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FREQUENTLY ASKED QUESTIONS







Is Everage Auto a Buy Here Pay Here dealership?

 

Everage Auto is dealership that has something for everyone.  We work hard to be able to say "Yes" to any customer that may come on the lot.  In order to achieve this, we have set aside a selection of vehicles that are available to customers that cannot meet the requirements necessary for conventional bank financing or to secure the guaranteed financing.  ▲ Back to top

What vehicles are available for Buy Here Pay Here?

 

If you are visiting the dealership, simply ask us where the Buy Here Pay Here vehicles are located.  If you are visiting us online and want to tell the difference, it is actually fairly easy to do.  Take notice of the payment listed on the vehicle you have selected.  If it says "as low as ...." then that vehicle is primarily a conventional finance vehicle.  If it just says the payment, such as "$50 Per Week" or "$60 Per Week"  without the "as low as" in front of it, then that vehicle is available for Buy Here Pay Here.  Most of our Buy Here Pay Here vehicles are selected to allow the customer to take one home for $1,000 or less downpayment, with many vehicles as low as $500 downpayment.  Generally, to qualify for Buy Here Pay Here, you must reside within 30 minutes of Angola, IN.  ANY vehicle on the lot has the potential to be a Buy Here Pay Here vehicle with enough money down.  On the main lot, the downpayment will need to be closer to half of the vehicles asking price, most of the time.  If you have that much downpayment, however, there is a good chance we would be able to get you approved through a more conventional option which would give you a much lower interest rate.  ▲ Back to top

Do I need full coverage insurance if I buy a car at Everage Auto?

 

Any time a vehicle is financed, it should have full coverage insurance.  If the vehicle is involved in an accident, the bank will still expect payments to be made.  If you have full coverage insurance on the vehicle, then the insurance company will pay to have it fixed or, if the vehicle is totalled, will cut a check to help pay off the vehicle.  If you do not have full coverage insurance, then you will be responsible for paying off the vehicle in the event that it is a total loss.  If you cannot pay off the vehicle, then you will need to continue making payments on the vehicle until it is paid off.  The danger in this is that, if you need to replace that vehicle, many banks will not approve financing on a vehicle if there is still another loan active.  It is always best to have full coverage any time there is a loan on your vehicle.   ▲ Back to top

Does Everage Auto work with customers that have bad credit?

 

Absolutely!  Everage Auto works with customers of all credit types.  Even if you have been told "No" everywhere else, we try to find a way to say "Yes!"    ▲ Back to top

Will I get a better deal if I have a cosigner?

 

Maybe.  Many lenders will allow cosigners.  In most circumstances, a cosigner is used when an applicant does not have a high enough credit score or has a DTI (debt-to-income) that is too high to secure financing on his/her own.  The bank will then look at the cosigner's credit score and obligations to help secure financing for the applicant.   Generally, the interest rate and term of the financing is based on the merits of the highest credit score present as well as the combined DTI of the applicants.   ▲ Back to top   

How does the guaranteed financing option work?

 

Everage Auto has partnered with Credit Acceptance Corporation in order to provide a guarantee of credit approval for every customer.   With Credit Acceptance, your credit score does not matter.  They offer approvals to every customer regardless if they have had severe issues in the past, bankruptcy, or even no credit history.  The only customers that will have difficulties getting an approval are customers that currently have a balance due with Credit Acceptance due to a repossession.   ▲ Back to top

How do I get the payments that are listed on the website?

 

The payments listed on the website and the vehicles on the lot are based on the average credit score in Angola, IN, which is 650 on the TransUnion bureau.  They are also based on $0 downpayment.  If you, or someone on the loan with you, has a credit score in that range then your payment should be very close to that number.  If your score is higher than the average,  then your payment will be lower than what is listed on the windows or on the website.   ▲ Back to top

I see the payments are listed by the week.  Do I have to pay weekly?

 

No.  The payments are listed by the week for ease of budget planning and are simply just a monthly payment divided by 4.  It may be surprising, but most people do not budget monthly.  They never seem to have $300 in their account at the end of the month, but they know that they always have at least $75 left over after each paycheck.  It is exactly the same amount!  The payments through the banks and credit unions are always made monthly, however, some may allow for an autodraft option that can be taken more often.  This is typically set up with the lender after you make your first payment.   ▲ Back to top

How much do I need for a downpayment?

 

This amount will vary based on your credit.  If you credit is good enough to secure financing through one of the banks or credit unions that we work with, then most of the time your downpayment will be $0.  However, if you have negative equity rolled into the loan, this may cause an excessive LTV (loan-to-value) which may, as a result, require a down payment to secure financing.   If you are fincancing through the guaranteed financing program, then you downpayment will be based on several factors such as your credit score, time at current residence, time at current job, monthly gross income, checking/savings account and vehicle selection.  The better you score in each of those categories, the lower your downpayment will be!  There is currently no option for $0 downpayment when financing through the guaranteed financing option.  Our average downpayment is between $1,000 and $1,500, but there have been a few cases that have allowed for even lower than that.   ▲ Back to top

What is DTI?

