You're trying to be responsible while on the hunt for a new car. You're comparing prices, reading reviews, and checking up on your credit history.
But when you receive your credit report from a credit score company like FICO, are you seeing the same number a car dealership sees?
The truth is, you're not.
Automotive lenders use an industry-specific credit score to evaluate lease and loan applicants—an auto credit score. This is not the same as the general credit score shared with consumers requesting their own information. In fact, most auto credit scores are not available for you to see.
How will this affect you when you apply for financing?
Hopefully, not much. For many people, the industry-specific credit score is actually a benefit, because the average credit-user is more likely to neglect their credit card payments than their auto loan payments, making them look better to the dealership.
Not sure where you stand on credit? Contact O'Daniel Ford Inc. for help finding the right financing option to fit your situation.
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Finance