Washington Auto Credit is fortunate to have many financing options available to our customers. We are currently compiling a list of the auto lenders we deal with on a day to day basis. The list is located HERE.

We will do our best to keep the list of auto lenders current. As we sign up new lenders all the time, and lately, many lenders seem to be going out of business, it may not always be 100% accurate. However we will give it the “ol’ college try” and see how good of a job we do.

http://lenders.washingtonautocredit.com

The list is not currently “complete” and will often change, but you can check the status. We will attempt to keep current addresses, phone numbers, and descriptions for the lenders. As well as links to their websites.

Disclaimer: Neither WashingtonAutoCredit.com nor its affiliates are responsible for the actions, statements, or policies of the auto lenders on the list or the content of their websites.

I just got back from the training seminar with a new lender that allows me the ability to give ANYONE that walks in our doors a WRITTEN approval on just about any vehicle. It is a great system that allows people with all sorts of credit problems the chance to buy a car and start rebuilding their credit.

Visit WashingtonAutoCredit.com for your opportunity to get a Guaranteed Credit Approval.

Must schedule appointment and visit store to receive written approval.

Stipulations will apply, just like any other loan.

WashingtonAutoCredit.com will soon be partnering with Credit Acceptance and with that will be able to offer Guaranteed Credit Approval to all customers that come into our Olympia, WA dealership to meet with us. In addition to Guaranteed Credit Approval, you will also get important information for getting copies of your credit reports (all three), and how to repair your credit. This information can be provided to you at no charge, and whether or not you decide to buy a car through us.

If you need a little extra help buying a vehicle, and you do not want the embarrassment of being turned down, apply for a car loan at WashingtonAutoCredit.com and we will be able to offer you Guaranteed Credit Approval.

Bad Credit, No Credit, or REALY Bad Credit? You are still approved under our new program. Keep an eye out for the official announcement. It will happen any day.

New hands-free cell phone law now being enforced

Washington State drivers have been gearing up for this change for some time now. The ban on driving while holding a cell phone to your ear was passed into law a little over one year ago along with a ban on texting while driving.

The texting ban began on January 1st this year, but authorities could not enforce the hands-free-driving law until the 1st of July. Officers have been handing out warnings to drivers all over Washington state who continue to drive while talking on their cell phones, but the warnings are over!

As of the first of this month you may be fined for breaking this new law.

Here’s what you should know:

The law makes it illegal to drive while holding a cell phone to your ear.

You can still talk on the phone if you use a bluetooth device like the ones found in some newer cars or the ones you wear on your ear.

There are a few exceptions to the new law.

The prohibition against operating a moving vehicle while holding a wireless communications device to one’s ear does not apply to:

1. A person operating an authorized emergency vehicle, or a tow truck driver responding to a disabled vehicle;
2. A person using a wireless communications device in hands-free mode;
3. A person using the device to report illegal activity, summon emergency help, or prevent injury to a person or property;
4. A person using a hearing aid;
5. The operation of an amateur radio station by a person who holds a valid amateur radio operator license issued by the Federal Communications Commission.

While we should see fewer drivers on their phones with this new law, police may only ticket you for it as a secondary offense. This means they can not pull you over because they see you talking on the phone. They must catch you violating some other law in order to pull you over.

Take care on the road and stay off the phone!

Most people who are in a car loan and did not put a lot of money down have what is called “negative equity”.

What is Negative Equity?

Negative Equity is a term car dealers use to explain that their customer (you) owes more money on their car (the loan payoff) than the car is worth for trade-in (Actual Cash Value or ACV). Often, the number is similar to what an insurance company would give you if the car is totaled or stolen.

There are really two different types of people with negative equity:

1. People who owe only a little more than their car is worth on trade-in. Under $3,000 for people with average credit.

2. People that are BURRIED in their trade.

Maybe you noticed the part on #1 where it says “people with average credit”. Most dealers probably consider average credit to be in the 600-640 Beacon score range and having at least 3 major trade-lines (car loans, home loans, large credit cards) that have/had been open for a couple of years. The better your credit score, the easier it is to get a lender to absorb your negative equity on your new auto loan AND you can roll more negative equity over to your next auto loan.

Even though someone with negative equity and good credit can find it easier to roll the negative equity over, they will notice that the more negative equity they roll over, the higher the auto loan interest rate will be. It is a simple relationship between risk and interest rate with the lender. The higher the loan-to-value (LTV) ratio is, the more risky the loan is for the lender

If you have poor credit, and you need an auto loan that allows you to trade out of a large amount of negative equity, there are a few points you need to consider. First, your payments are almost always going to go up. Because of loan to value restrictions lenders place on auto loans, it is easier to trade out of negative equity into a more expensive vehicle. Once you add the negative equity to the loan, you end up with a higher payment. Second, you will probably need to have a down payment. Think about it, if you are $5000 upside down in your car, you have to have $6000 down just to have a NET $1000 down payment. Usually a dealer will be able to help you out and absorb some of their negative equity, but it is tough for a dealer to absorb all of it. When a dealer absorbs your negative equity, they are basically taking money that would be profit with a normal customer, and giving it up to you so that they can sell another car that day.

Auto loans with negative equity are difficult to put together, unless you have stellar credit. To make it easier on you, know what you are working against from the start. Check and see what your 10-day payoff is on your current loan. Then check to see what your trade in value is. There are many sites that you can get an idea of what your car is worth, obviously no dealers go off these sites, but they do help give you an idea. These sites only work well if your car is less than 5-years old, and has less than 75,000 miles on it. Most old, high mile cars have very little trade-in value no matter what kbb.com says it is worth for trade-in.

Once you have established the estimated trade-in value, and your payoff. You know about how much negative equity you have. There is however one more thing you can do to lower your negative equity. If you bought GAP coverage or an extended warranty on your car, you can cancel any remainder on them. The warranty company or GAP company will give you a refund on any unused portion and credit that directly against your payoff.

So now you know: Your trade-in value, your payoff, and your cancelable products that can lower your payoff. What is next? Obviously you need to know your credit rating. There are many places online that you can get your credit score. The free sites do not always give you all you want to know about your credit report. Also, you need to evaluate your budget and figure out exactly how much you can put for an auto loan down payment and how much per month you can afford for your car payment. Be realistic, and remember that the more you can put down, the more it will help your situation.