“Car loans vary depending on the length of the loan, your credit score, the current competitive rates on the market, and whether you’re buying a new or used car.
For an example, let’s say you have great credit (780 or above) and you want a 36-month loan. The bank might quote you a rate of four percent. This would equate to a monthly payment of $590 and total interest of $1,257.
Let’s say you have mediocre credit (under 670) and want to take out a 60-month loan, and the bank quotes you a rate of nine percent. This would mean your monthly payment is $415 a month, but you’d pay $4,910 in interest.
Here you can see the vast difference. You’ll have to do your own calculations to find a monthly rate you can afford without paying too much interest.
And while you’re budgeting, don’t forget about car insurance
. Since your car is financed, the lender will require full coverage. Get quotes from Jerry
to find the best rate for full-coverage insurance.”