If you've recently started exploring the world of car loans in Canada and automotive financing, chances are you've encountered several companies who are more than willing to take your information and get you into their lead targeting systems. And while many of these pre-approval firms do provide valuable services, they tend to come with a catch or two.
It's what inspired us to found Ribit. Being long-time professionals in the automotive industry enabled us to have a unique perspective on this type of business – a perspective that included the good, bad and the ugly.
So we decided that we would lead a charge for a new way of conducting business; one that was based on honesty, transparency, and putting people first.
So before you start submitting applications with every service out there, here are a few little known secrets that you should know:
1. Your information is currency.
Are you ready to submit a car loan application? Before you do, keep in mind that pre-approval firms exist to sell your information to dealerships. When you submit an application, you become a lead that is then sold. On it's own, it's fine. After all, we are all well aware that nothing comes free these days. The problem occurs when you (the "lead") are passed off to multiple salespeople for follow up. To put it lightly, your phone starts to ring A LOT. It's why our approach is to maintain a direct relationship with our clients, acting as your personal representative and advocate until you are matched with your perfect vehicle.
2. Your information will be sold multiple times.
Not only is your information sold, but it is almost always sold multiple times. Why? In short, to make more money. Pre-approval firms know that some of the dealers who buy leads will not follow up. To make the most "bang for their buck", they sell to a few different places (which is the reason for all the phone calls). Needless to say, this is not an issue you'll encounter with Ribit.
3. We all have access to the same lenders.
Yes it's true. While many will tell you that they have special "ins" with lenders who will approve you no matter how bad your credit is, this is quite frankly not the truth - at least not if they are conducting business in a legitimate way. We all have access to the very same lenders. When you submit your application with multiple places, you run the risk of seeing your credit score reduced because of multiple checks to your credit bureau. This is why it's best to apply with one pre-approval firm that you trust. We hope it's us!
4. You are not guaranteed approval.
Another thing you will hear often is that your approval is "guaranteed." Unfortunately this isn't quite so either. While many of us have the ability to guide you in finding solutions you may not have found on your own, there are situations that simply don't allow for a loan to occur. If this ends up being your situation, you will most likely be tossed aside as they focus their efforts on those who do qualify. At Ribit we have a firm policy that all customers are to be given the five-star treatment, meaning that no matter where you are financially, your value to us is the same.
5. They are a dime a dozen.
Finally, while you will see that there are a few major players in our industry, there are actually hundreds of these services across Canada. Many of these services will even position themselves on social media with multiple different names. In short, our industry is a saturated one and there are lots of companies competing for your business. As a consumer this is a really good thing, because it means that you are in the position to set your expectations high!
Are you ready to partner with a company you can trust? Head over to our 4-minute car loan application to get the ball rolling!