Your Auto Loan Credit Score - See Where You Stand and What Loan You Can Get Approved For

As you go out to find your new car, there are a lot of choices you have to make. But one thing for sure is that there is only so much you can afford, and that is based on two things: your income and your car credit score.

Your credit score doesn't just help you get approved for a loan. It sets the rate you will pay, which means it can either help you get a low payment loan or one that is going to cost you $100 more a month. By knowing where you stand on the credit score scale, you'll be able to tell exactly how much you can get approved for and at what rate.

If you score is below the national average of 680 points, there is something you can do to increase that score before the lender ever has a chance to look at it. First, take a good look at your score and what items on file are causing your score to fall below the average rating.

Chances are you will find one or two mistakes that should not be on your report. This could include negative history that is older than 7 years, accounts in collection that you never even had, and late payments on credit cards that you closed years ago.

With the credit reporting companies faced with managing information for millions of people, mistakes are quite common. But once you notify them about these errors, they must remove the negative items and your auto credit score will increase.