If you’re in the market for a car, you know how many decisions you have to make along the way to finding your perfect ride. Since cars are one of the biggest purchases most people ever make, it is important to take your time and make the right choices for your wallet and your lifestyle. As you consider your options for buying a car , keep these dos and don’ts in mind.
DO: Research Your Purchase Before You Buy
Before you start car shopping, research some of the models you are considering buying. Investigate reviews, quality ratings, trim options, and long-term value. All of these things will help you select a car that meets your needs, is safe and reliable, and has the features you want at a price you can afford. If you see any promotions from car dealerships that catch your attention, be sure to read the small print, so you know exactly what make and model is being offered.
DON’T: Focus on the Monthly Payment
Of course, having a monthly payment you can afford is important, but focusing on the overall price of the car, including the interest rate, will help you know if you are getting a good deal. Look at the total price of the car, keeping in mind that, with good credit, it should cost about $20 for every $1,000 financed for a 60-month auto loan. Although there are variations in that price based on credit history, it is a good guideline to remember when evaluating the deal you’re getting.
DO: Get Advice from Your Credit Union
Not only can your credit union almost certainly offer a lower rate on a loan than a dealership, but they are also motivated for you to make smart financial decisions. As nonprofit, member-owned institutions, credit unions listen to your needs and can advise you how much you can afford to spend on a car.
GCS Credit Union offers competitive rates on auto loans in O’Fallon and can help you make the right choice about your car purchase. Contact our credit union today by calling (618) 797-7993.