Are you shopping around for a car? Well then, the subject of car financing should be something you should be studying and researching rather seriously! For most of us, the purchase of a car goes hand in hand with getting financing for it. Whether you’re in the market for a new car or a used car, you can get financing for it most times from the dealer you’re purchasing the vehicle from. However, it would be well worth your while to check out a few other different options and dealerships and talk to people or do online research to find out what the competition is doing, as well as what kind of deals are out there for your particular demographic and the particular car you’re looking to buy. Getting your car loan or financing approved is really where the delays can occur. If you are someone who has a handle on their background, has the right paperwork, is armed with the knowledge about your credit score and history and what that means, you can get going in your car that much sooner. If you have good credit history and a good credit score, you’re pretty much set. So it is important to build your credit history.

Are you worried that your decision to buy a used car, and not spring for a new one will affect your ability to get financing for your purchase? Well, you shouldn’t be! A lot of banks and financial institutions out there offer good rates on financing for used car purchases, given certain parameters like the age of the car in question, and of course, your own personal credit history. But the current trend in used car auto financing over the first quarter in 2017 suggests that you can expect to pay between 4.88% and 4.91% interest rates on your used car financing. The variations of course depend on the length of the loan, though the standard term for a used car loan seems to be 36 months, or 3 years. But one can also find 60 and 48 month length of finance options for used car purchases. The city and state you reside in and are purchasing from, will also affect your loan and finance options. Bank of America (which is currently advertising a 2.89% rate of interest on a 60-month used car loan for a purchase from a dealer) and US Bank (which is offering 2.87% as its lowest rate of interest on a 36-month financing for a used car) both claim to offer highly competitive rates of interest and equivalent terms, be it for a new or used car.

Did you know that you could get a loan even if your credit history is bad, or you have a huge stack of unpaid cards, or no money in the bank? All you do need is to own a car, and be willing to part with the paper vehicle title and use your vehicle as collateral, as well as allow the store or agency lending you the money, to place a lien on your car for the duration of your loan agreement. How much money you can get as a loan depends on the worth of your vehicle. Generally speaking, a lender will be willing to lend up to half the car value “ as in, the resale or Blue Book value of the vehicle. Some lenders may be willing to give you even more than fifty percent of the car’s resale value. The other factors that are taken into consideration when determining your loan amount are the amount you need and your ability to repay the loan as per terms. You must have insurance on the car in order to get a car finance or car title loan in most states in the U.S. And of course, the car in question must be fully paid off and belong to you “ which means that the title must be in your name and lien free, with no other pending loans or payments due against it.