 

DTI is an acronym that stands for debt-to-income.  DTI is usually shown as a percentage and is calculated by dividing the total amount of monthly obligations by the total gross monthly income.  For example, if you have rent for $450, total credit card payments of $325, and a personal loan payment of $150, that would total $925 of payments monthly.  In this scenario, your monthly gross income is $3,100.  To calculate your DTI, you just need to do $925 divided by $3,100.  This equals .30 or 30%.  So we would say that you have a DTI of 30%.   Most banks like to keep your DTI less than 40% or 50% including the new car payment.  So just to clarify what that means, lets calculate what the highest payment the bank will allow if you are allowed a 40% DTI.  In order to do that we will start by taking $3,100 and calculate 40% which is $1,240.  Now we will take the $1,240 and subtract your current obligations of $925 and that will leave a potential car payment of up to $315.  So if your new car payment is less than $315, there would be no DTI issues.   ▲ Back to top

What is LTV?

 

LTV is an acronym that stands for loan-to-value.  LTV is usually shown as a percentage and is calculated by dividing the total amount financed by the value of the vehicle.  The value of the vehicle is different depending on the bank that is doing the financing.  Some banks use Retail and some banks use Clean Trade.  In this area most values are calculated based on the NADA vehicle valuations.  This amount is available by monthly subscription services or by going to nadaguides.com.  The most common LTV requirements by banks are to keep the total amount financed under 100% to 110% LTV based on NADA Retail, or to keep the total amount financed under 130% to 150% LTV based on NADA Clean Trade.   ▲ Back to top

What is negative equity?

 

Negative equity is a situation that occurs anytime a vehicle is traded in and the balance on the loan exceeds the trade value of the vehicle.  So assume you are trading in a Chevrolet Impala and the dealer is offering you $3,500 in trade, and you currently have the vehicle financed and the payoff amount on the loan is $6,200.  In this situation, the negative equity of the vehicle would be $2,700.   ▲ Back to top

What do I need to bring with me in order to drive home in a new vehicle?

 

*For every deal that is financed, we will need a copy of your driver's license and automobile insurance card.  
*If your credit score is above 680, then that should be everything we need unless your drivers license has the wrong address.  In this case, we will need a proof of residency dated within 30 days as well (bank statement, utility bill, phone bill, etc.)  
*If your credit score is below 680 and we are using a conventional bank or credit union for financing, then you will need the aforementioned items (driver's license, insurance card) as well as a proof of income dated within 30 days.  Paystubs showing a YTD income work perfectly as long as they have both the employer and employee name and address showing.  If you are on a fixed income, you can use your bank statement (2 month history) showing the deposit of your income. 
* If you are financing through the guaranteed financing option, you will need to bring all of the above (drivers license, insurance card, proof of income) as well as your bank statement (if applicable).  If your bank statement has your current address on it, then you do not need to bring a proof of residence, otherwise you will need a utility bill or phone bill dated within 30 days to prove your current residence.  Finally, you will need to bring your routing number and account number to your bank account to set up your payments on an automated withdraw schedule.   
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I am self-employed.  Can I still finance a vehicle at Everage Auto?

 

Yes!  The hardest part about financing a vehicle and being self-employed is financing a vehilce.  At Everage Auto we try to make this as stress-free as possible.  If your credit score is above 680 TransUnion then you can forget about proving your income!  We can get you financed on your credit score alone!  If your credit score is below 680 TransUnion and you have someone on the loan with you that is above 680 TransUnion, then you also DO NOT have to prove your income!  If your score is below 680 and do need to prove your income then if you have been diligent to deposit your income every time in your bank account, then a couple months of your bank statement history may be good enough to prove your income.  If you have not deposited your income consistently, then we may be able to use previous year tax returns.   ▲ Back to top

How long does it take to do paperwork for my new car?

 

Most of time the paperwork portion does not take very long.  It takes about 5 - 10 minutes to type in all of the information to the computer.  It takes about 10 - 15 minutes to receive the approval from the bank.  It takes about 5 minutes to print all of the paperwork and about 10 minutes to sign everything.  So all said and done, most finance deals should be completed in 30 - 40 minutes.  Time can be saved by completing our online credit application and getting a pre-approval.  If everything looks like it will fit the budget, then all that would be left to do is to take the vehicle on a test drive to make sure that you like it and print and sign the paperwork.  The biggest delays occur when all necessary documentation is not present or when the customer is indecisive as to which vehicle they want or can afford.   ▲ Back to top

Does Everage Auto accept trade-ins?

 

Yes, Everage Auto will take your vehicle in on trade.  Please bring your trade's title with you.  If you do not have your title because there is still a balance owed on your trade, that is not a problem.  We will need to get a payoff quote from the bank your vehicle is finance with that is valid for at least 10 days from the current date.  We will also need the address to mail the payoff, your account number to reference on the check, and a per diem amount (the amount of interest that is charged on a daily basis).  We get that in case there are delays in sending the payoff.   ▲ Back to top

How much is my trade worth?

 

Every vehicle is different and this is something that would need to be determined in person.  Just bring your trade by and we would be happy to appraise the vehicle and provide you with a trade value.    ▲ Back to top