Car Loans? - Ask Rich / Money 101

[Elizabeth] · 01-10-2009, 11:34 PM

Who usually has the better APR? Dealerships or Banks?
what besides good credit will get me a lower rate?

AGibson · 01-10-2009, 11:36 PM

Depends on if you buy a new or used car...Dealers hardly ever finance used cars, but they on average do give MUCH better rates on new cars. I got my car approx a year ago and it was a demo car (only 4K miles, but it was considered used). Bank of America gave me the best rate at 7.49% for a 2007 car. DF got his truck NEW and his rate from the dealership was 1.99%

They based my rate solely on my credit score.

OneRed911 · 01-10-2009, 11:40 PM

Whatever you go with...absolutely don't go with GMAC if at all possible.

SammaJamma · 01-12-2009, 09:45 PM

Originally Posted by OneRed911

Whatever you go with...absolutely don't go with GMAC if at all possible.

Why not..DH had them with his truck...even for him who was 19 at the time got a 9% apr

rosebud* · 01-12-2009, 09:46 PM

it often depends. I would shop around that is for sure. try and get a pre-approval with your bank or CU before hand it will give you the upperhand in bargaining.

I would keep an eye out for the dealer deals. with the economy they will probably do 0% if you finance via the car company.

*Pamela* · 01-12-2009, 09:47 PM

A down payment may lower interest rates..idk, but credit unions usually have the lowest rates in my experience. Dealership gave us 19%...yeah 19%...a year later we refinanced at out cedit union for 4.9%. $200.00 a month difference.

PrincessBlue505 · 01-12-2009, 09:49 PM

Good questions!

[Elizabeth] · 01-12-2009, 10:28 PM

I found 6.9APR, is that a good deal? (this is through Capital one, yeah- the credit card company)

Miss B Hav'n · 01-12-2009, 11:22 PM

Oftentimes you can secure an incentive in rate by agreeing to things such as automatic payment, etc. USAA, for example, offers 1/2 percent deductions for online application and also for auto-payments.

01-10-2009, 11:34 PM	#1 (permalink)
[Elizabeth] Love Simply, Simply love Join Date: May 2008 Location: Rockland, Maine Posts: 4,032 Classifieds: (2) Activity: 62% Longevity: 26%	Car Loans? Who usually has the better APR? Dealerships or Banks? what besides good credit will get me a lower rate? __________________

01-10-2009, 11:36 PM	#2 (permalink)
AGibson MilitarySOS Jewel Join Date: Dec 2007 Location: Home: Atlanta Currently: Mobile, AL (Blah) Posts: 314 Classifieds: (0) Activity: 0% Longevity: 33%	Depends on if you buy a new or used car...Dealers hardly ever finance used cars, but they on average do give MUCH better rates on new cars. I got my car approx a year ago and it was a demo car (only 4K miles, but it was considered used). Bank of America gave me the best rate at 7.49% for a 2007 car. DF got his truck NEW and his rate from the dealership was 1.99% They based my rate solely on my credit score. __________________ ~Paige~

01-10-2009, 11:40 PM	#3 (permalink)
OneRed911 A Pretty Poison Flower...bringing you the sweetest juice. Join Date: Jan 2008 Location: Me: Norfolk Him: Norfolk now, Afghanistan soon. Posts: 3,787 Blog Entries: 1 Classifieds: (0) Activity: 31% Longevity: 30%	Whatever you go with...absolutely don't go with GMAC if at all possible. __________________ Wifey to nstarsweetie and missmaaaine, pog to miraluu, and TayreehBaykur is my Mistress! Mrow! !

01-12-2009, 09:46 PM	#5 (permalink)
rosebud* rosebud*<3 Brittany Jo && <3 thekels9 Join Date: Nov 2005 Location: [wherever his heart is] Posts: 32,651 Blog Entries: 2 Classifieds: (0) Activity: 49% Longevity: 67%	it often depends. I would shop around that is for sure. try and get a pre-approval with your bank or CU before hand it will give you the upperhand in bargaining. I would keep an eye out for the dealer deals. with the economy they will probably do 0% if you finance via the car company. __________________

01-12-2009, 09:49 PM	#7 (permalink)
PrincessBlue505 Loving being a MOMMY!!! Join Date: Jan 2006 Location: Pensacola, Florida Posts: 4,748 Classifieds: (0) Activity: 8% Longevity: 65%	Good questions! __________________

About Us

MilitarySOS Shortcuts

MilitarySOS Help

About MilitarySOS

01-12-2009, 09:47 PM	#6 (permalink)
Pamela MilitarySOS Jewel Join Date: Dec 2008 Location: Monterey Posts: 5,945 Classifieds: (1) Activity: 69% Longevity: 15%	A down payment may lower interest rates..idk, but credit unions usually have the lowest rates in my experience. Dealership gave us 19%...yeah 19%...a year later we refinanced at out cedit union for 4.9%. $200.00 a month difference.

01-12-2009, 10:28 PM	#8 (permalink)
[Elizabeth] Love Simply, Simply love Join Date: May 2008 Location: Rockland, Maine Posts: 4,032 Classifieds: (2) Activity: 62% Longevity: 26%	I found 6.9APR, is that a good deal? (this is through Capital one, yeah- the credit card company) __________________