Be Money-Wise: Simple Guide To Get A Great Auto Loan
Your car may be getting a little too old, and you are ready to purchase your new set of wheels. But you should first consider the following tips, especially if you want to make sure that you get the best deal on your car loan.
Find the Best Loan and The Two-Week Rule
The first thing that you should know is that you need to avoid getting your car loan from the car dealership. The dealership will likely give you car loan rates that are a little higher than they need to be. So the best thing that you can do is look for your own car loan before you even step onto the dealership.
You should submit your applications within a two-week time frame. The reason is that your credit is affected every time you apply for a loan, and it takes about 2 weeks to harm you. You'll get an optimal rate by simply limiting yourself to two weeks.
Loan Time and Amount
Some car loans could end up costing you more than you bargain for. You can avoid a bad car loan by simply paying attention to the entire amount that you will be borrowing and the length of the loan.
Make sure that you can pay the amount that you are borrowing, and make sure it is the bare minimum that you need. Never focus on low monthly payments, as those are there to distract you from the whole amount that you will end up paying back. Low-monthly payments will also extend your loan, which also means higher interest rates.
You can get better interest rates by simply getting a short-term loan; the best being loan term is around 48 months.
Value Yourself, and Get a Better Deal
You probably will hear a lender tell you that you are getting the best loan. But chances are that you are not getting the best loan. You can get a better loan by making sure that you let the lender know that you have other quotes. This will let the lender know that you have choices and can simply choose someone else. Make the lenders fight to give you the best deal.
As you can see, getting the best car loan can be done easily, and you do not have to be a financial genius, just a little savvy. All you need to do now is choose a great car. The next time you're looking for a car from a dealership, such as Premier Auto, remember these tips to help you get the best auto loan for your situation.