How much can you afford?
- Know your credit history
- Determine how much you can afford to spend on payments each month and set a reasonable budget
- Consider getting pre-approved for a loan before you pick out a car
Find a car in good condition that you can afford!
- Do your research
- Look at the total cost of the car—not just the monthly payment
- Shop around
- Test drive and inspect the vehicle
- Negotiate the price – don’t like the deal? Walk away!
How to pay for the car?
- Shop around for the best financing deal
- Borrow from a licensed lender, bank, or credit union
Protect yourself and your rights: Don’t sign anything until you understand what you’re signing! Read the fine print!
- Ask questions—don’t be pressured into signing until you are comfortable
- Understand the financing terms: interest rate, APR, finance charges, total payments, late fees, and insurance
- You are not obligated to purchase add on products like, GAP insurance, service plans, or extended warranties,
- Understand how much you will be paying each month, for how long, and what happens if you are late
- If you fall behind on payments, know that you have certain rights before the car is repossessed
- Be aware if your car is equipped with a starter interrupter device which could be used by the lender to prevent the vehicle from starting