Documents Required for Car Loans

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Getting loans can be intimidating if you are doing it for the first time. There are certain documents if you are getting a car loan from columbia bank aberdeen. Given below is a list of all the required documents.

Columbia Bank
1154 NJ-34, Aberdeen Township
NJ 07747, United States
Phone: +1 732-203-9880

Documents required for a car loan

  • Proof of identity – something as simple as a driver’s license or U.S. visa should work. The idea is to attest that you are a US citizen or approved non-citizen resident.
  • Proof of income – before issuing loans banks need to be sure that the borrower has the capability to repay their debt. Presenting your bank statements prove how much you earn per annum.
  • Residence proof – Residence proof is required to gather important information about the borrower. While an updated driver’s license is enough in most cases, you might also have to provide the previous months’ property tax bill or utility bill to prove your residential address.
  • Credit and banking history – You will have to provide your social security number along with other information that will help banks get your credit score. Your credit score shows your debt-to-income ratio that helps in determining the right interest rate for you.
  • Vehicle information – while applying for a car loan, you will have to provide the details of the vehicle you are planning to buy. Required information includes the price of the purchase, vehicle identification number, and the year, make, and model of the vehicle.
  • Collateral – to get a car loan, you will have to use another vehicle as collateral. Information regarding the same has to be provided to the bank.
  • Insurance proof – once you have bought the vehicle, you will have to prove that you have got the vehicle insured.
  • Down payment – you will have to state the method of the down payment for the vehicle.

Endnotes

Buying a new car is much easier on the financial front with the help of a loan. If you have all the required documents, getting a car loan is an easy process.