Buying a new or used car is almost as bad as going to the dentist. You know that it’s going to be expensive, painful, and involve some form of getting screwed. However, getting approved for your used car loan doesn’t have to be discomforting by any means. By following three tremendously easy steps, you can save yourself a load of money without ever setting foot on the car dealership’s lot.

The first step in saving money on your auto loan is to get a copy of your credit report. You can bet money that the decision made by the bank on whether or not your car loan is getting approved or denied is going to be based off of the information contained in your credit report.

By already having a copy of your credit report before filling out a car loan application, you can see what your credit score is and take the appropriate steps needed to boost your credit rating in the event that you have less than perfect credit. Having a higher credit rating means that you are going to get greater car buying power and lower interest rates on your auto loan. This equates to savings of hundreds and even thousands of dollars.

The second step to saving money in car loans is to increase your down payment. Although being able to have a “zero-down” down payment is nice, it is even nicer not to have to finance that down payment money on your car loan. The more money you put down on a car, the less money the bank is going to have to lend you on your auto loan.

The third easy auto loan saving money step is to get pre-approved for your used car loan. Pre-qualified auto loan buyers save money by being able to negotiate better deals on their vehicles. By having the pre-approved power of a lending institution behind you, you can get higher rebates, better value in trade-ins, and lower the overall price of the car you want to buy. Remember the old adage that cash talks. Pre-approved auto loan recipient’s cash not only talks, but also saves.

If you get your credit report, increase your down payment and get pre-qualified for your car loan, you can maximize your auto loan savings and negotiate your own terms when purchasing a vehicle. Requesting a credit report is extremely easy. Recent laws have been passed that grant every person at least one free copy of their credit report each year. Take advantage of this opportunity. Arm yourself with this car loan knowledge. Start saving money on your new or used car auto loan.