The truth behind zero percent financing | Auto-buying Hints | Buy or Lease?


The Truth Behind Zero Percent Financing

A zero-percent auto loan sounds like a great way to finance a car, right? Wrong! An auto loan with zero-percent interest doesn't automatically mean it's a great deal, or that it's the right one for you. It can be a dream come true for people with near perfect credit. But for many shoppers, zero-percent financing is simply not feasible.

What are the Drawbacks?
1. Shorter loan terms — 36 month terms are typical for these types of offers, which means higher monthly payments.

2. Fewer models to choose from — You may be limited to what's in stock, and therefore, not able to buy the vehicle you really want.

3. No rebate — You may be asked to choose either zero-percent financing or a cash rebate.
Can you do better than zero-percent financing? Sure, especially if you accept the dealer rebate and refinance with the credit union. Call today for details on how you can beat zero percent financing.