Getting a car loan from any finance company in the USA must be deed that is forethought and not an afterthought. To help our readers who would like to go for an auto loan we, in creditmela.com have made efforts to provide tips and information about car financing in the US.
Any one who likes to buy a car through taking up a loan, one must prepare to proceed through the right direction, which is a very simple but organized way of preparatory steps as explained under:
One must not deny the fact that one need to have a monthly budget for buying a car through financing. Find out how much money apart from your indispensable expenses is left on monthly basis? Once you have all of this worked out, you should have a ballpark figure of the budgeted amount you can use for car payments. A good rule of thumb is roughly 15 to 20 percent of your net income can be used for a car payment. Once you determine that figure, stay with it.
Now that you have settled on a monthly allotment, now you can look at which vehicles fit into your price range. This is purely about personal choice, but a good criteria to go buy is to look at what your needs are. Your car needs comes with the size of your family and hence start looking for safe and reliable minivans and station wagons available in the market if you have a family. If you are Single and commute, the compact car segment has a wide range of models to choose from that boast handling and superior gas mileage. Once you've narrowed your choices down to a couple, it's time to do some car research.
Look at interest rates. You'll want to get the lowest possible interest rate, as it will help you pay less in the long run. Also be aware of factory-to-dealer incentives. The secret is that the manufacturer refunds a certain percentage of the car's price to the dealer. So even if the car dealer sells you a car at the invoice price, he or she will still make money from the deal. Find out about a manufacturer's incentive percentage, as they are public information. You should also look out for rebates. When incentives are offered, this often means the manufacturer wants to either get rid of slow-selling cars or reduce the inventory. Therefore, they may also offer the buyer a cash rebate and a low financing rate, or an option of one of the two.
After making this little research, its now time for you to walk off to a car dealership. You already have an idea of what kind of car you want, how much you can spend and what kind of perks you can get. Also you have an idea as to what different car dealerships are offering. This is quite a bit of information for you to carry with you into the negotiating process. But again, the more you know, the better off you'll be. But remember: Car dealers are professional negotiators and do it everyday. You are a novice and will be treated as such. The car dealers aren't going to be easy on you, nor are they going to point out all the ways you can save money. It's up to you to find all of those. Don't let a car dealer force you. Be relaxed and comfortable you know all the information and that you hold all the cards.
Broadly classified, car loans in the US can be availed under three categories:
1. Car Loan: The traditional car financing method remains to be the car loan. The big benefit is after you pay the loan off, you own the car free and clear. You can also make any alterations to the car you'd like, because after all you own the vehicle - unlike a lease where you return the car when the lease is up.
2. Car Lease: A car lease remains a popular car financing option for those who want to keep their monthly payments low. It's also a good method of finance for those who like to get a new car every two to three years.
3. Refinance Car Loan: You should consider a refinance car loan if you received less than favorable terms during your new car purchase. This is an especially good option if your credit has recently greatly improved and you can now qualify for a much lower rate.
For an auto loan Calculator, click on the link:
http://www.autocreditfinders.com/loancalculator.aspx
Following are the list of prominent banks / finance companies in the USA offering car loans or other automobile finance to the customers:
One of the top Banks of the US, Bank of America offers car loans to suit the repayment condition of the customers. For financing your car, Bank of America has mastered the best way to pay for your car to meet your needs........
Thinking for getting a hassle-free car loan in the US? Choose Chase Manhattan Bank! At Chase making your car financing experience is easier and more affordable. Make Chase as your first choice in selecting an auto loan when purchasing your next car.......
Auto loans are available with the HSBC Bank in two different shapes.New and Used Car Loan and Auto Refinancing .........
At The Bank of New York, car loans are coming in three categories - one for buying a new car and the next is for buying used car. Apart from the car loans The Bank of New York offer automobile loans at competitive rates for new and used autos such as motorcycle, boat, and recreational vehicle loans at attractive rates........
With the Wells Fargo car loans in the US, one can refinance his Auto Loan and lower the Monthly Payments! When you're ready to purchase your next vehicle or refinance your current auto loan, Wells Fargo Financial can help, with flexible and affordable financing and credit options........
There are three convenient ways to finance your Auto Loan with the US Bank. US Bank strives to make the process of getting your new car, truck or other vehicle as simple and hassle-free as possible with the following auto loan options.........