The
coming of age to buy a vehicle is always enthralling. You are on the
verge of becoming eligible for a car loan and the excitement is beyond
comparison. However, there are a number of things that you should think
through as purchasing an automobile brings its own set of
responsibilities. Significant expenses such as fuel, maintenance and
repairs are a part of the process. But, fret not. Asking the right
questions will assist you in sorting your priorities and eventually get
you closer to purchasing your dream car.
Car Clarity: Key Questions to consider before making the Purchase
1. What is the Minimum Age for applying for an Auto Loan?
Whether you are an early teen or enjoying the years of adulthood, purchasing a car and applying for an auto
loan are tasks within your reach. Different states have different
regulations for car registration and auto financing. According to
Connecticut DMV, the law allows you to register a vehicle if you are at
least 16 years of age. The same is the case with New York. However, you
need to be at least 18 years of age to apply for an auto loan.
Therefore, depending on the state in which you reside, you can apply for
car financing and lessen your school & college transportation woes.
2. Can I apply for an Auto Loan if am not Eighteen?
Many
teenagers get excited about owning a car as soon as they get a
learner’s permit. However, if you are below eighteen years of age, you
cannot enter into a binding auto loan contract. Any 17 years old or
younger person is considered as a minor in the eyes of law. Once you
have reached the age of 18 years, you do have the chance of getting a
co-signer for you auto loan. As 18 is too early an age, you may have
little or no credit history. However, the presence of a financially
strong co-signer with a good credit score will help you in attaining an
auto loan for your car.
3. How to transfer the Existing Loan in my Name once I am 18?
The
early adulthood of eighteen gives you the power to vote, serve on a
jury and sign a valid contract. If you are eighteen or above,
comfortably earning and capable enough to make your monthly auto loan
payments, you will set a good mark of credibility in the eyes of the
lenders. Make sure you make all the credit card payments on time. Take
actions toward building a stellar credit history and you will be
successful in unburdening your parents and transferring the auto loan
under your name.
The Way Forward
Purchasing
your own car is a sign of independence and outgrowing your ways of
living. Buying a car always comes with its own set of regulations and
responsibilities. Make sure you wait till eighteen to apply for an auto
loan and drive away with your dream car.
Are you a first-time car buyer? Enjoy special interest rates and immediate approval on zero credit auto loans. Choose a qualified lender to avail the special first-time car buyer’s program and get ready to buy your favorite car.
