Get an Auto Loan the Smart Way
by: Anthony Finlay
Did you know that most people pay hundreds or thousands of dollars more on auto loans than they have to? Get an auto loan the smart way. Read on.
Most people really get taken for a ride on their auto loan. Did you know that differences in the total cost of different auto loans can run into a thousand dollars or more? Here’s how you can get the lowest rate:
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Make a list of different auto loan lenders and their interest rates and terms, before you go to the dealer (the web is usually the easiest way to do that). Did you know dealers get a commission on the loans they refer? If you’re not careful, that extra bit of money for the lender could mean you pay a higher rate than you would if you got the loan yourself.
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Get a credit report and figure out your FICO scores. Removing any incorrect negative information from your report will help you get a better deal. Knowing exactly what your score is will help you figure out what interest rate you can realistically get.
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Have bad credit? Try going to your credit union, bank or another institution where you have a relationship. Lenders like to help out established customers. If your bank still won’t help, online "bad credit auto loan" lenders usually offer better less expensive loans than dealers who advertise their great deals for people with poor credit.
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Use a vehicle loan calculator. It will tell you what your loan will cost each month. It saves you the time of looking at vehicles you can’t afford, makes you aware of what information you’ll need to apply for a loan, and is a "reality check" of your financial condition.
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Comparison shop, comparison shop, comparison shop. You don’t get the least expensive car by choosing a dealer at random, and you won’t get the least expensive auto loan that way, either.
Monday, March 26, 2007
Lease or buy car
Used Car Loans
by: Llewellyn Whitaker
Want to buy a used car but just don't have the funds sat in your bank account? If so, why not consider taking out one of the many used car loans available on the loans market.
Used car loans are specifically designed by loans companies to provide used car buyers with a competitive finance arrangement through which to purchase a used car. Flexible loans terms are available from used car loans companies, as well as low APR deals suitable for used car purchases. Used car loans of up to £20,000 can be arranged on an unsecured basis, with loans companies offering higher loans amounts if security is supplied.
Advance plan your used car loans
When buying a used car it pays to do some advance planning and arrange your used car loan ahead of the search for a used car. There are many loans companies out there offering loans for used car purchases, so it makes sense to shop around to get the best loans deals for buying a used car. Look for car loans that are flexible to your needs and offer a low APR, so your monthly used car repayments on any loans taken out won't be sky-high.
As with all types of loans, you should first determine how much you can afford to borrow on loans to buy a used car. Loans calculators are available on the Internet and can be used to calculate loan and repayment amounts in accordance with different APRs. It is important to take into account other financial commitments too, including other loans, when calculating the loans amount that you can comfortably borrow to purchase a used car.
If you intend to buy your used car from a used car trader where they offer car loans / finance for their used cars, then do make sure that the loans deal you sign up to is better than the loans deal that the used car trader can offer. The APR rate is the critical thing here. On car loans tailored for used car purchases the APR rate - i.e. the rate of interest you'll pay on top of the used car purchase price - can be as low as 6%. Finance loans deals through used car traders may have a higher APR, so pushing the total cost of buying a used car up to an unacceptable price.
One final thought. When negotiating the price of a used car with a trader, they may accept your lower offer providing that you take up one of their loans to finance the used car purchase. If this is an option then do check the terms and conditions of their loans carefully, paying special attention to the loans APR rate, as the savings from your negotiation on your used car may not be as attractive as first imagined when you consider the final costs attached to their loans!
by: Llewellyn Whitaker
Want to buy a used car but just don't have the funds sat in your bank account? If so, why not consider taking out one of the many used car loans available on the loans market.
Used car loans are specifically designed by loans companies to provide used car buyers with a competitive finance arrangement through which to purchase a used car. Flexible loans terms are available from used car loans companies, as well as low APR deals suitable for used car purchases. Used car loans of up to £20,000 can be arranged on an unsecured basis, with loans companies offering higher loans amounts if security is supplied.
Advance plan your used car loans
When buying a used car it pays to do some advance planning and arrange your used car loan ahead of the search for a used car. There are many loans companies out there offering loans for used car purchases, so it makes sense to shop around to get the best loans deals for buying a used car. Look for car loans that are flexible to your needs and offer a low APR, so your monthly used car repayments on any loans taken out won't be sky-high.
As with all types of loans, you should first determine how much you can afford to borrow on loans to buy a used car. Loans calculators are available on the Internet and can be used to calculate loan and repayment amounts in accordance with different APRs. It is important to take into account other financial commitments too, including other loans, when calculating the loans amount that you can comfortably borrow to purchase a used car.
If you intend to buy your used car from a used car trader where they offer car loans / finance for their used cars, then do make sure that the loans deal you sign up to is better than the loans deal that the used car trader can offer. The APR rate is the critical thing here. On car loans tailored for used car purchases the APR rate - i.e. the rate of interest you'll pay on top of the used car purchase price - can be as low as 6%. Finance loans deals through used car traders may have a higher APR, so pushing the total cost of buying a used car up to an unacceptable price.
