Quick FInance Tips 8 - 10

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8. What is a "Sub Prime" Lender?

A Sub Prime lender is one who specializes in financing people who have had credit problems in the past, though they generally charge a higher interest rate for doing so. There are sub prime banks, finance companies and even "in house" lenders (or "BUY HERE PAY HERE" as they're sometimes referred to). We will explain the differences to you and tell you what to look for if you happen to fall into this sub prime category. This will enable you to procure financing through a "real bank" that reports your good payment history and gets your credit re-established.

9. Is it more beneficial for me to apply for my car loan over the internet instead of through the dealer?

This is kind of a "loaded question" because it is and it isn't. If you are looking to finance a new vehicle, there are sometimes special manufacturer's incentives or low interest rates given to people who qualify. If you are financing a "program" or pre-owned vehicle, sometimes it is in your best interest to apply directly online or let AUTOXCITE.COM research for you to find the best rates (depending on your situation).

Every credit inquiry (a third party requesting to see your credit score) is recorded on your credit report. Too many inquiries may actually compromise your credit-worthiness. We'll show you how and when to allow a third party to make an inquiry.

Your credit score is your financial rating as a consumer.

Your credit report is as valuable as your will, deed, insurance policy, social security card, and birth certificate. Protect it.

10. What is a "Spot Delivery" and how does that affect my purchaseexperience?

A spot delivery is just that: taking delivery of the vehicle "on the spot". Auto dealers have found over the years that the most solid deal is one where the customer takes delivery right then and there while they're wrapped up in the excitement of the purchase.

Common sense will tell you that impulsive and hasty decisions in the business office (those made during the heat of the moment) could prove to be VERY costly. AUTOXCITE.COM will walk you through the "delivery" of your new vehicle and instruct you on how to avoid the consequences of the "SPOT DELIVERY."

 

AUTOMOBILES LOSE THEIR VALUE OVER TIME AND MILEAGE. THIS IS NOT AN INVESTMENT, IT IS A PURCHASE.buy what will suit your needs (and wants) and decide how much you are willing to pay for it.

We are here to help.

DON'T EVER negotiate your purchase with either the salesperson or manager based on a monthly payment!! The dealer will then customize his deal structure around the payment you said you were most comfortable with.

For example, if you say $400 per month is your maximum monthly payment. The FM might have you at $400/mo @ 60months but can get you to $360/mo at 72 months leaving him/her a whole lot of room to add "back end" products. Always negotiate on SALES PRICE - payments come later.