Auto Car Loan

There are literally thousands of web sites that purport to give consumers advice about getting an auto car loan. Much of this information is geared toward the argument that car dealers take advantage of the customer. But while there are still a few dealers out there that may be “bad eggs”, our experience has been that most dealers treat their customers fairly. Dealers do this because in today’s economic and consumer-centric environment, hey want to earn your business for years to come not only for more car sales, but for the service work on your vehicle, as well.

So with that debate out of the way, here are the most important steps for a successful auto car loan buying experience:

First of all, you need to know your credit score, which is usually called a FICO score. A score above 640 means you can purchase a new or used car with a conventional auto car loan. A score below 640 would indicate that you need to apply for a subprime car loan (sometimes called a bad credit car loan).

Secondly, you need to determine a monthly budget for your new vehicle. Be sure to include the price of full coverage auto insurance in your budget, since all auto car loan lenders will require you to have collision insurance in addition to liability and property damage insurance. You should also take into consideration the gas mileage of the vehicle and the associated fuel costs – and be sure to estimate fuel costs on the high side – about $4.00 per gallon (in case fuel costs spike again).

Finally, do your homework. This means shopping for loan rates from local banks and credit unions as well as determining the dealer cost of the different models you are shopping for. There are a number of internet sites that can supply you with this information as well as any current applicable rebates on the different cars you are considering.

Start the Auto Loan Application