When you’re in the market for a new or used car, you’re probably thinking about financing the vehicle. While dealerships make their own financing programs sound especially attractive, it’s always a good idea to shop around for the best auto loan rates—starting with local credit unions.
Deciding which payment option meets your needs
Choosing how to pay for your car is an important decision, so take time to think through each of the following options.
Choosing the right vehicle loan is about more than finding the best interest rate or the lowest payment. There are many considerations: How long should it be? Where should you purchase the loan? Can you do anything to improve your chances of getting a good interest rate? These are all reasonable questions that can be answered.
We spoke to Joseph Montanaro, Certified Financial Planner at USAA to get his best tips on choosing vehicles loans.
1.) Stick to a loan term that’s five years or less.
There are plenty of auto loans for people with bad or poor credit out there, you just need to know where to look.
Shopping for cars is fun, right up until you have to talk about financing. For people With poor credit, trying to get an auto loan can be very stressful and discouraging. It doesn’t have to be that way anymore. At RoadLoans, we specialize in providing and servicing auto loans for people with all types of credit.
We know that credit problems can happen to anyone. Whether your credit problems have developed over time due to poor spending habits or come on suddenly due to a job loss, accident or illness, RoadLoans is here to help. We provide auto loans for people with poor credit because we believe that everyone deserves a second chance. The best way to rebuild credit is to reliably pay back a loan. At RoadLoans, we can make that possible for you by providing interest rates and loan terms that can give you a car payment you can afford.
More Americans are struggling to make their car payments on time. The numbers, while still low, are definitely on the rise.
According to the latest State of the Automotive Finance Market report from Experian Automotive:
- 60-day loan delinquencies in the second quarter of 2014 increased by 7 percent (from 0.58 to 0.62 percent) from the previous year.
- The rate of auto repossessions in the second quarter took a significant jump — up more than 70 percent (to 0.62 percent) from a year earlier.