Posts Tagged ‘Auto Loan’

April 30, 2010 at 12:58 am

Where To Find an Easy Car Loan?



An easy car loan can be found on the internet. Online car financing is actually the most simple, easiest and less time consuming way to get financing for your vehicle purchase and in addition, you are able to do a thorough comparison between the best offers on the market. According to reliable sources (Consumer Federation of America), vehicle buyers are often overcharged by 3% or more on loans they are taking through a dealership. This can mean an extra loan cost of $1,000 or more. The best loan websites are the cheapest, your job is to find those sites and select the loan that fits you best with regard to interest rates, fees and other terms. On these quality sites you don’t have to pay application fees, or down payments and your new or used auto loan is approved in minutes.

Here is how you do it:

You must decide which vehicle you are looking for, what it cost and how much you need to borrow. Also, do some calculations upfront to find out how much you are able to pay on a down payment and what monthly payments can be, along with interest and fees. Then determine how long a period of time you’ll need to pay it back. Use an online car loan payment calculator. With these figures written down, go to the internet and either look for a recommended online car finance company or do a search for ["car loans"+review]. Then you will get a list of loan companies and references from other people that have dealt with these companies before. Select 3 to 5 of the companies that appear to have the best offers and apply. The application process is very easy; in most cases you only have to fill in 4 to 5 cells of information, that’s all. Then sit down and wait a few minutes and you will receive their offers either by email or directly on the website. With all the offers in front of you, start the comparison process: You should compare interest rates, fees, and other terms that might affect your loan costs, especially the part in small print. When this is done select two lenders and contact them over telephone. This will give you a feeling of which people you deal with; whether they are friendly and service minded; ask yourself “would I like to do business with them?” Then you should have a good platform for choosing your vehicle lender. Choose the one you like best. Give them a feed back either by phone, email or via their website. Now, sit down and wait for your money to come; it will take only a few days.

In the mean time, go to the dealership and start the price negotiation. When you know you have the money, you are in a much better position for negotiating a really great auto deal.

By: Terje Ellingsen

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April 20, 2010 at 11:57 pm

How to Refinance An Upside Down Car Loan



An estimated 30% of new car owners have upside down car loans – loans where one owes more than what the car is valued at. However, even used car owners can have this problem. While refinancing won’t solve all your problems, it can help make your payments more manageable.

Start by checking out your current loan rates and terms. Then you can compare car loan lenders to see what deals you can find. After that, it is just a matter of picking terms and doing the paperwork.

Check Your Current Loan Rates And Terms

It is a good idea to look at your current car’s loan rates and terms to see what you have. This will give you a target rate that you want to fall under. Also, check to see if there are any early payment fees.

Besides looking at your rates, figure how long you have left on your auto loan. You can select a new loan with approximately the same pay off date or extend the terms for a lower monthly payment.

Compare Car Loan Lenders

Finding the best refinance offer is a matter of searching for the right lender. Luckily, you can use the internet to save yourself some time. Using a broker site will let you collect rate quotes in minutes. Or you can go to individual financing company sites and look at their rates.

Either way, you want to compare their APR. That way you won’t get caught paying high fees for a low rate.

Pick Better Terms

While you are searching for rates, also plan on picking better loan terms for your budget. Selecting a loan for the same period you have left on your old loan will keep you on track for the pay off date. It will also help you get out of the upside down loan situation sooner.

However, a longer loan of five to seven years will lower your monthly payments immediately. The tradeoff is that your interest costs will be higher.

No matter what type of loan terms you choose, don’t hesitate to start your loan paperwork once you have selected the right lender. Quotes aren’t locked in until you start signing paperwork. The sooner you refinance, the more money you can start saving on your monthly payment.

By: Carrie Reeder

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April 18, 2010 at 11:08 am

What Credit Score Do You Need For an Auto Loan?



Your credit score and your ability to get approved for an auto loan go hand in hand. The number that represents your credit rating may seems insignificant, but it is one of the most significant pieces of financial information available. Not only will it determine whether or not you get approved for an auto loan, but it determines how how much you are going to pay for new car.

While banks have made it harder for people to get approved for any kind of loan, whether it be a car loan, a personal loan, or a home mortgage, there are lenders who will give you the money you need regardless of your score. However, that doesn’t mean you have to get ripped off.

In most cases, in order to get approved for an auto loan, you need a credit score in the 740 range. If you have a score in the high 600’s, you may qualify for a high-interest rate loan, but that’s not typically a good scenario. Not only will getting a loan with a high interest rate cost you a fortune, it’s like throwing away money. Especially when there are some simple things you can do to increase your credit score before you buy your new car to get the rate you deserve.

By simply viewing your credit score and credit report online, you can quickly see what kind of loan you qualify for. If it is not as good as you expected, the best thing you can do is look over your credit report to identify any errors on your file. It is fairly common for the wrong information to be placed on the wrong person’s credit report, which means your score may be worse than it really should be. These items should be removed to immediately increase your score, which is a simple thing to do.

By: Ryan J. Taylor

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