credit is good the bank may be willing to offer you a "blank check" loan. This means you are approved for a loan up to a certain amount, with the terms previously negotiated. You can then visit the dealer and negotiate terms for the car as a cash customer, which will almost always get you a lower price on the vehicle.
Though similar to banks in their operation, credit unions are different from other financial institutions in that they are non-profit. Most often credit unions are set up through large employers, or through a group of employers. Their main function is to serve their members, not to make a profit. For this reason credit unions tend to offer better service than banks, and in some cases can offer lower interest rates than banks. Although credit union membership is not an option for everyone, if it is available to you it might be worth investigating.
Because you will be making payments on your car loan for many months to come, it is important to make sure you get the best rate possible. By shopping around you can be sure that you'll get the best deal for you.