Expert Advice for Car Down Payments
All Articles on Car Down Payments
What Are Acceptable Forms of Down Payment for a Car?
Most payment methods are acceptable for a car down payment—although cash, checks, and debit cards are most preferred by lenders.
What Is a Sign and Drive Lease?
A sign and drive lease rolls typical signing costs, like down payments, into higher monthly payments. Here’s how it works.
How to Lower a Car Payment
This is a guide on how to lower a car payment. Lowering your car payment can be done easily by shopping around for better loan terms, or even for a different vehicle.
Can I Get a Car With No Down Payment?
If you get a car with no down payment, your interest rates will be around 12-22% and you might end up owing more than your car is worth. Here's what you need to know about cars with no down payment.
How to Calculate a Down Payment on a Car
Calculate how much money you will need for a down payment on a car before you head to the dealership to buy.
All Questions on Car Down Payments
Can a dealership demand a higher down payment after the contract is signed and approved through the bank?
I was approved through a lender for a $1,000 downpayment on my car. I signed the contract, but now the dealership is saying they need another $1,000 because the bank said so. When I called the bank, they didn’t know what the dealership was talking about, and now I’m unsure what to do. Can the dealership require this?
How does a down payment affect a car loan?
My old Nissan finally broke down for the last time and now I’m in the market for a new car. I’m considering buying something new and getting a car loan to cover the cost. I have a large amount of cash saved up for a down payment, but I’m not sure if it's necessary. How does a down payment affect a car loan?
What's a general guideline for financing a certified pre-owned vehicle?
I'm going to finance a certified pre-owned vehicle, but I'm not exactly sure what rate or term I should go with nor how much to put down. Are there any guidelines for financing a certified pre-owned vehicle?
Is it worth it to make a very small down payment on a car loan, such as $500 or $1,000?
Is it worth it to pay a small down payment? I've heard that you should always make some sort of down payment on a car loan. However, I only have about $500 or $1,000 to put toward the down payment.
What is the average monthly car payment?
I’m trying to decide whether I should lease or finance a new car, but I’m not sure what to expect. What do most people pay each month for their car payment on average?
What can I expect when financing an expensive used car?
"Does this seem possible or should I wait until I have a large down payment? I can afford a $50k-$70k car if I can get a 5-year loan at around a 5%-interest rate. My income is around $150k per year and my credit is 770. Is dealer financing better or should I go to a bank or credit union?"
Do I need to make a down payment before getting a car?
This is my first time buying a car, and I’m trying to understand how car-related finances work. I’m already planning on paying on my loan every month. Do I still need to make a down payment?
How long should my car loan be?
Is it better to get a longer loan and save on the monthly car payment? While going over financing options I was given the choice between 48, 60, and 72 months. The payments are less the longer I go, but the total amount that I will pay for the car increases with the longer loan.
Are there any additional fees after putting money down to finance a car?
My dealer requires a $1,000 down payment, which is fine. My question is whether I need to pay any additional fees after paying that $1,000 to drive it off the lot. Will I need to pay more than my $1,000 down payment to take the car?
Will I get my down payment back on a not-at-fault total loss?
I recently got into a car accident, and luckily, everyone is safe, but my truck is totaled. I just bought my brand new 2022 GMC 1500 Sierra six days before the accident (there’s not even 800 miles on it). I am concerned that I will lose my $10k down payment. I have gap insurance, but it only covers what I owe.
What is the least amount of money I can put down on a car loan?
"How much money will I need to put down on a car loan? I need to buy a new car but I do not have much savings that I can use as a down payment."
Should I finance a $9,000 car if I have $20,000 in savings to pay for it?
Should I pay cash for the car or should I finance all or a portion of the vehicle? I have $20,000 saved up to buy a car. After shopping around, I found the one car I like is only $9,000.
Can a car dealership demand a larger down payment after I've already signed the paperwork for the loan?
Can the dealer change the loan terms after I already signed the loan? I financed a car through a dealer and signed the papers. Now they're threatening me with repossession if I don't make a larger down payment on the vehicle.
What's an acceptable down payment for a Lamborghini?
What would be a good amount for a down payment? I want to buy a Lamborghini, but I don't want to pay straight cash for it.
Can you get car insurance without a down payment?
I don't have enough money for a down payment, but I need car insurance. Are there any companies that offer car insurance without a down payment?
How much does it cost to start car insurance?
I've never had my own car insurance policy and I need to understand the costs. How much will I pay to start car insurance?
How much do you need for a car loan?
I’m 55 years old and have spent my entire life living in major cities where it wasn’t necessary to own a car. However, I recently moved to the suburbs to be closer to my children and grandchildren and need to purchase my first car. I understand the basics of how a car loan works, but how much do I need? Are there fees or mandatory down payments?
If I put a 50% down payment on a Toyota Camry, will it lower my monthly payments compared to financing the entire thing?
If I put 50% down, will my monthly payments be lower, or will they be the same as financing the entire amount? I want to put 50% on a Camry, but only if it will lower my monthly payments.
What is a good car payment that the average person can afford?
What can I expect for an average monthly car payment? I need to buy a car and am just now going over my financing options. I have a decent job making about $3k per month and decent credit so I’m not worried about qualifying for a car loan but I am worried the payments will be too high.
Should I finance all or some of a new car?
"Is it better to pay cash for a used car? I am planning on buying a used car and have negotiated a price. At $30k I can pay for most of the car out of pocket."
Is a 48-month car loan too long or too short?
Is a 48 or 60-month loan ok or should I go with a 36-month loan? I am looking over my car loan options. While I did qualify for a good interest rate, the payments at 36 and 48-months still seem a bit high.
Should I buy a car outright with my total loss settlement money?
"Should I use the settlement money from my totaled car as a down payment for a new car or buy a used car outright? I recently got in a wreck in which my Honda was considered a total loss. The insurance gave me the full value of the car, which is more than enough to pick up a decent used car of the same value."
How do I pay for a vehicle with cash and financing?
I'm a first-time car buyer. I want to know how to pay for a car if I'm financing through a credit union but making a down payment in cash? Do I give the down payment to the lender? How do I receive the funds for the rest of the car?
Do car dealerships want a big down payment on a vehicle?
I'm looking at a Honda Civic that costs $25,000. I have $12,500 for a down payment. When I told the salesman, he gave me a weird look and said that was probably too much to put down. I've heard from other people that a large down payment means that car dealers are more likely to give you a deal.
How much do I need for a Dodge Challenger down payment?
After several years of saving, I think I’ve finally built up enough money to buy the muscle car of my dreams—but I want some confirmation. How much do I need for a down payment on a Dodge Challenger?
Who receives the down payment for a vehicle?
I'm putting $5,000 down on a $25,000 vehicle. I'm wondering who gets the check. Does my lender or the dealer receive the down payment?
Scott Michonski Testing
How do you lower interest on a car loan?
I need to get a new car, but I can’t afford the interest rates on most of the car loans that are available to me. Is there something I can do to lower them?
Why can’t I get a car loan?
I recently applied for a car loan and didn’t get it, but I’m not sure why. Why can’t I get a car loan?
How does a down payment work when it comes to car insurance?
I thought I could just start my monthly payments for car insurance, but apparently I need to make a down payment, too. Why is there a down payment for car insurance?
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