New Car Loan Rates - The Factors That Influence Them

New Car Loan Rates

Cars are becoming more and more a necessity rather than a mere luxury.If you're thinking of financing your new car acquisition, new car loan rates will vary from lender to lender. Lender financing is usually available to good credit quality borrowers.

New Car Loan Rates - Food for Thought

How do I know if I qualify for a new car loan financing?

• The most important factor car financing providers will look at is your income. Your gross monthly salary must be equivalent to or better than $2,000.00 if you're applying as an individual. If you have a joint applicant, your gross combined income must be at least $2,500.00 per month in order to qualify for a new car loan.
• Your loan request must be in the minimum of $7,000.00 up to the maximum of $75,000.00. So if you're looking at an old, beat-up Chevy or a pricey Mercedes Benz, forget it.
• You must purchase from your local franchised car dealer that is networked with them.
• Most car financing will require at least 2 years of continuous residence and also 2 years of continuous employment. Same goes for your joint applicant, if you have one.
• Of course, it goes without saying that you must be of legal age.

Getting Good Rates

To get the best rates, get as many quotes from as many car loan service providers as possible. Even if you have poor credit rating, car financing is still available for those who are determined.

So how do I know if I'm getting a fair price for the car? Well, as long as everything is clear and up-front, a fair price is what you and the dealer will agree upon as the final price.

The dealer will determine how much he thinks you're willing to pay for a new car. Of course, you won't let him know that!