"Do you need to know what car you are going to buy before getting approved for a car loan? "

"I need to buy a car but it has been years since I last bought a car and I really can’t remember the process. I think I had picked out the car first and let the dealer arrange for financing, but I do remember being shocked at the interest rate. This time around I would like to get my own financing to get a better deal. Do I still need to pick out the car before getting approved for a car loan?

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Answer provided by
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Johnny Puckett
Answered on Jun 09, 2021
“You do not need to know what car you will be buying to get approved for a car loan. This process is called pre-approval. All you need to know is about how much you want to spend on a car.
Once you have pre-approval from your bank, you can go to the dealer and negotiate the price of your favorite car. After agreeing on a final price, you simply call your bank and finalize the loan.
Don’t forget to notify your current insurance company about your new vehicle. Buying a new car is a great time to consider shopping around for car insurance to make sure you’re getting the best rates. Smart comparison tools like Jerry source rates from the top 45 companies in a matter of seconds.
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