Making a Vehicle Purchase? Enjoy These Helpful Tips

(03/12/2010) When making a purchase on a new or pre-owned vehicle, it is important to do your research.  Auto loan rates, down payment amount, and warranty are three factors to consider when structuring your deal.

Although many feel more comfortable doing business with a lender who’s familiar, don’t be afraid to explore your loan options.  Now, more than ever, consumers are relying heavily on the internet to shop and compare interest rates offered by a variety of lenders. Use online rate tables to shop and compare auto loan rates before making your vehicle purchase could assist in getting you the best interest rate, thus saving you thousands of dollars over the life of the loan.

Do the words “down payment” intimidate you during the car buying process? Don’t be intimidated. Instead see a down payment as an advantage. Loan to value (LTV) is important when purchasing a car. Lenders will use LTV calculations to determine the amount of risk involved. A hefty down payment can often assist with keeping the loan amount lower than the value of the vehicle.

Don’t be afraid to invest in a warranty for your ride.  While we hope for the best with any large purchase, it’s always a wise choice to be prepared just in case you’re faced with the worst.

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