Is 0% APR financing real?
I've heard people say that 0% APR financing isn't real, and it's just a gimmick from car companies. Is this the case? Is 0% APR financing real or fake?
“In some cases, 0% APR financing might be the real deal. Dealerships use it to clear out old inventory, help when sales are low, or provide an incentive for consumers to buy slow-selling models.
However, 0% APR might not be 0% due to fees or financing charges.
In some cases, these fees are rolled into your loan and may cost you about $20 to $50 for each $1,000 financed. For a $30,000 car, that could mean $1,500, which would translate to a car loan that isn’t 0%.
Furthermore, you could probably negotiate a price for the car that’s 2% or 3% lower than the 0% financing price if you pay for the car in cash. This can make 0% APR financing fake, although it’s more semantics than anything else.
Don’t forget that when you buy a new (to you) vehicle, you will need proper coverage. If you haven’t already found insurance, use the free Jerry app to help you find the best deal. Jerry compares rates from the top 50 companies in under a minute, delivering the best deals to your phone.”
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