I didn't get my first brand new car until I was in my early 20's. I had recently moved and gotten engaged, and my old car was on its last journey. Making the decision to buy a new car was both exciting and a little scary. I loved the idea of driving a brand new car, but the added expense of a car payment had me a little worried. I assumed that car loan interest rates would be out of my comfort zone and my budget.
Here are a few things to look for when purchasing a new car that can help you save money when choosing a car loan:
- Flexible terms: Put yourself in the driver's seat by finding a car loan that is right for you!
- No penalty for early payoff: Did you know that some companies charge a penalty fee if you pay the loan off early? Many loans have no penalty for early payment. In fact, many car loans are structured so that you gain an advantage by paying the loan off early. Get rewarded for being responsible!
- No ongoing account keeping fees: Avoid additional fees and costs whenever possible. This way the amount of your loan is the fixed amount that you signed and agreed upon - nothing more!
- Fixed payment amount for easy budgeting: This way there will be no surprises when your monthly bill arrives. By having a fixed repayment amount, you know what you have to budget for each month.
- Stay Within Your Budget: Just because you see your dream car doesn't mean that it's the one you should purchase. Be sensible and realistic! What can you afford and still be able to live within your means?
As with any major purchase, shopping around for the best deals is an important first step. Weigh your options and make the choice that best suits your specific and individual needs. With affordable rates and no penalty for early payout, you could be cruising down the road in the car of your dreams sooner than you think.
How do you save money when shopping for a new car?