Auto Financing - Don't Blow it Now!

Have you found the car you've been looking for? You negotiated the best deal you could get, right? Hopefully you didn't pay MSRP, nobody should -- especially with the current state of the economy. If you paid more than invoice, you probably paid too much. Assuming you did OK on the price, it's not over -- don't lose a good deal now.

The next step for the dealership is to get you into the finance office, where you're going to lose money if you let them handle your loan. Dealerships sometimes make more money on the back end of a car deal than they make on the selling price, especially now due to the lower profits dealerships are earning. They make their money on the back end by adding points to the interest rate. The bank quotes the dealership a rate and then they mark it up by as much as 2 - 3 points to you. For example, If you're offered a rate of 7.9 percent, you can bet the bank is only charging 5 or 6 percent. On a typical new car loan of six years and thirty thousand dollars, the difference in 4.9 percent and 7.9 percent could be more than three thousand dollars over the life of the loan. That's a monthly payment difference of around forty-three dollars.

The best thing you can do is to arrange your financing before arriving at the dealership. Call your bank and let them know you're car shopping. Get pre-approved. Then while you're shopping for your car, don't let the dealership know you have pre-arranged financing. If you're asked, simply tell them you're open to discussing finance options, but first you want to reach an agreement on the price. Once you have an accepted and signed offer sheet, you can let them know you've arranged your own financing. They're not going to be happy and will try everything they can to get you to sign up with them, but if they can't meet or beat your rate, why would you?

If you're looking for a legitimate, easy way to work at home, visit [http://www.freebierecruiter.com]

Find out how you can earn up to $200 in the first week. It's easy, but you will have to commit.