| Several of the auto manufacturers are offering special financing as low as 0%. What are the hidden tricks behind these rates? |
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Usually there are no hidden tricks to these super-low financing rates. They truly are great deals offered by the manufacturers to help the dealers move out certain models which may be lagging in sales. There are, however, some things you should be aware of: - Only about 20% of car buyers actually qualify for these special loans. You need a good credit score (usually 710 or higher). - You usually have a choice between the low financing rate and a rebate. For buyers who need the cash for their down payment, the rebate may be a better way to go. - These special low-financing rates are sometimes only applicable to short-term auto loans (2-3 years) and do not apply to the typical five-year loans that most buyers prefer. - Make sure that these rates are from the manufacturer, not from the dealer made for advertising only. Usually they will tell you that you have to pay full MSRP to get these special rates. Always agree on the price first before negotiating the rate. |
