In times past, before payday loans and credit cards, developing a relationship with your banker was one of the most important steps a person could take to keep their finances in order. If a farmer wanted to buy seed or fertilizer he went to see his banker, if a store owner wanted to increase her inventory she went to see the banker, and if a couple wanted to buy a starter home they went to see the banker. The bank officer was the only legitimate place to borrow money other than from family.
With the advent of the many financial instruments available now most people don’t even have a bank account or if they do it is all done online. They don’t have a connection with a single person at their local bank. I think this is a mistake. Developing a relationship with your banker can help you in a lot of ways. If you have a good rapport they can help you to buy a car with bad credit and help to rebuild your credit score if it is has taken a beating.
When I bought my first house it was a total fixer upper. I went to a local small bank to get the loan because no big national bank would have loaned on that house no matter what. The local guy talked to me for a few minutes, asked about the house and what I planned to do and then gave me a loan. Thinking back on it now I am amazed he took the chance on me but he did and it worked out great for both of us. I paid the loan and I still have the house as a rental.
Without looking him in the eye I am sure I would have never been approved for that loan. This is a prime example of how important it is to have a local banker who can help you with car financing and home financing which one of the big national banks would never be interested in. If you don’t have a relationship with a local banker then call up and ask for an appointment. Go in, shake his or her hand, and talk about your future financial goals.