If you're shopping for a new or used car, it can be an exciting time. But even a smooth car purchase can be a real hassle. After you've picked out the model that's right for you, you still have to negotiate a price and pay for the car, which for most of us means getting a car loan. The good news is that you can still save money even when making car payments.
Finding a loan is just the first step in an auto-financing journey. You'll also need to find a loan with the best interest rate, which can save you hundreds or thousands in overall payments. This is especially true in the current auto market, where buyers are shelling out more money for cars now than they ever have before.
None of that has to be a problem for you, however, if you're willing to take a few steps to prepare for your next car shopping experience. Know your own financial background and have an idea of what you can afford. Don't walk into the dealer's lot until you have a pre-approval in hand and don't settle for the first interest rate you hear. It may seem like the seller has the upper hand, but you've got the money, which is always a good reason to look for the best deal.
If your credit isn’t perfect, or if the vehicle you want to buy isn’t available with zero-interest financing, you’ll need to shop around for the best auto loan rates. On the pages that follow, we’ll provide useful tips on doing just that.