The wise way to purchase a car is with cash, if that is not an option then finance should be established prior to closing a deal on any particular vehicle.
Zero % financing is often used by Chevrolet dealerships in San Antonio to assist them in disposing of slow moving inventory. If you have excellent credit and finance through the manufacturer’s captive credit company and if the vehicle you want is available under zero percent financing this is something to jump on. Manufacturers put incentives up and take them down as they feel is appropriate and the terms can be anything from 36 to 60 months.
Purchasing a car from Chevrolet dealerships in San Antonio is a separate transaction from arranging a loan. Deciding on the car has one set of details to thrash through and deciding on; finance has its own set of details to thrash through. Keep the two transactions separate so that you know the true cost of money.
With pre-approved finance it is the same as paying cash for the car. Without pre-approved financing you can use the financing that the dealer can arrange but there may be differences. The interest rate you are offered at the bank may be a little lower than that offered by the dealer but there may be other incentives. If you calculate the real cash differential over the term of the loan it may not be all that great, who knows, maybe the dealer can throw in that extra option you wanted to offset the additional cost.
Using home equity as collateral for a loan to purchase a car can often be a good method of securing finance. The rates on home equity loans are low and the interest can often be tax deductible but should not be used if you do not have a predictable income stream where a tax deduction is attractive.
Before you begin looking for separate financing, find out your credit rating. Borrowers with an A rating will have no difficulty in getting the loan and at the lowest rate. B and C rated borrowers are not considered to be bad risks but they may be asked for a co signer or a substantial down payment. This is referred to as sub-prime financing and the interest rates can be as high as 20%. This is where the Chevrolet dealerships in San Antonio can shine, they have many sources of financing and unlike the bank, and they can shop on your behalf and more often than not find terms which are more than acceptable.
Wommack Chevrolet dealerships in San Antonio can work with you as your consider the various options available for financing the purchase of your new Chevrolet.
