PriceProtect™
DriveShield™
GarageGuard™
Services
Insurance
Car Insurance
Compare Car Insurance with Jerry
Jerry’s Expert Advice
Car Insurance Estimates
Home & Renters Insurance
Renters Insurance
Loans
Car Loan
Compare Car Loans with Jerry
Jerry's Expert Advice
Car Loan Guides
Repairs
Car Repair Estimates
Repair Estimates for Popular Services
Advice
Read Car Content
Browse Jerry Car Advice
Check Out Expert Car QnA
Learn About How We Create Content
Jerry Data & Research
What do you need for a car loan?
I want to buy a car and will need to get my first car loan. I want to be as organized as possible. What should I take with me or do to prepare in advance?
Lauren Smith · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
“Preparing ahead of time is a great idea. To be the best prepared you possibly can it would be helpful to know what kind of car you want, about how much you want to try to get and an idea of what your credit score is so you can figure out how much you can afford and the APR or annual percentage rate you can expect as well as an understanding of the different loan lengths. Almost all loan lengths are done in months. The average one at the moment is 72 months which doesn’t sound too bad right? Kind of long? That’s because that translates to over 6 years.
Generally, you will need the following:
- identification/ should show where you live
- proof of income (pay stubs or w-2)
- credit history
- banking history
- All the information regarding the car you want to buy
- down payment
Some things to keep in mind. If your credit score isn’t great taking someone you trust who’s willing to be a cosigner and has better credit then you will help. They will essentially use their credit score to get you a better interest rate. The better the interest rate you get the less you’ll pay in the long run. You should also keep an eye out for the length of the car loan because you’ll end up paying more in interest. Another way to make it cheaper is to put down a larger down payment.
Make sure to shop around at your local banks, credit unions, and compare prices and deals and go for which one you think is best. If down the road you need to change your loan agreement you can always refinance. You can refinance through the
Jerry
app. We will compare multiple lenders to try and get you the best deal possible. The last piece of advice is to read over any car loan agreements carefully, especially be on the lookout for
prepayment penalties
. These can make it harder to get rid of your car loan early or pay more on it. The phrasing can be sneaky so look out for:- rule of 78s
- percentage penalties
- precomputed loans
I hope your first car loan goes well!”
View full answer
- Gregory R.
WHY YOU CAN TRUST JERRY
Jerry partners with more than 50 insurance companies, but our content is independently researched, written, and fact-checked by our team of editors and agents. We aren’t paid for reviews or other content.
Join 4M+ members in lowering their car insurance
You Might Also Be Interested
Read Advice From Car Experts At Jerry
What Others Are Asking
Browse More Content
Insurance in Your State
Easiest way to compare and buy car insurance
No long forms
No spam or unwanted phone calls
Quotes from top insurance companies
