luvbug7982 asked:


6 months? a year? im working on my credit, its getting better and better but i just bought a car, interest is a little high but i got it hoping that making my monthly payments on time will also boost my credit rating. Of course, i dont want to end up paying all the interest on it so im wondering how long i should wait before trying to refinance with another bank at a better rate?

Donna

Howcast asked:

Expand the description and view the text of the steps for this how-to video. Check out Howcast for other do-it-yourself videos from Dynamic and more videos in the Car Finance category. You can contribute too! Create your own DIY guide at www.howcast.com or produce your own Howcast spots with the Howcast Filmmakers Program at www.howcast.com Make sure you get the best possible terms on your car loan by doing your homework. To complete this How-To you will need: Your credit rating A pre-approved car loan Math skills On-time payments A down payment (optional) Step 1: Get your credit rating Request a copy of your credit report by logging onto annualcreditreport.com or by calling 1-877-322-8228. You are entitled to one free copy per year. Car loans are based on your credit rating, so make sure there are no mistakes. Tip: Try to scrape together a down payment of at least 15 percent, which will greatly reduce your financing costs. Step 2: Shop before you shop Once you figure out how much you can afford to spend on a monthly payment, and before you set foot on a car lot, get a bank or credit union to pre-approve you for a car loan. Tip: Search online for sites that compare current auto-loan rates. Step 3: Focus on the APR When comparing loans, focus on the APR—annual percentage rate—rather than the monthly payment. It’s more important to have a low interest rate, as long as you can make the payment each month. Tip: Resist the temptation to finance a car for longer than 48 months …

Doris

luvbug7982 asked:


6 months? a year? im working on my credit, its getting better and better but i just bought a car, interest is a little high but i got it hoping that making my monthly payments on time will also boost my credit rating. Of course, i dont want to end up paying all the interest on it so im wondering how long i should wait before trying to refinance with another bank at a better rate?

Tony

Eleni Longe asked:


I’ve been quoted 18.99% on with a 630 credit rating. Is this something I should expect and suck it up and deal with it?

Karen

Carrie Reeder asked:




Getting the best interest rate for your automobile loan may require effort on your part. Many car buyers seek a low rate. A low interest rate may conclude whether a particular car is affordable. In fact, an interest rate reduction of 2% – 3% may lower your monthly car payment by $50, which will save you thousands of dollars on a 60 month term. Here are a few tips to help you get the lowest interest rate possible.

Save For a Down Payment

One way to obtain a low interest rate on an auto loan is to have a down payment. On average, the typical down payment for an automobile is 10% or $1,000. A down payment not only guarantees a lower interest rate, but you will also receive a lower monthly payment. This may allow you to pay off the balance in less time.

Improve Credit Rating

Your credit score is a huge factor in determining the interest rate for a new or used vehicle. There are two types of borrowers: prime and sub prime. Prime borrowers are individuals with a good or fair credit rating. Prime borrowers generally have a credit score of at least 620 – 660. These applicants are good candidates for low interest rates.

Sub prime borrowers, which include individuals with a credit score of less than 620, can expect to pay a higher interest rate. To qualify as a prime borrower, strive to improve your credit score. Avoid missed payments, and pay all bills before the due date.

Moreover, reduce your debt to income ratio. If possible, your credit balances should be no more than 50% of your limit. Keeping credit cards at the maximum limit will make lenders doubt your ability to repay the loan. The outcome is a higher interest rate or loan denial.

Compares Rates Online

To obtain the lowest interest rate on a new or used car, you must compare rates. Request a quote from online auto loan brokers. Ideally, you should compare rates from at least three or four different lenders. Auto loan brokers make the process quick and convenient.

Once your request for online quotes is submitted, with 24 hours you will receive an email with quotes from several lenders. Individuals with poor credit may also obtain online quotes from sub prime auto lenders. After comparing rates, fees, and interest rates, submit an official application with the lender who offers the best deal.

Elsie

crysta asked:


My credit rating sure is about 500, right now. Though I am usually very responsible with money, I was sick and unable to work for 3 years. I missed several payments and developed bad credit. Things have changed, and I am completely healed/not sick anymore.
I found a car that I like, which inexpensive so that I can pay it off asap. It also has low mileage. I see many websites online offering auto loans, but have no idea if they are legitimate. I guess they might have similar thoughts about me because of my credit history. lol! Where is the best place to go for a low credit loan? Thank you!

Charlie

Andrina James asked:




How To Get The Best Interest Rates On Your Auto Loan

Do you want to get the lowest possible auto loan interest rate for buying your dream wheels? It’s not a tough task if you go about it the right way. Interest rates may rise and fall, but whatever market conditions may be like you can beat them if you play it right. After all you never know when you may need to buy a car, so you should be able to do it without getting fleeced, no matter what the interest rates are at that moment.

