3 Tips When Getting a New Car Loan in Las Vegas
Buying a new car is exciting, but it’s important to look beyond the car itself to consider how you’ll finance it. The loan can impact your finances for years to come, so it’s important to get the best possible terms.
The following tips will help you get the new car loan in Las Vegas that best suits your needs:
- Check Your Credit Reports
Your credit report will help determine if you qualify for a new car loan, and if so, what interest rate you’ll receive. Before you start shopping for a new car and loan, use annualcreditreport.com to check your scores from the three major reporting agencies. You can get a free report from each agency once a year on this site, which is recommended by the Federal Trade Commission.
Check for any errors in your three scores. Mistakes can happen, and if you know about them before applying for a loan, you can contact the agency to correct the error and help improve your credit history. Keep in mind that not all lenders use the same credit bureau or the same specific credit bureau score ‘profile.’ This means that the numerical score they read on your direct report may vary by a little bit when you actually open an application with a lender.
- Get pre-qualified
Many people find the vehicle they want to buy and then look for financing afterward. However, it’s better to secure your new car loan first. This eliminates any unpleasant surprises and lets you know the exact amount you qualify for. You’ll be able to discuss the loan terms without feeling pressure to hurry the process so you can get behind the wheel of the new car you’ve fallen in love with. In addition, you’ll be in a stronger negotiating position when you find the new car you want to buy. The seller will know you’re a qualified buyer who can obtain the financing needed to buy the car you’re interested in.
- Look beyond the monthly payment
It’s important to look at the monthly payment to make sure it’s an amount you can comfortably afford. But don’t make the mistake of failing to look beyond that number. Instead, focus on the loan’s total costs as well as the annual percentage rate (APR). A lower APR means you’ll save money in the long term since you won’t be paying as much interest. Also look at the term of your new car loan. In general, you should keep the length of the loan as short as you can afford. This reduces the amount of interest you’ll pay over the life of the loan and also may qualify you for a lower interest rate.
A shorter loan term can also help prevent you from being “upside down” on your loan. This can happen if you end up owing more on the car than it’s actually worth.
If you’re interested in a new car loan in Las Vegas, contact Clark County Credit Union at 702-228-2228, option 1. Our not-for-profit credit union can save you time and money on your new car purchase. We’re happy to help you finance your purchase, and we can also sell you a new car through Members Auto and take your trade-in.
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