Finance Interview: David Rath at Rath Auto Resources

We did an interview with our finance manager, David Rath. We asked him the questions that will make your car buying process simple as well as some tips on how to build your credit, approach someone to be a cosigner and more!

What type of financing do you offer?

Indirect auto loans (when someone else - like me, get’s the loan for you)  ranging from very competitive prime rates to credit rebuilding programs and pretty much everything in between.

What happens if I have poor credit, can you still finance me?

There are a lot of factors that are involved in that such as vehicle choice, down payment, budget and things like that. But most of the time, yes!

How can I make sure I get the best interest rate with the lowest payment?

Answer: So much of that is based on where your credit is at the moment and somewhat based on how much payment you put down. There are a lot of factors that go into it, like credit score, but we will always offer you the best possible deal based on your situation.

How do I know if I need a cosigner for an auto loan?

Every situation is different. But you may need a cosigner if your income doesn't meet minimum requirements from a bank or if you are seeking an auto loan and you already have an auto loan currently.

What is your advice on approaching a co-signer to help me get my auto loan if I need one?

Every scenario is different, but your family is always the best place to start. If you are young and just getting started, your parents might be willing to help out. If you are married, your spouse is, of course, an option. While it is a commitment on their part, if you make your payments on time, it will build their credit at the same rate it builds yours.

What kind of questions will I need to answer in order to apply for financing?

Once you have found the right vehicle for you, the credit application is simple. We will fill out a standard application including  date of birth, social security number, how long you have been at your current job, how long you have been at your current address and how much money you make. Once we get deeper in the process, other questions may come up.

I am thinking about making a vehicle purchase this year, what are some things I can do now to make sure I have good credit when it comes time to purchase?

Limiting the amount of debt you have leading up to buying your car is one of the most straightforward ways to make sure you have a good score when you are ready to buy. Try to keep a balance at or below  20% of the max on your credit card(s). Pay off any outstanding collections, if you have any. Make your current payments you have on time and make sure they are up to date before your vehicle purchase .

What should I bring to Rath Auto Resources with me if I intend to purchase and finance a vehicle?

You will definitely need a valid Driver's License. It’s not always required, but bringing your most recent paycheck stub and a recent utility bill is always good. It’s not always the case, but sometimes the bank may ask for proof of income or residence.