Eight Steps To Finding The Cheapest Car Loan

Here’s the lowdown on how to get the best auto loan interest rate whenever you choose to go for it:

1. Build up a good credit rating: Lenders always prefer people with good credit history, so if you have any pending payoffs, finish them as soon a possible. Even if you have a less-than-good record you can make amends. If you start working on it at least 6 months in advance it shouldn’t be too difficult to make a good credit rating.

2. Do your homework: If you have time, find out the market conditions such as the prime interest rate before shopping for car finance.

3. Where down payment is concerned size does matter: Pay up as much as you can as upfront. A 50% down payment will get you a much lower rate than say a 20% down payment.

4. Go online: Most auto finance companies are accessible online, and the application process is much faster and simpler there. What’s more you get to compare many offers at one go.

5. Haste makes waste: Don’t be in a hurry. You may end up paying more for your auto finance than you should. Take time to consider various offers and compare them on vital parameters.
6. Read the fine print: Sometimes there may be hidden costs that are not revealed until you’re already in. Ask as many questions you need to before you sign up for that cash advance.

7. The refinance option: If you haven’t been able to improve your credit in time you can still make up for it later by going for a refinance cash advance. This will give you enough time to improve your ratings and then save on rates.

8. Get to know your loan before you plunge: Understanding how the advance works can help you save on interest. Interest rates are affected by various factors like the term of the cash advance, and the age of the car you’re buying. Knowing what affects the rates will help you minimize your interest payments.

Armed with these guidelines you can be sure you’ve done all that’s needed to get the best possible auto loan interest rate for your vehicle purchase. All you need to do then is sign up for the auto finance, buy that car and drive away without a care!

Louise

Paul J. Marshall asked:




An individual with excellent credit will be able to qualify for the least expensive interest rates. They have the choice of taking out a 36 month loan or a 60 month loan. The shorter loan would mean higher payments but less interest over the life of the loan. The longer the length of the loan, the higher the interest rate will be. For example, an individual who takes out a 60 month car loan will pay more interest then someone who takes out a 36 month car loan even if they have identical credit ratings. Even though the interest rate will be higher for the 60 month loan, the payments will be smaller because that loan amount is spread out over a longer amount of time. The worse someone’s credit is, the more they will pay in interest.

Used car loans are also typically more expensive than new car loans. An individual with excellent credit will be charged more interest for a used car, then someone with an identical credit rating who purchases a new car. As you can see, the length of the loan, whether or not the car is new or used, and the borrower’s credit score will all have an effect on the interest rate that one is charged.

While there may be an average interest rate for people based on their credit score, the final interest rate will be determined not only based on their credit history, but also on the loan length and whether or not they purchase a new or used car. A person who has excellent credit and who wants a shorter loan on a new car will be able to qualify for the best rates. People who have poorer credit, need more time to pay off their loan and who purchase used cars will end up paying the most interest.

To find auto loans with low rates, it’s a good idea to do some comparison shopping online. You can visit a particular lenders web page and see what they have to offer. You may also want to visit web sites where you can input your information one time and then several lenders will get back to you with a quote.

Rhonda

LARRY asked:


to a application with good credit rating if you have good credit you can offord monthly paymnets of $590.00, how much will you borrow from E-loan. what is the interest you will pay onthis loan

Tamara

Chimerenka Odimba asked:




Everyone knows that auto loans can help you acquire that car you’ve always wanted quickly. What less people know is that the resultant repayments can add up to almost double of the cost of the car. Check out the following tips to help you get lower interest rates.

Having good credit is a sure way to getting low interest rates on your car loans. It is therefore advisable to know your credit rating before applying for that Auto loan. Ensure you get a copy of your credit report and make sure there are no errors. If there are, have them corrected before going for the loan so you don’t find any surprises when applying for your car loan.

You could discover that your credit rating is bad. If that is the case, look at the following recommendations. They would help you get lower interest rates.

First check with a bank you already have a relationship with. They might be more disposed to give you a break.

Get someone with a good credit rating. Let him/her be your cosigner for the loan. The rates you would get would be the rate such a cosigner qualifies for. Which would of course be better than you would be qualified for.

Look online for site that help you link you with lenders. They help you compare amongst various lenders so you can end up with the best deal. The great thing about this is that it is absolutely free and there is no obligation attached to it. You simply fill their online form and they link you with lenders. The choice of which lender to go with or whether not to go with any lender they recommend is totally your choice.

Checking out these online loans sites can be very helpful as a research tool. Try out some we recommend.

Melissa