FINANCING YOUR NEW OR PRE-OWNED VEHICLE
Ok, so you are excited to hop into your shiny new car and now they are asking for some money! Now it gets fun right? Yeah, we all know that buying a vehicle can sometimes be an emotionally driven impulse. Getting the facts on financing before you start your shopping will help you get to the right vehicle at the right price. A Lender will look at your Credit Score and Debt to Income when determining whether to loan you the money, the rate to give you, and the term of the loan. Be sure to investigate different financing options... for example, you might find that leasing will produce a lower payment and keep you from getting buried in debt.

CREDIT SCORE
Not sure if you have the credit power needed to get you into your dream vehicle?
There are a few different levels that your credit score can take you. To be at the top you have to be in the mid 700's or higher. If you have a credit score below 615-630 then you most likely are considered a Subprime Borrower. Research your credit online through Equifax, Experian, TransUnion or search Google.com for more options.

DEBT TO INCOME >top
When determining loan applications, Lenders will also look at your Debt to Income Ratio. For example, if you are making $5,000 a month, bringing home $3,300 and have $3,000 in bills & expenses, you probably won't be approved for a $600 per month payment.

BANKRUPTCIES, DIVORCE, LATE PAYMENTS, DEFAULT MORTGAGES >top
Our aim is to give you the resources you need to get back on track. There are many online resources for you to check your credit score. This is how most Lenders will measure you up when determining whether to loan you the money, the rate to give you, and the term of the loan. There are a few standard scores that they will look into. They are, in no particular order, Equifax, Experian and TransUnion.

TO LEASE OR NOT TO LEASE >top
You might find that leasing will produce a lower payment and keep you from getting buried in debt.
Leasing, if it is on the right vehicle that fits your driving habits, can be a smart way to get into a new or certified pre-owned vehicle. It is also an easy way to write off a vehicle if used for business. It is the perfect solution for you if you like to replace your vehicle every 2 to 3 years.

In our experiences, we have noticed that the biggest customer objection to leasing is that they will never own the vehicle. However, if the vehicle is financed for a 60 month loan (five years), the vehicle will be owned by the bank during that time. So, if you feel that a five year old vehicle is worth owning after all the interest is paid and like to drive more than 20,000 miles per year then Leasing might not be for you!

Will a lease work with my driving habits? Most leases will accommodate 10,000 - 12,000 miles of driving per year and some are geared to do 20,000 + miles per year. There is a fee per additional mile, so you might want to work some margin into your miles just in case you do one trip too many.


REBATES & INCENTIVES >top
We have all seen or heard about the 0% financing (free loans) and the huge cash rebates. Is there a catch?
The general rule is that you cannot use the cash back & the lowest interest rate. There are however times where you can get some cash back and a lower rate than normal. Ask your dealership if they are willing to break down different financing, rebate and or interest rate scenarios so that you can see which plans will fit your monthly or lump sum budget!

SPECIAL INTEREST RATES >top
Some of these hot deals, especially when advertised by the Manufacturer, are pretty legit. Of course, they have the quick talk or fine print that explains that the 0% loans are O.A.C. (on approved credit). Well who gets approved for these types of deals? It is usually the higher tier of consumer credit that qualifies for this type of loan. If you get the gut feeling that you aren't on the top, don't be discouraged, you still may qualify for a rate close to 0%.

REBATES >top
Rebates are a great way to get rid of some of that money you still owe on your trade in vehicle or just simply a great way to discount the vehicle. However, be ware of the dealership(s) that advertise every rebate ever offered that the majority of the population would not qualify for.

For example, you will see the famous words, up to $10,000 in rebates! This generally means that you probably are just eligible for $3,000 but would get the extra $7,000 if you happened to be in the Military, Handicapped, Graduated from College, are part of the (fill in the blank ______) organization, and your company is a supplier or fleet customer of the manufacturer and lastly, the Moon just so happened to be blue!

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