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Refused a car loan in Cambridge? Life is full of second chances!

Refused a car loan in Cambridge? Life is full of second chances!

Nobody likes rejection, whatever form it takes. It somehow makes us feel unworthy. That’s true even if the cause of rejection wasn’t our fault. If you have been rejected a car loan in Cambridge, can you get a second chance?


Yes you can!


But it takes a little preparation beforehand.


Find Out Why You Were Rejected a Cambridge Car Loan


Most lenders will tell you why you weren’t approved for a car loan. Sometimes they volunteer the information as part of the notification. Other times you have to call them and ask.


Either way, find out why if you can as it will tell you where to focus your efforts.


Check your credit report


Also check your credit report. Check it for errors or missing information and have it corrected right away. It’s best to have the organization who made the mistake to correct it but you can request the credit bureaus do it if you prefer.


Mistakes on credit reports are a very common reason for car loan refusal. Ideally you should check before you apply but definitely do it if you were refused!


Use a car loan calculator and get preapproved


Asking to borrow too much is also a key reason for car loan refusals in Cambridge. Either because the credit score isn’t high enough or the affordability criteria wasn’t met.


Using a car loan calculator can give you an estimate of how much you could borrow. Set your budget accordingly.


Car loan preapproval is a useful tool for assessing the likelihood of your being accepted for the loan amount you want. We recommend everyone uses these tools to give you an idea of what you can borrow. It isn’t a guarantee of a loan but it can give you an idea of how much you can borrow.


Save for a larger down payment


Putting more money down can make the difference between being accepted for a Cambridge car loan and being refused. It can also mean borrowing less or accessing more expensive cars.


If you can save for a larger down payment, all the better as it can also reassure lenders that they will get more money back should you default, which can swing a decision in your favour.


Rebuild your credit score


If you have insufficient credit score for the amount you need, you could also consider trying to rebuild your score. Paying off debt, ensuring your payment history is spotless and you have a good credit mix can all help improve your score.


Remember that rebuilding credit takes a long time so don’t expect instant results!


Work with a car loan specialist


Sometimes a car loan application is just completed wrong or has a mistake. Sometimes people are approaching the wrong type of lender for their circumstances. In cases like these, working with a car loan specialist can make all the difference.


We can help you prepare your application so it stands the highest chance of success. We can suggest or recommend lenders who work with people in your situation and work with you to help get approved.


It’s all part of the service!


When you’re ready for a car loan in Cambridge, get in touch with the car loan experts at Northway Ford for great deals on auto finance.


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Categories: Car Loan

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