How Long is a Car Loan Approval Valid for?

By: Jessica George   |   09 Nov 2018

When people are shopping for a great used car, truck, or SUV, sometimes they like to play the field. What I mean by play the field, is that people like to see what deals are out there and available to them. Our inventory is always changing and updating to serve you better, and I’m always happy to help you determine how large of a loan you’re eligible for so that you know what range to shop in. Here’s what you need to know about approval times.

How Long Do I Have to Choose a Car from the Time my Car Loan is Approved?

When I submit your loan for approval, my goal is to connect you to the best lender for your unique situation. I have relationships with a wide variety of banks and lending institutions to make sure that we have options available for every credit type here in Corner Brook.

Different lenders have different periods of validity when it comes to their approvals. Some like to close things out quickly to ensure that your situation remains constant, and others have more leeway. Out of the lenders that I work with, loan approvals are valid for 30-60 days from the time of approval. This is how long you have to select a vehicle and complete the vehicle financing process. The majority of loans are in the 30-day category, so if a longer 60-day loan is something that you require, it’s important that we discuss this before submitting your application. If I know that you’re looking for a longer approval range, I can ensure that your application is submitted to a lender that provides this option.

Why is this Number Important?

Knowing how long you have to complete the approval process ensures that you have a lender set up and ready to go when the right vehicle comes. Many shoppers find their vehicle first and complete financing after, and that’s completely fine.

If you’re not sure what vehicles are within your loan budget, sourcing your approval first can make the vehicle buying and decisionmaking process much easier. We have vehicles at all price points to suit any budget, and we even have a huge selection of used vehicles under $9,999! Knowing your budget is important to selecting the right vehicle for you and your family.

Beyond allowing you to shop for the right vehicle, it also allows you time to do the following:

• Sell your old vehicle (or trade it in with us!)

Wait for a specific feature set or vehicle trim line to become available

Have your family pool multiple vehicles together and confirm a choice

Read online reviews and overviews about your favourite options

Select a vehicle while the approval is valid without missing out

Just to name a few! Once I get you approved, you’re all set. Questions about financing or credit processes? Ask me anything—I’m always happy to help serve Corner Brook better.