PriceProtect™
DriveShield™
GarageGuard™
Services
Insurance
Car Insurance
Compare Car Insurance with Jerry
Jerry’s Expert Advice
Car Insurance Estimates
Home & Renters Insurance
Renters Insurance
Loans
Car Loan
Compare Car Loans with Jerry
Jerry's Expert Advice
Car Loan Guides
Repairs
Car Repair Estimates
Repair Estimates for Popular Services
Advice
Read Car Content
Browse Jerry Car Advice
Check Out Expert Car QnA
Learn About How We Create Content
Jerry Data & Research
How do you get 0 APR for a car loan?
I keep hearing advertisements that say 0 APR. APR is interest, right? Does that mean 0% interest? That seems too good to be true. How can I get a 0 APR car loan?
Lauren Smith · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
It’s a common misconception that interest and APR are the same thing. APR actually encompasses both the interest and fees a lender charges lendees to borrow money.
That said, 0 APR
car loans
are a great deal! This typically means you won’t be charged interest or fees on the loan so long as you pay it off in full in a specified timeframe (usually 60 to 72 months).To qualify for a 0% APR loan, you’ll likely need a credit score of 740 or more. These loans are most commonly available through car manufacturers or dealerships, as opposed to banks and credit unions, so you’ll secure financing on the spot when purchasing the vehicle.
Although 0% interest loans can be great, there are some sneaky ways the dealer can add in extra fees. Here are some things to look out for:
- Sales price: Research the car’s value to make sure the dealer didn’t increase the sticker price to compensate for the loss of interest.
- Fees: Look over the loan agreement for hidden fees in the contract. If you spot any, ask about them and/or try to negotiate.
- Unnecessary add-ons: If you don’t want it, say so. Don’t feel pressured to buy things you don’t want or need.
- High monthly payments: Because you’re getting 0% interest, they may try to up your monthly bill. Make sure this is something you can afford that won’t cause you financial strain.
- Term lengths: The most common term length for an average car loan is72 months. Due to depreciation, this can lead to owing more on the loan than the car is worth. Conversely, shorter term lengths can mean higher monthly payments. With 0% APR, the term length might not be flexible, so make sure you can afford the option available.
After getting such a good deal on a car loan, you can make sure you get a great deal on car insurance by using the
Jerry
app. In seconds, the Jerry app collects quotes from up to 50 top insurance companies, like Nationwide, Allstate, Safeco, Progressive, and Travelers! The average Jerry user saves $879 a month on car insurance.View full answer
- Gregory R.
WHY YOU CAN TRUST JERRY
Jerry partners with more than 50 insurance companies, but our content is independently researched, written, and fact-checked by our team of editors and agents. We aren’t paid for reviews or other content.
Join 4M+ members in lowering their car insurance
You Might Also Be Interested
Read Advice From Car Experts At Jerry
What Others Are Asking
Browse More Content
Insurance in Your State
Easiest way to compare and buy car insurance
No long forms
No spam or unwanted phone calls
Quotes from top insurance companies
