You need a car, and are ready to buy it. But it’s a used car purchase, not a brand new one. Does this mean you can’t get financing for your car? Do you have to have the entire amount in hand in order to go ahead with a purchase? No? Not only is it quite easy and as viable to get many used car finance rates and options, but if the used car you’re looking to buy is less than five to six years old, the bank won’t penalize you for not purchasing new – you get equally competitive finance options.
Banks such as the Bank of America and the US Bank are two large and well-known banking institutions that exist in most parts of the country that offer good financing on used cars. Of course, do keep in mind that the finance rates and offers will vary not just on the type, make, model, and age of the car you’re looking to purchase, but also by the state you live in, since fees and state regulations will tend to affect the deals you are eligible for. At present, the rate of interest for a used car, in the three-year financing and loan category, is between 4.88 and 4.9%, making it quite an affordable option.
When you’ve decided that it is a used, and not new car, that you are in the market for, you should, based on your budget and needs, consider a Certified Pre Owned car or truck. Sure, the certified pre-owned route is a more expensive one than just going to a regular used car dealership. But the advantages are many, including getting the remaining warranty on the vehicle, and a slew of guarantees and maintenance and checks that one does not get with a regular used car purchase. And, most of the companies, from Ford (1.9%), Chevy (1.9%), Nissan (1.95-3.95%), and more offer special discounts and deals which means you pay less overall for your car, and they also come up with low rate of financing and the full five years to pay it back, like with a new car purchase. This also comes in handy when you are in the market for higher-end or luxury cars from makers like Land Rover (between 0.9-2.9%), Mercedes-Benz (2.99%) and BMW (0.9%), with these companies too offering great deals on direct purchases from their dealerships, on used cars.