Introduction
Are you embarking on the journey to get a car loan from Bank of America? If yes, YOU can make it happen! Getting an auto loan from this financial institution involves a series of steps.
Start by checking your credit score—your ticket to affordable rates. Calculate your budget, and explore vehicle loan options. But that’s not all…there’s more to the process.
So, read this article till the end as you uncover the metrics you need to get funded for your automobile loan expedition.
To get a car financing from Bank of America:
1. Grasp Bank of America’s Auto Loan
2. Check Your Credit Score
3. Determine Your Budget
4. Research Loan Options
5. Apply Online, Over the Phone or In-Person
6. Provide Necessary Documentation
7. Review the Loan Terms
8. Get Pre-Approved (If Necessary)
9. Choose a Car
10. Prepare a Repayment Plan
Recap
Are you set? Let’s get started!
1. Grasp Bank of America's Auto Loan
To obtain a car loan from Bank of America, understand the nuances, requirements, and mechanics the bank operates with.
For starters, you must be 18 years or older to be eligible for automotive financing, and your minimum loan amount is $7,500.
Bank of America offers a variety of vehicle loan types including dealer purchases, refinancing of current auto loans, and lease buyouts.
Ensure that the motor you’re applying for has fewer than 125,000 miles on it, and has a clean label with no brand title.
Ideally, your suggested vehicle should be valued at more than $6,000, based either on the invoice value from the franchise dealer for new motors or from an official used car value guide like J.D. Power.
Note that Bank of America only makes loans for cars purchased at franchise dealerships. Usually, dealers are responsible for selling new and used cars for auto manufacturers such as Honda, General Motors, Ford, and others.
You should remember these tips as you undergo your car loan application process.
For more info, visit Bank of America’s Know Before You Apply page.
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2. Check Your Credit Score
To secure an auto loan from Bank of America, confirm your credit score.
Imagine YOU, cruising down the streets, with extra cash in your pocket, all thanks to a stellar credit score.
So, here’s the thing: Check your FICO score and be sure you have good financial health. You’re able to spot errors, inconsistencies, and fraudulent activities that are affecting your score.
By the way, Bank of America requires a minimum score of 670 and above for auto loans. So do your homework.
Visit sites like Experian, Equifax, and TransUnion to keep yourself up to date on your credit score.
3. Determine Your Budget
To qualify for a Bank of America auto loan, make sure you have an effective budget planned out.
Think of your budget as a compass guiding you to places and ensuring you don’t lose track of your destination.
When planning your auto loan budget, assess your income, list all necessary expenses, and put them into categories. Prioritize the most important expenses and make sure you stick to your plan as you go on the loan application process.
A quick tip: Use budgeting tools such as Goodbudget, EveryDollar, or PocketGuard to provide insights into your spending habits.
4. Research Loan Options
To easily finance a vehicle through a loan from Bank of America, activate your inner explorer and research your loan options meticulously. That way, you know which loan selection suits your needs.
Are you going for a dealership purchase? Are you refinancing your current auto loan? Or are you simply going for a lease buyout? Your call!
Compare, analyze, and seize Bank of America’s treasure that best suits your car loan needs.
Pay attention to the interest rates, scrutinize and review loan terms, and get preapproval before shopping for a car.
If you’re not comfortable with the bank’s offerings, consider other options.
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5. Apply Online, Over the Phone or In-Person
To secure an automobile loan from Bank of America, send your application online, over the phone, or simply apply in person.
The good thing is that Bank of America offers multiple options for your auto loan application.
While applying online, you have the space to fill in your vehicle type (highly required), and other details such as personal information.
If you’re a Bank of America online banking customer, you get the checking box where you allow the bank to prefill and customize your application using your account information.
Alternatively, you can schedule an appointment at your local financial center to meet with Bank of America’s customer support—at your convenience. Or simply apply over the phone. Your call!
Get in touch with customer support at 844-892-6002 for inquiries or real-time support.
6. Provide Necessary Documentation
To obtain a juicy car loan from Bank of America, provide the necessary documentation.
Typically, Bank of America requires personal information such as your name, address, Social Security number, employment information, income, U.S. citizenship status, and email address.
Depending on the particulars of your loan request, Bank of America requests details—before closing the application—such as purchase agreement/bill of sale, registration, title, lease buyout instructions, proof of income, federal tax returns, W-2s, and financial statements.
Whenever you refinance or lease-buy out a vehicle, be sure to include information such as the make, model, year, mileage, and vehicle identification number (VIN).
Ensure you have your documentation handy as you apply.
7. Review the Loan Terms
To find a suitable auto loan from Bank of America, review the loan terms to be sure you’re okay with what you have.
At this point, you’re making sure you understand the loan’s key factors such as interest rates, loan duration, monthly payments, fees associated with the loan, total loan amount, prepayment options, grace period, penalties for default, terms and conditions, and others.
Obtain a copy of the loan agreement and do a thorough examination of the terms, check, cross-check, and re-check to be sure you’re getting all the information.
Don’t forget to read the insurance requirements. By doing these, you’re sure of what you’re up against.
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8. Get Preapproved (If Necessary)
To secure a car loan from Bank of America, sign up for pre-approval, if necessary.
Prequalification helps you shop confidently as you search for vehicles that suit your price range. You also estimate payments by comparing terms and payment options.
Note that eligibility is only available to customers with a Bank of America login. You’re required to provide an ID and a password for an already-existing account before initiating the preapproval process.
If you don’t have an account with Bank of America, you can sign up for one and get started with your preapproval process.
9. Choose a Car
To qualify for Bank of America’s auto loan, pick a car that aligns with your needs and budget, and also give your lenders a clue of the vehicle they’re funding.
When choosing a motor for loan approval, consider its practicality and functionality.
Check your budget, vehicle history (for used cars), fuel efficiency, warranty coverage, insurance cost, the total cost of ownership, and don’t forget to research the resale value of the auto.
Comparing financing options offered by the dealer with external financing sources could also help in cutting down the extra costs.
10. Prepare a Repayment Plan
To be eligible for Bank of America’s car loan, prepare a repayment plan. This can come in handy, especially during the loan interview process.
One vital question that is always asked during the application process is this: How do you intend to pay back your loan? Or Do you have a repayment plan?
Bank of America wants to know if you’re truly reliable, and can repay at the due date.
On the flip side of the coin, preparing a repayment plan places you at an advantage in meeting up with deadlines.
So, you see? You’re giving yourself dual benefits.
Recap
To secure an auto loan from Bank of America, grasp Bank of America’s auto loan, and check your credit score to make sure you’re good to go.
Determine your budget as you research loan options to ensure you’re okay with what you have.
Send in your application either online, over the phone, or in person. Make necessary documentation available and review the loan terms.
Apply for prequalification (if necessary), choose a car, and prepare a repayment plan for your automobile loan.
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