 
Bank of America Auto Loans
What do you do when you are in need of a car
but you are not thrilled about working with a dealership for
financing because they are so notorious for upping interest rates
and adding in their own “shady” fees that they hike up the price of
the car? You can try to save up for the money, but with the prices
of cars increasing on a regular basis, this option is almost
inconceivable – especially if you are in need of a new car within
the next decade. The good news is that there are numerous financial
institutions helping people get auto loans when they don’t want to
go to a dealership – Bank of America is one of those institutions.
So to get an idea of what they have to offer, let’s take a look at
Bank of America Auto Loans.
What Are Bank of America Auto Loans?
Bank of America Auto Loans is loans provided by
the banking institution. They claim to be very decently priced loans
that have competitive, fixed rates and flexible terms. They don’t
have a prepayment penalty (except in Ohio), which is a bonus because
many dealers and institutions force you to pay extra for paying your
loan of early – go figure. Also, if you ever felt compelled, you
could take out multiple loans at a discount.
Some of the Bank of America Auto Loans you are
allowed to take out are for new and used cars from a dealer or
person, refinancing and lease buyouts. They definitely make it a
point to mention that your credit is subject to approval (so there
is a thing as too-bad credit) and if your credit is approved, the
score will still have a determining factor on the interest rates.
Also, you may have to pay a loan fee AND rates and terms are subject
to change without notice. Always pay close attention to these
disclaimers because having a fixed rate loan that can change somehow
means you need to ask more questions to understand the dynamic of
the loan.
The Application Process
When you visit the Bank of America website, you
will initially be directed to choose your state of application. By
doing this, you will be taken to a Bank of America auto loans page
that is specific to your state and includes interest rates
applicable to your specific location. Once you get to your state’s
page, you will find a link that tells you to begin the application
process. It is then that you will begin the following steps:
Fill Out the Application Online – With Bank of
America auto loans you are able to apply directly from their
website. You complete your personal information, which includes the
basics, name, address, etc. in addition to social security number
and income. By taking this step you get prequalified for a loan.
Next you give additional details regarding your loan request and
create a username and password so that you can go back to sign in
and check on the status of the loan.
Wait for Your Decision – After you’ve applied
online, you will have to wait a few days for the loan application
decision. You can check on the status by signing in to your account.
When the decision has been, you will either see that you’ve been
declined, or you will find a variety of loan options and the terms
you have to choose from for each one.
What Next? – After you have been approved for
several Bank of America auto loans and choose the one that works
best for you, then you work with a loan representative to verify
your identity and decide which authorized dealer in your area you
want to go to with your loan. Once you’ve decided, the bank will
send you an approval letter that is good for 30 days. You can take
that letter to the authorized dealer and get your car. If you want
to go to a non-authorized dealer or person to buy a car, you can do
it, however you will have to give the bank the specifics of the car
including year, make, model, VIN, loan amount needed, and contact
number for the seller. After that information is verified, you will
receive a “promise to pay” package that will have everything you
need to buy the car.
Loan Amount and Rates
Loan amounts can be taken out for as little as
$7,500 and as much as $100,000. The amount you will be eligible for
is determined by your credit rating, how much the car will cost, and
how much of a down payment you offer.
Your rates are determined by many things,
including your state of residence, credit rating, loan amount, and
length of term. The best way to get a general idea of rates in your
area is to visit their website, select your state and check their
rates. However, when you do this, keep in mind that the rates they
list are determined by the best credit ratings. If your credit is
subprime, you should expect to pay more.
Eligibility and Conditions
The cars you are eligible to buy through Bank
of America are all but commercial vehicles, vehicles for business,
salvaged vehicles, Daewoo cars and motorcycles. You can only use
your loan voucher for one car and that car must be purchased
directly through the seller – in other words, the seller must be the
person listed on the title and you cannot accept powers-of attorney
for private party transactions.
It seems that Bank of America auto loans can be
a good way to get the car you want. However, it is very important
that you not only look over the terms and conditions of your loan
thoroughly, but also talk directly to a knowledgeable representative
who can help you sort out the details of the loan with no room left
of questions. Once you learn all of the details you can make a more
confident decision as to whether Bank of America auto loans are
right for you. And the good news is, if they’re not, you can always
get back out there and search until you find the best auto loan to
help finance the car of your dreams.
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