The documents needed to finance a car can vary from lender to lender. Typically, the lower your credit score, the more documentation you will need to furnish. This enables lenders to better assess the lending risk, and thereby set your loan terms and interest rate. That said, there is a general set of papers that you will need no matter where you apply.
Auto Finance Documentation
As a minimum, you will need the following documents at any lender you apply to:
- Driver’s License
- Proof of Income
- Proof of Insurance
- Proof of Residence
- List of Three Personal References
There are very few lenders willing to approve a car loan for someone who does not have a valid driver’s license. Lenders usually want to see that you have at least two recently dated paystubs, but more may be requested depending on your credit score. Keep in mind that the majority of lenders want to see that you have been on the job for two years or more. Any vehicle that is financed must be fully insured throughout the term of the loan. Proof of residence can be provided by submitting a few recent utility bills or a copy of your lease. Lenders want to know where to find the vehicle if they need to repossess it. The list of personal references may be used to verify any of the information that you have provided and it can be used if there is a need to track down the vehicle.
A rule of thumb that you may want to keep in mind is that the lower your credit score is the more paperwork you will be asked to submit. Even after turning in a ton of paperwork, you may still be denied by traditional lenders. If that happens, there is no need to give up on your new car. We can help you get approved. Simply apply online, and we’ll go to work finding you a local dealer, lender, or finance specialist who can guide you through the process.