Best Way To Procure A Car Financing Loan

With a business manager on premises, procuring a car financing loan from the car dealership where you intend on purchasing your vehicle may seem like the most convenient way to borrow money. What you may not know is that this end of a dealership business is expected to make a profit. You could end up paying a great deal of money for what appears to be a convenience.

The dealership does business with particular lenders. The business manager sends your credit application to those lenders, uses the lowest interest rate offered, and factors in a profit margin. The lender interest plus the profit margin is what you are offered.  Likely, the rate is negotiable, and you could find yourself haggling over financing, in much the same way that you were haggling over the price of the vehicle.

You can save yourself a great deal of haggling by beginning your shopping excursion in the comfort of you home. provides tools that allow you to calculate what you can afford, information on vehicle prices, and offers a pre-approved loan offers from well trusted lenders. Armed with knowledge and sufficient funding, you will be in control of your purchasing decision.

Begin by calculating a monthly car payment that you can afford. Once you know what is affordable, you need to find a vehicle that falls within your price range and the interest rate you will be charged. Tools to assist in this process are found on the website.

Interest rates lenders offer, when considering a car financing loan, depend on several factors. The major factor is your credit rating. Therefore, you should procure a free credit report from TransUnion, which is available on the website. If you find errors in your credit report, be sure to correct them. Furthermore, it is a good idea to close out any credit accounts you no longer use because even with an excellent credit rating a large number of credit accounts may affect the interest rate a lender will offer.

Besides you credit rating, lenders take other factors into consideration. Although you do not want to commit to payments that are too high to comfortably maintain, if you want the best interest rate possible, you want to set terms where your monthly payment is as high as possible. A shorter-term loan will mean less interest will need to be paid. If you are purchasing a used car, you will be charged a higher interest rate. Geographic location also has an impact.

Generally speaking, online financial services deliver competitive financing; provide fast and easy credit applications and quick lender approval. However, some fail to provide personal service, while others lack a stellar reputation. Lenders at have consultants available to answer questions either via a 1-800 line or by email. In addition, has been a member of the Better Business Bureau since 2004, and has consistently been awarded an A+ credit rating. With seven years of auto financing loan experience and 1.5 million customers to date, it sets industry standards.