Car Financing FAQ: Which option makes the most sense?

At Central Avenue Chrysler Jeep we understand how time consuming it can be to find the most advantageous car financing options. And we know that things are even worse if you have a less-than-perfect credit history. To help you out, we reveal several auto financing options that most dealerships and lenders are ready to offer you regardless of your credit score.

Auto Loans: What Should You Be Looking For?

The following paragraphs highlight aspects that many successful people consider before opting for a certain type of auto loan.

•  Types of Loans: The most common car financing options are the online auto loans. Although these loans are truly convenient because they allow you to apply online, the interest rates vary greatly among the lenders offering these financing alternatives. Dealership loans provide the second type of auto loans available today. Unfortunately, these options come along with huge interest rates, high fees for late payments, and the risk of having the car repossessed if you fail to pay the loan on time. The standard auto loan is a good choice if you have a decent credit score. However, most lenders will offer you this loan only if you're able to make a large down payment on the car.  

•  Payment Options: Coming down to auto loan payment options, you can choose between quick payoffs, coming along with affordable interest rates and increased trade-in value, and long-term payoffs accompanied by high interest rates and significant depreciation hit. If you wish to benefit from affordable interest rate and increased trade-in value, make sure you can afford the monthly payments.

•  Car Loan Term: There are short-term and long-term car financing alternatives. Short-term loans have payment terms that range between 12 and 36 months, while long-term loans come along with payment terms of 36 up to 84 months.  
•  Features: A lending institution that offers auto loans should complement its services with other useful tools, such as loan calculators, car finders, and finance applications to help you choose the best financing option for buying a new car.

•  Help and Support: When choosing an auto loan service, make sure that it has not only phone, email, and chat options available, but also the willingness to help you before and after you apply for an auto loan.   

If you're searching for a car financing option that exceeds your expectations, the only thing you have to do is to work with us!