BlueSky Auto Finance is an auto loan broker, which means that instead of doing the lending part of an auto loan, BlueSky matches borrowers with the best lenders for them.
If you’ve ever used Expedia to find the best airfare for a vacation, then you get the process. With BlueSky Auto Finance, you can shop quickly without having to go to numerous online sites to compare prices and rates.
Though BlueSky does advertise they work with no to low credit borrowers, they don’t restrict themselves to one particular type of borrower. The result is that BlueSky provides borrowers with the services they need, regardless of how credit bureaus label them.
If you don’t know what your credit profile is or don’t feel like applying to multiple lenders to find the best rate, then BlueSky is a site you should look into.
Car Loan Application Requirements
The documents you’ll need to submit for the loan application vary with whichever lender you choose and what your particular situation may be. If you have no or low credit, your lender may request alternate credit information.
Examples of alternative information include phone, internet, utility, and rent payments. If you suffer from low or poor credit, there are ways to have alternative data actually affect your credit.
For the most part, you’ll need to provide the following information regardless of which lender you choose.
- Proof of income: Pay stubs or bank statements can provide this.
- Proof of insurance: If you don’t have car insurance already, you can purchase insurance at the dealership when you are actually ready to purchase the car. However, having insurance prior to applying may better your chances of receiving the loan amount you need.
- Proof of identity: A photo ID with your signature on it should suffice. You may also need to provide original copies of your utility bills and bank statements. These confirm the address you have on your photo ID. You can also use stock certificates, passports, Medicare cards, or titles to other cars or your home.
- Proof of residence: Should you stop making payments on your new car, lenders need to know where they can find the car. For this, you can also use utility bills.
- Trade-in paperwork: If you’re trading in your old car, you’ll need to be able to present the title and registration papers. If you need a car fast and plan on trading in your car, presenting the appropriate paperwork from the very beginning will speed up the entire loan process dramatically.
Also, depending on your credit and which lender approves you for a loan, you may need to make a down payment. Good credit borrowers may not need to put anything down, but low to no credit borrowers will most likely need to in order to secure the loan. The norm is 10% of the car or $1,000, whichever is the higher amount.
Types of Car Loans Available
BlueSky Auto Finance works with a variety of lenders who specialize in different auto loans. The loan you’ll be eligible for all depends on which lender you decide to work with and your financial situation. There are car loans available for all types of credit profiles through BlueSky.
To simplify things, lenders sort borrowers into tiers. Tiers are broken apart by the borrower’s credit score. The higher the tier, the likelier you are to pay a higher interest rate and down payment.
The lower the tier, the fewer hoops you’ll have to jump through. In the auto industry, the scoring model ranges from 250 to 900, which is a bit different from the traditional FICO model.
The tiers are grouped by credit score as follows:
- Tier 5: 250 to 520
- Tier 4: 520 to 580
- Tier 3: 581 to 659
- Tier 2: 660 to 699
- Tier 1: 700 to 739
- Tier 0: 740 to 877
If you’re in a higher tier, don’t worry. BlueSky Auto Finance only works with lenders who deliver good rates. Yes, you’ll pay more to take out a loan (and will ultimately end up paying more for the car), but you should be able to find an option with affordable monthly payments.
Fees and Rates
There are no fees to apply to BlueSky Auto Finance. Depending on the lender you choose, there may be varying finance terms and costs associated with your personal credit profile.
The interest rate you receive on your auto loan will vary depending on the information in your credit report and the type of car you decide to purchase. Once your loan application is submitted and approved, you will be contacted by a loan processor who will give you specific details on interest rates, monthly payments, and loan terms.
The application is straightforward enough. Enter in your contact information (including a physical address), and from there tell them what you’re looking for. Questions you’ll answer to begin the application process include:
- Desired loan term (24, 36, 48, 60, or 72 months)
- Desired loan amount. They list a lot of ranges, but numbers begin at $7,500 or under, and go up to $30,000.
- Year, make, and model of desired car.
- Trim type.
Pre-approval can take up to 72 hours, but the plus side is that you can e-sign important documents, which truly expedites the process for a lot of mobile-centered borrowers. Once you’re pre-approved, you’ll be matched with dealers in your area.
Whether you have no credit, bad credit, or a bankruptcy on your credit report, BlueSky has a team of lenders with a proven track record of working with borrowers like you.
BlueSky has partnered with some of the biggest names in the business, including:
- Consumer Portfolio Services, Inc.
- Tidewater Finance Company
Each of these companies has a proven track record of working with a variety of borrowers and providing them with prompt, top notch customer service.
If you decide to work with BlueSky Auto Finance, you can rest easy at night. Not only will you be introduced with the right lender for you, but you’ll also be paired with nearby dealerships. This way you can walk straight into the dealership and know right off the bat you’re not wasting your time. In the end, that’s what it’s all about. BlueSky is hassle-free and saves you time.