First of all, you should determine what you can afford to pay per month. Don't let a salesperson decide this for you .
Set a threshold amount...
the amount of money you just can't or won't exceed each month. If you need help determining this amount, give us a call.
Next decide...
how many months you want to make payments. Now go to our loan calculator. There you can plug in a range of interest rates and convert your monthly payment amount into a loan amount. Of course, our staff would be happy to do all this for you too, on the phone or in person.
Now that you know how much loan cash you can handle, you're on the way to determining how much vehicle you can buy. Just add the value of any trade-in you own (minus any debt on it) and any cash on hand you plan to use - and that's your target price to spend.
You're ready now to arrange financing...
and you can apply right here, using our online Loan Application. If you prefer talking to a live person, you can call our loan staff during office hours, and they can take your loan application on the phone.
Getting preapproved...
for your purchase is important, because it makes you a cash buyer, and that gives you bargaining power! Now just because we preapprove you doesn't mean you're obligated to finance with us - feel free to discuss financing at the dealership.... after negotiating your best deal, that is. We're confident that you'll find our low credit union financing to be the best deal in the end.
What About Low Rate Dealer Financing?
Think about it... auto manufacturers are in business to make money, not give it away. If you're offered a low or no interest rate loan from a car dealer you give up the rebate that's available, your negotiating power -- and as ths chart shows, you'll even have a higher monthly payment.
|
|
Credit Union
|
Dealer
|
| Cost of Vehicle: |
$25,000
|
$25,000
|
| Rebate & Discount: |
$4,000
|
-0-
|
| Amount to Finance |
$21,000
|
$25,000
|
| APR:* |
5.3%
|
0%
|
| Loan Term: |
60 months
|
60 months
|
| Monthly Payment: |
$399.18
|
$416.66
|
What a deal, right? Take out a no interest dealer loan and pay $17 a month more than the 5.3% credit union loan! Want to see some examples using your own numbers? Try out our Low APR vs. Rebate calculator and see how a lower loan amount helps you.
So, Now you're ready to hit the street and make your deal. But before you do that, we have just one more section... Negotiating Tips
*Annual Percentage Rate. Rate shown is for 60 month financing on vehicle models 2005 and newer. Your rate will be based upon your credit history, and may be higher. Your specific rate will be determined at the time of loan review.
