In the real world, every single financial transaction links one way or another with your credit score. Your credit score has a huge impact on your auto loan approval. Let's discuss it in detail.
If you have applied for a car loan, the lender will consider your credit score and credit history before approval. A majority of lenders divide their customers into multiple categories, depending upon their credit scores, and if you have a subprime credit score, you can expect to fall in the lower quadrant. A subprime credit score will attract comparatively higher interest rate or even a higher down payment requirement. The lender will look at your past credit history, especially transactions related to auto loans, if any.
It is best to check your credit score before applying for an auto loan.
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