Car Finance Tips - Springfield, MO

You've done all your homework and know exactly what you want to pay for your new car. Next, you put on your game face, win the negotiation, and nail the price you wanted. Now, you're ready to sign the papers and drive away. But, you could be missing a crucial step to save even more money on your car: the financing.

When most people think about how much their car costs, they think about the price they negotiated, but your car actually costs more than that when you add in the cost of financing. By doing a little bit of work beforehand, you could potentially save yourself thousands of dollars down the road.

Follow these steps to be on your way to better financing.

1. Understand your credit. 

Get a good handle on your credit situation before you head to the dealership. If you discover credit errors in your history, get those resolved first.

2. Shop for financing. 

Talk to local banks and credit unions to see what financing rates they can offer you. Let the dealership check for you, too, in case they can secure a lower rate.

3. Keep the term as short as you can. 

While a lower monthly payment can be tempting, it will cost you more in interest in the long run. Keep your loan term as short as you can so you can pay off your car faster and save money on interest.

4. Have a down payment. 

Putting money down (or trading in a car) will mean the total amount financed will be lower and will save you money. Plan for a 20% down payment for a new car and 10% down on a used car.

5. Use cash for fees. 

Instead of rolling taxes and other fees into your financing, pay for those up front with cash. This can help you avoid potentially being upside-down in your loan right from the start.

If you need any help understanding your auto financing, we are here. Give us a call at Corwin Alfa Romeo and FIAT of Springfield.


Corwin FIAT of Springfield

1025 W. Sunshine St
Directions Springfield, MO 65807-2445

  • Studio: (417) 862-9272
  • Service: (417) 862-9272
  • Parts: (417) 862-9272

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