Car buying strategies that work whether you are buying new or used

Posted by on Jul 04, 2022 - Archived under Bad Credit Car Loan Tips

We’ve put together a list of things you should consider before buying a car. Whether you buy a new or used car, these tips will make things easier for you.

The car market is in a state of transition from gas-powered to EVs, this is a once in a generation if not lifetime opportunity, so you need to play it cool.

When do you need the car?

If you need a vehicle right away, you have to think about whether you want a hybrid, EV, or conventional gas-powered car, the type of vehicle you choose will impact your option.

You can get a great deal on a used car if you buy it from a reputable dealer. You shouldn’t buy a used car from a private seller because you might end up with a bad car.

When you buy a car from a reputable dealer, you won’t have to worry about whether or not it will work.

Getting the right information to make a better-informed decision

We can’t say enough about how important it is for you to learn as much as you can about the car you want to buy.

Some great brands have been around for a long time, like Ford, which has been around for over a century.

Adjusting your budget to the new challenges 2022 presents

After you’ve decided which car meets your needs, it’s time to figure out how much you can spend. Car prices have gone up a lot in the last year.

If you don’t have a budget yet, now is a good time to start figuring it out.

When making your budget, you should keep track of how much money you have left over after you’ve paid all your bills. Most lenders won’t give you a loan if you already owe more than 40% of what you make.

Once you have figured out your budget, you should look at your credit score. Lenders are being extra careful because they don’t want any bad debts. Lenders want to work with people whose credit scores are well above 600.

If your score is over 720, you qualify for prime interest rates, which is good news. The interest rates are low now, but they will start to go up sometime this year.

If your credit score is less than 600, you can still get a car loan, but you will need help from an auto financing professional.

Getting a good deal in these challenging times

The best way to find a good deal on a new car is to go to a local car dealership. Even though there are a lot of websites that offer car loans and sell cars, you won’t get the same level of service as you would at a local dealership.

You might not know that the local dealership can help you get an auto loan even if other lenders have turned you down. You should call your dealership right away and start looking at your options for buying a car.

If you wait too long, interest rates will go up, which could make it too expensive for you to buy a car.

For those of you who know that you have a challenging credit situation, please visit Dixie Auto Loans where we have a team of credit specialists ready to help you get approved for a car loan today!

Let’s get in touch! 

Dixie Auto Loans