Home » Finance » Loans

Obtaining A Car Loan

Apr 8, 2008
Many people are intimidated by the very idea of loans, but you shouldn't be.

A loan is a service that is there for you to take advantage of, and though they take a bit of effort to obtain, they are there for the taking and the worst thing that can happen is that you are not approved for one and you have to look for another.

There is a program out there for just about everyone to take advantage of, so don't be intimidated, instead check out all of the offers that are out there just waiting to be taken advantage of and get into that new car that you want or need.

Financial Backing For That Big Auto Purchase
Vehicles today are expensive and most people cannot simply walk into a dealership and pay cash or even put it on a credit card. Most people need to get a car note to help them make affordable payments on the car. These notes often last two, three, four, five, or even six years in duration.

The shorter the term the larger the payments will be but the longer term you have the higher the interest rate will be. A good rule of thumb is to consider the shortest term you can afford to make sure that you are paying as little interest as possible.

Many people start the process by going out and looking for a car that they would like to buy and then they stress when it comes time to find financing help.

Today many dealers are recommending that people do this in reverse and simply put some feelers out there to see how much they are capable of borrowing from a lender.

Some lenders will give you a pre-qualified amount that they are willing to finance and this will help you ensure that you are shopping in the range of vehicles that you can actually afford to buy.

This process may be a bit more lengthy, but in the end in pays off in a big way because you get in and get out when shopping, allowing you to go home with your affordable purchase sooner.

Many times lenders will require that you put a down payment on the sales price of the vehicle. This is a percentage of the sales price and it makes the lender feel more comfortable with giving you the money for your purchase.

The idea is that you have some of your own money invested in the purchase so you aren't as likely to skip payments or anything of that nature. If you have poor or little credit you may also be asked to have a co-signer on the account that will pay the bill if you should default.

The interest rate that you are offered will depend largely on the term of the loan as mentioned above, but also your credit score and how much money you are putting down, if any.

The lower your interest rate is the lower your monthly payment will be, so it is in your best interest to shop around a little bit and try to find the best rate possible.

Rates are fluctuating quite a bit right now, but when you buy a new car you can usually get outstanding numbers that will allow you to buy something new at a great monthly rate!
About the Author
If you are planning to take a loan and that too a secured loan then you should check with us. We offer the best when it comes to loans.
Rating:
Please Rate:
(Average: Not rated)
Views: 207
Print Email Report Share
Article Categories
    • Artists
    • Gambling
    • Humanities
    • Humor
    • Movies
    • Music
    • Photography
    • Tattoos
    • Television
    • Classic Cars
    • Motorcycles
    • Recreational Vehicles
    • SUVs
    • Trucks
    • Vans
    • Branding
    • Business Opportunities
    • Careers and Jobs
    • Corporate
    • Customer Service
    • Direct Mail
    • Entrepreneurship
    • Ethics
    • Financing
    • Franchising
    • Home-Based Business
    • Human Resources
    • Import and Export
    • Leadership
    • Management
    • Market Research
    • Marketing and Advertising
    • Negotiation
    • Network Marketing
    • Networking
    • Organizational
    • Presentation
    • Project Management
    • Public Relations
    • Small Business
    • Strategic Planning
    • Team Building
    • Telemarketing
    • Training
    • Data Recovery
    • Databases
    • Games
    • Hardware
    • Networks
    • Operating Systems
    • Programming
    • Security
    • Software
    • Spyware and Viruses
    • Ask an Expert
    • College and University
    • Home Schooling
    • K-12
    • Languages
    • Online Education
    • Psychology
    • Coffee
    • Cooking
    • Gourmet
    • Recipes
    • Wine and Spirits
    • Acne
    • Aerobics
    • Alternative Medicine
    • Beauty
    • Cancer
    • Cosmetics
    • Depression
    • Diabetes
    • Diseases and Conditions
    • Fitness Equipment
    • Fitness
    • Hair Loss
    • Heart Disease
    • Medicine
    • Men's Health
    • Muscle Building
    • Nutrition
    • Skin Care
    • Supplements and Vitamins
    • Weight Loss
    • Women's Health
    • Yoga
    • Arts and Crafts
    • Babies
    • Collecting
    • Elderly Care
    • Genealogy
    • Hobbies
    • Parenting
    • Pets
    • Pregnancy
    • Woodworking
    • Feng Shui
    • Gardening
    • Home Appliances
    • Home Security
    • Interior Design
    • Landscaping
    • Affiliate Programs
    • Article Marketing
    • Auctions
    • Audio
    • Banner Advertising
    • Blogging
    • Broadband
    • Domain Names
    • E-Books
    • E-Commerce
    • Email Marketing
    • Ezines and Newsletters
    • Forums
    • Internet Marketing
    • Link Popularity
    • Pay-Per-Click
    • Podcasting
    • RSS
    • Search Engine Marketing
    • Search Engine Optimization
    • Security
    • Social Media
    • Spam
    • Video
    • Viral Marketing
    • Web Design
    • Web Development
    • Web Hosting
    • Copyright
    • Cyber Law
    • Intellectual Property
    • National, State, Local
    • Patents
    • Regulatory Compliance
    • Trademarks
    • Buying
    • Selling
    • Baseball
    • Basketball
    • Boating
    • Cycling
    • Extreme Sports
    • Fishing
    • Football
    • Golf
    • Hockey
    • Hunting
    • Martial Arts
    • Running
    • Scuba Diving
    • Soccer
    • Swimming
    • Tennis
    • Dating
    • Divorce
    • Marriage
    • Weddings
    • Astrology
    • Buddhism
    • Christianity
    • Faith
    • Hinduism
    • Islam
    • Judaism
    • Meditation
    • Metaphysical
    • New Age
    • Cable and Satellite TV
    • Cell Phones
    • Communication
    • Gadgets and Gizmos
    • GPS
    • Satellite Radio
    • Video Conferencing
    • VoIP
    • Addictions
    • Coaching
    • Goal Setting
    • Motivational
    • Stress Management
    • Time Management
    • Clothing
    • Electronics
    • Fashion
    • Gifts
    • Jewelry
    • Causes and Organizations
    • Environment
    • History
    • Holidays
    • Men's Issues
    • Nature
    • Philosophy
    • Politics
    • Women's Issues
    • World Affairs
    • Air Travel
    • Camping
    • Cruises
    • Destinations
    • Outdoors
    • Article Writing
    • Book Reviews
    • Copywriting
    • Fiction
    • Non-Fiction
    • Poetry
    • Quotes
    • Screenplay
    • Tools and Resources