Buying a new or used vehicle requires careful planning and budgeting. It is important for car buyers to estimate the monthly payment on a potential vehicle. It's also important to understand the effect interest rates, terms, and down payments can have on the monthly payment.
At Ed Voyles CDJR in Marietta, we make it simple for you to budget for your vehicle. Get started now by simply inputting the requested information into the Ed Voyles Payment Calculator.
What is my APR?APR is short for annual percentage rate of charge, which explains the interest rate on a yearly basis. The APR is directly correlated to your credit score. A higher credit score means you'll have a lower APR percentage, while lower credit scores typically indicate a riskier loan and a higher interest rate.
One way to possibly lower your interest rate is to use a cosigner with a stronger credit score. If you are unsure about your current credit score, Ed Voyles Chrysler Dodge Jeep RAM provides customers with an easy-to-use Credit Score Calculator.
How much money do I have to provide for a down payment?Since everyone's financial situation is different, the amount you should or will be required to have as a down payment depends on several factors. We advise car buyers to put down 20% of the car's cost as a down payment.
If you have a great credit score, you may be able to opt out of the down payment entirely. On the other hand, individuals with a poor credit score may be required to have a down payment to increase their chances of an approved loan.
In either case, a down payment will reduce the total amount of the loan and will virtually always reduce the monthly payment. In the long run, it will help prevent the scenario of owing more on a vehicle than it's worth, which explains being "upside down."
How many months should I set as my term?The term of payments relates to the number of months you will make payments. The standard auto loan term is 60 months, but many banks and auto lenders are willing to go up to 84 months.
The term on your auto loan depends on several factors, such as the age of the vehicle, your credit score, and the number of miles the vehicle has on it. If you choose a shorter term such as 36 months, you will pay the vehicle offer quicker and pay less interest over the life of the loan. Shorter terms will almost always mean a higher monthly payment.
What if I am trading in a car?
Find out the estimated value of your trade-in vehicle with our Trade-In Value Tool
. Use this value as your down payment plus any additional funds.
Find financing solutions with Ed Voyles CDJR in Marietta.
Our auto-financing experts will support and guide you through the car buying process. We want you to leave our lot in a great American-made car from Ed Voyles CDJR.