Auto Finance – The Dilemma
When buying a car think about your options carefully, Otherwise you will find yourself in a dillema when selecting a financial plan that will suit and benefit you in the long run. The Internet is full of great tips on how to save money, how to get a loan, lease or anything else related to buying a car.
But, let’s start from the beginning.
You want a new car.
Your plan should not be to walk into a dealership and simply open your wallet. So, you need a plan on how to finance your car. The first thing you need to understand is your choices. And those choices are as follows:
- Lending Institution like Unify Lenders
- Bank Loan
- Dealership Loan
- Credit Unions Loan
- Lease Agreement.
Making the Decision.
Lease Agreement
First of all, let’s face it, the lease is not a good idea. Why not? You are paying your car for, let’s say, 3 to 5 years, just to drive it. So, you do not have a car, you have a rented car. When the lease expires, you are left with two options: either to return the car and lose all the money, or the other option which is more accepted by people who use a lease to buy a car, and that is to rebuy it from the Leasing agency. That means spending a lot of money in the end of your leasing period, just to buy the car that you have already been paying for years. Of course, sometimes to lease a car it’s not such a bad idea, but consider all the aspects of your financial plan when thinking about it.
Loans.
You can get a loan from the bank, credit unions or you can walk into the dealership house, choose a car and choose their financial loan plan. Which is a better option? Beware of dealerships loans. In the end, they will cost you more than the bank loan. Choose a loan from a bank or some credit union house, check out rates at traditional banks and online-only car lenders. Also, you can join www.UnifyLenders.com and check out their deals and ways to save the extra money. The next question is, what is really a loan, what kind of a loan is the best for you and how to calculate your perfect financial plan. All of that we will discuss in the next chapter, Auto Finance –Loans.