Many people think that you need to put money down in order to secure low payments on your loan. No money down options are available through our services, with the options for low monthly payments.
No money down car loans
We approve loans everyday where our customers have not put any money down. Sometimes it is just not possible to put money down because of other financial obligations we may have. Saving money for a down payment is not easy, and luckily for you, it’s often not a necessity to get a loan.
Having a down payment when applying for a car loan is good in the sense that it will reduce your monthly payment (which is important if you have poor credit). However, many financial advisers will tell you that investing the money you would put as a down payment into a high interest savings account is actually better move financially. There’s no win-win situation here and everybody should make a choice based on their preferences.
We can still ensure low payments for your car loan. In order to do so, we must factor in the length of your loan and the budget you are spending on your vehicle. If you increase the term length for your loan, your payments will become lower, but you also have to understand that you’ll end up paying more money in interest in the long run.
The best option for lower monthly car payments is picking a vehicle that you can afford and that best suits your needs. If you are in a situation in which every dollar counts, it’s probably a good idea not to splurge on extra features that you don’t actually need and will likely only end up running you deeper into debt.
Trade in your old vehicle
Trading in your old vehicle to reduce your car payments is also an option you can explore. Even if your vehicle is not worth much, it is a good idea to see how much you can save on your monthly payment by trading it in (and it saves you from having to figure out how to get rid of it by yourself).
This option is not mandatory, but many people take advantage of trade ins whenever they buy a new car. This is also a good idea if you have a history of no credit, and previously paid for your vehicle in cash.