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Updated:Saturday, April 19th 2008
Auto Loan

Tag:AutoLoan | Auto Loan | Auto Loans
Auto Loans: The Basics
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Before you set foot in a dealer's showroom, learn all you can about auto loans, leases, special financing and more.

 

  • Shopping for Auto Loans
  • Making Auto Loan Payments
  • Vehicle Affordability
  • Financing Costs of Auto Loans
  • Rebates & Special Financing
  • Costs of Vehicle Ownership
  • Choosing a Lender
  • Types of Auto Leases

    Auto Loans: Calculators
    Use these tools and calculators to make the smartest decisions about auto loans, auto payments and auto rates.
  • Latest Auto Loan Rates in Your Area
  • Buy New or Used Car?
  • Calculate Vehicle Depreciation
  • Lease or Purchase?
  • Finance or Pay Cash?
  • How Much Will My Monthly Payments Be?



    Auto Loans: Tips & Advice
    How to get the best car loan, Internet research is a good place to start

    No. 1. Start with a copy of your credit report. If it's really bad, stop applying for a loan. Each rejection will lower your score even more.

    No. 2. Don't be in a hurry and do plenty of Internet research on both your preferred car and on local auto loan rates. Fifty-eight percent of all Americans do not buy a car within their first 30 days of starting to car shop.

    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 car loan 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.

    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 be made to match your budget by stretching the loan out longer.

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    • If you're thinking about a trade-in, consider selling your old car on your own. It may be more of a hassle than you want, 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 (where you owe more than the vehicle is worth). Depending on your credit, you might have to think about 30 percent down to find your best possible car loan rate.

    High Recommended Books

    1. 
    Auto Buying vs Leasing (Insider's Guide to Auto Buying and Leasing)
    Auto Buying vs Leasing (Insider's Guide to Auto Buying and Leasing) by John Wesley (Paperback - Nov 1, 2001)
    Buy new: $17.95    13 Used & new from $7.51
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    Excerpt -
    page 2: "... own bank or credit union for their interest rates on auto loans, ..."

    2
    . 
    Auto Repair For Dummies
    Auto Repair For Dummies by Deanna Sclar (Paperback - Sep 30, 1999)
    Buy new:$13.19    96 Used & new from $4.25
    Excerpt - Back Matter: "... be ball- or roller-type. Blue books are available at bookstores,
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    auto supply stores, banks, loan offices, libraries, insurance companies, and on the Internet at www. ...
    "

    3. 
    Auto Upkeep: Basic Car Care
    Auto Upkeep: Basic Car Care by Michael E. Gray (Paperback - Jul 2003)
    Buy new:$16.29    13 Used & new from $13.85
    Excerpt - page 14: "... The bank wants to be fully compensated for the loan if the vehicle is wrecked. Auto insurance protects your vehicle against damage and theft, property damage ..."

  • Relate:Hsbc Auto Loan | GMAC Auto Loans | Auto Loan Refinancing
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    Next:Shopping for an Auto Loan

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