One final thought. When negotiating the price of a used car with a trader, they may accept your lower offer providing that you take up one of their loans to finance the used car purchase. If this is an option then do check the terms and conditions of their loans carefully, paying special attention to the loans APR rate, as the savings from your negotiation on your used car may not be as attractive as first imagined when you consider the final costs attached to their loans!
Home equity line of credit
Home Equity Loans ... Wise or Unwise?
by: David Greene
Home Equity Loans
Over the past few years many Americans have established lines of credit secured by the equity in their homes. For marginal borrowers this can turn out to be highly risky as it exposes these families to the loss of their homes. Lenders tend to quickly change colors from friend to foe in times of financial crisis and need and will "take it away if you can't pay".
Prior to mortgaging or refinancing a home one should consider what the families finances would look like if one or more of the family members living in the home lost their job or came down with a serious illness.
How long could you keep the home payments current if there was an unfortunate loss of family income?
In spite of the dangers of refinancing or taking out a home equity loan there are times when it may in fact be wise. Perhaps credit card debt has gotten out of hand. You can get a home equity loan at much lower rates, pay off the credir card debt, and lower your monthly payments, perhaps as much as by 50%.
A word of warning, however. You must not run up your credit card balances once again or you will end up in even worse financial shape than you were to begin with. It would be far safer to avoid temptation by cutting up your credit cards and using a debit card instead.
There are other occassions when a home equity loan may be justified. Perhaps you wish to start your own business and are willing and able to take the risk that things may not work out as you plan. Your home equity will likely be the cheapest source of start up capital around.
Perhaps you wish to purchase an existing business, one that should earn you a good income for a long time to come. Again your cheapest source of capital would likely be a home equity loan.
In general, one should consider a home equity loan when the loan proceeds are used to very likely improve ones financial position. This would be a wise use of the loan proceeds.
One should use extreme caution in using a home equity loan to purchase additional consumer goods, say a large expensive flat screen TV set or a new SUV. The worst example of the use of a home equity loan that I know of was a couple who took out a loan in order to go to the Superbowl. Just think of how much that Superbowl trip will really cost over the years as interest payments are added in. What a terrible short sighted financial decision.
My advice. Use a home equity loan only to improve your financial position or to raise funds in a true emergency situation. Using a home equity loan to purchase things that will only lose value is a misuse of the loan proceeds that could cost you what is probably your most useful and valuable possession ... your home.
About the author:
David is a full time Internet business developer who maintains an office in Bradenton, Fl. but who spends most of his time in the Land of Smiles, the Kingdom of Thailand.
His latest Internet project is http://www.smartloanshop.com
by: David Greene
Home Equity Loans
Over the past few years many Americans have established lines of credit secured by the equity in their homes. For marginal borrowers this can turn out to be highly risky as it exposes these families to the loss of their homes. Lenders tend to quickly change colors from friend to foe in times of financial crisis and need and will "take it away if you can't pay".
Prior to mortgaging or refinancing a home one should consider what the families finances would look like if one or more of the family members living in the home lost their job or came down with a serious illness.
How long could you keep the home payments current if there was an unfortunate loss of family income?
In spite of the dangers of refinancing or taking out a home equity loan there are times when it may in fact be wise. Perhaps credit card debt has gotten out of hand. You can get a home equity loan at much lower rates, pay off the credir card debt, and lower your monthly payments, perhaps as much as by 50%.
A word of warning, however. You must not run up your credit card balances once again or you will end up in even worse financial shape than you were to begin with. It would be far safer to avoid temptation by cutting up your credit cards and using a debit card instead.
There are other occassions when a home equity loan may be justified. Perhaps you wish to start your own business and are willing and able to take the risk that things may not work out as you plan. Your home equity will likely be the cheapest source of start up capital around.
Perhaps you wish to purchase an existing business, one that should earn you a good income for a long time to come. Again your cheapest source of capital would likely be a home equity loan.
In general, one should consider a home equity loan when the loan proceeds are used to very likely improve ones financial position. This would be a wise use of the loan proceeds.
One should use extreme caution in using a home equity loan to purchase additional consumer goods, say a large expensive flat screen TV set or a new SUV. The worst example of the use of a home equity loan that I know of was a couple who took out a loan in order to go to the Superbowl. Just think of how much that Superbowl trip will really cost over the years as interest payments are added in. What a terrible short sighted financial decision.
My advice. Use a home equity loan only to improve your financial position or to raise funds in a true emergency situation. Using a home equity loan to purchase things that will only lose value is a misuse of the loan proceeds that could cost you what is probably your most useful and valuable possession ... your home.
About the author:
David is a full time Internet business developer who maintains an office in Bradenton, Fl. but who spends most of his time in the Land of Smiles, the Kingdom of Thailand.
His latest Internet project is http://www.smartloanshop.com
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