If you’re considering buying a new car, chances are you’re also thinking about how you’ll pay for it. Whether you've had your eye on a fuel-efficient SUV, a sporty sedan, or the truck you've always wanted, preparing ahead of time can help you feel more confident before signing the paperwork and driving off in your new ride.
Here's what to know and expect before you go.

Know Your Credit Score Before You Apply for an Auto Loan
Your credit score is one of the first things lenders look at when you apply for an auto loan. In general, the higher your score, the more likely you are to qualify for a lower interest rate. That’s why it’s a good idea to know where your credit stands before you start shopping.  With Jovia, you can monitor your credit score right from Online and Mobile Banking for free. Jovia also offers a credit monitoring service that offers credit reports from the major credit bureaus and alerts you to unusual or suspicious activity that may negatively impact your score.
Interested in learning more about what impacts your credit score and how to improve it? Jo from Jovia can help! Check out Jo’s helpful credit tips here.

Find the Auto Loan Term That Fits Your Budget
Before you start shopping, take a look at your budget and think about what monthly payment feels comfortable for you. If you can, saving for a larger down payment can make a big difference. Many financial experts recommend aiming for about 20%, but every little bit helps. A larger down payment means borrowing less, which can lower your monthly payment and reduce the amount of interest you pay over time. When it comes to your loan term, shorter terms often come with lower interest rates, helping you pay less overall. If a longer term works better for your budget, that's okay too. You can always explore refinancing down the road if your needs change.


Need help saving? Jovia’s Savings Goals tool makes it easy to save for big purchases like your next vehicle. Keep track of your savings without the money leaving your account. Set up a Savings Goal in online and mobile banking!

Plan for More Than the Sticker Price When Buying a Car
It's easy to get caught up with the excitement of finding the perfect vehicle, but don't forget to budget for the costs that come with it. In addition to your down payment, you'll want to set money aside for taxes, registration fees, title fees, insurance, and any dealership fees. Planning ahead helps make sure there aren't any surprises when it's time to finalize the purchase.
Plus, it’s always beneficial to consider adding Gap Insurance and Mechanical Repair Coverage (MRC). These plans can help you protect your vehicle and cover unexpected, out-of-pocket expenses. 
GAP Insurance - Helps protect against financial loss. If your GAP-protected vehicle is stolen or declared a total loss, it can ease the financial burden by paying the potentially high cost difference between your primary insurance settlement and your vehicle loan balance for items directly related to the purchase of your vehicle. 
Mechanical Repair Coverage - A high-quality, comprehensive coverage that pays for the cost of parts and labor for any covered vehicle mechanical repair. It provides the protection needed when the vehicle is most likely to require repairs. 
At Jovia, we offer both GAP Insurance* and Member’s Choice Mechanical Repair Coverage. Ready to get GAP Insurance or Mechanical Repair Coverage? Learn more here.
(*To be eligible for GAP Insurance, you must have your vehicle financed through Jovia.)

Take Advantage of Dealership Deals and Discounts
Who doesn't love getting a great deal?
Dealerships often run promotions around long holiday weekends, at the end of the month, or toward the end of the year when they’re making room for new inventory. It also pays to do a little research ahead of time. Price comparison websites and inventory search tools can help you see what's available and spot a great offer before you visit the lot.


Get Pre-Approved Before You Hit the Dealership 
One of the best ways to shop with confidence is to get pre-approved before you start looking.
Knowing what you can borrow helps you narrow your search, set a realistic budget, and avoid falling in love with a vehicle that’s outside your price range. Plus, walking into the dealership with financing already lined up shows you're a serious buyer and can make the buying process feel much less stressful.
 

Get Preapproved
Ready to start car shopping? We can help with our trusted dealership network.

Jovia Is Here for the Whole Car-Buying Journey
From saving for your down payment to finding the right loan, Jovia is here to help every step of the way. Whether you're buying your very first car or upgrading to your next one, we'll help make the auto loan process simple, straightforward, and exciting.


Here's to finding the perfect ride and enjoying every mile ahead!