We now live in an age where cars are no longer luxury items, but a must have in this competitive world. Cars are very important as it does not only serve as a means of transportation, but it could also serve as collateral or an investment. It is very convenient for long trips with families and friends. Rather than suffer the crowded trains and buses, having a car spares you from that entire nuisance.
Finding your Dream Car
In hunting for your car, ask yourself these: Are you going to buy a brand new one, or a second hand? How much is your budget for this car? When and where are you going to buy? If it will be second hand car, how far back in its manufacturing date are you willing to buy one?
Of course, there are also other considerations that will affect your decision in buying a car. Cost of its maintenance, insurance coverages, and expenses for gas, spare parts and other accessories. Registration fees will also form part of your expenses. If you have considered the cons and the pros of buying a car, the next step is looking for the best car finance deal assuming you do not intend to pay it in cash.
Car Financial Deals
There are three different types of car finance deal: Car Finance by Class, Car Finance by Make and Car Finance by Body Style.
Car Finance by make is classified because it is a finance based on the brand of the car. If the financing is by class, cars are classified as a sports car, luxury car, etc. A Car Finance by body style groups cars by how it is made. Is it a sedan? A convertible?
Car finance deals can also be secured or unsecured. As the name implies, unsecured loan does not require any collateral but only certain proofs that you are fit to pay off the loan.
Looking for the Best deal
Definitely, if your income supports a large amount of payment then the best way to go is to pay for it in cash and the process will be a lot less simple. Also, you will be caving a lot since you do not have to pay interest rates over a period of time. The longer you pay, the higher is the rate. However, since this kind of transaction involves a lot of money most people go for car financing deals.
You can acquire car finance either through a dealership agreement or from an independent car loan lender. If you opt for a dealership, the process is usually long, tiresome and you will end up paying higher rates. However, these are more reputable, credible and accountable should any problem arise.
The only problem with dealership is that they tend to increase the loan rates without telling the buyer. That is why another option is to go to a bank, or a credit union. It would also be best to shop and look around for better deals.