A Guide To Comparing Used Car Loan Rates
...... Bank of America, Capital One Auto Finance and Wells Fargo Bank.
For a used car loan, the Bank of America offers 20% down payment and an 11.2% rate. You would add to this a $75 fee and a .25% discount with auto debit.
The second lender, which is Capital One Auto Finance, offers a 6.25 % rate and a 20% down payment. There are no application fees and prepayment penalties.
Wells Fargo Bank offers an 8.88% rate and a 20% down, a $50 application fee and a .25% discount with auto debit.
At the end of the day, just compare these three rates and determine which offer would fit your budget.
Also consider the distance, mileage and the final asking price.
One more thing that you should consider when comparing rates is the number of months for you to make the payments.
There are several options. Some lenders offer a 36 month used car loan. For higher asking prices, longer payment terms are available.
For a 36-month used car loan, for example, the rate offered is 8.31%. This rate increases as the number of months increase.
After researching and looking through all of your options, choose the lowest rate that you can get and remember not to overspend when you have already reached a certain target budget.
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