Advice On Auto Loans & Auto Dealers

Internet Research is THE Place To Start

No. 1. Start with a copy of your credit report. If it's really bad, stop applying for a loan until you've found a place such as Autoloan.com. Each rejection will lower your score even more. What makes us different is our nationwide network of lenders can slot you to the best auto loan rate your credit score will allow.

No. 2. Don't be in a hurry and do plenty of Internet research on both your preferred car and on possible rates for auto loans. Fifty-eight percent of all Americans do not buy a car within their first 30 days of starting to car shop. You can find what you can expect to pay, based on your credit score, at www.myfico.com.

No. 3. Don't fall for "zero percent financing" campaigns because very few Americans have the credit standing to
qualify (an estimated seven percent). Your rate will depend
on a number of factors, including your credit
score and the size of your downpayment.
If you're a classic bad credit car loan
customer, start thinking about a loan in
the $10,000 range, as that is the comfort
range of most financial institutions. That's
why we've been researching the best
$10,000 cars for bad credit customers.

No. 4. Here's the hard part. When it
comes to talking with the dealership, try to
keep things simple and separate.
• Try to settle on the total price of the vehicle first.

 

Don't think in terms of monthly payments because any monthly payment can match your budget if the loan is stretched out longer.
• If you're thinking about a trade-in, consider selling your old car on your own. It may be a hassle, but you might get a higher price.
• The more you can apply to a down payment, the better you will be treated. Experts suggest putting at least 20 percent down as a way to avoid becoming upside-down on your loan. Depending on your credit, you might
have to think about 30 percent down to find
your best possible auto loan rate.