Auto Loans Made Easy
You’re finally ready to buy your dream car. Before you take the plunge into your pocket, consider getting an auto loan. Auto loans give you the freedom to pay for a car over time, without drying up your available cash fund.
An auto loan is a loan taken to finance the purchase or lease of a vehicle. Most people do not have enough expendable income to purchase a car in one lump payment, auto loans offer the flexibility of periodic payments.
Before applying for an auto loan, consider the following:
APR rates
Annual percentage rating (APR) refers to the rate of interest you’re paying on your loan. APR rates range anywhere from 3 to 19% depending on your credit score, so shop around to compare available rates.
New or Used?
Don’t be allured by the shiny exterior of a new car. As soon as the car is off the lot, the value of most cars significantly decreases.
To lease or not to lease
Leasing is a popular option. Consider your finances, identify what you can afford to pay monthly, and then compare the rates of leasing versus buying a car.