Financing a car can be tricky, especially considering the large number of lenders and varying interest rates. You need to know your credit score and credit history before you step into the dealership. Your Equifax credit report will tell you what you need to know about your credit history, and give you an idea of what APR’s you may qualify for. Alternately, you can view your free credit report (with option to purchase your FICO score) at AnnualCreditReport.com.
With this information in hand, you should also shop interest rates at your local bank and credit union to see how low of a rate you qualify for (in my experience, customers have obtained the lowest rates from their local credit union). Use this information to compare the rates available at the dealership, or special rates available through the manufacturer. You will save yourself time, frustrations, and dealership headaches if you simply [Read more…]