Beginner's tips for a car loan?

1. Decide how much you wanted to pay for you van. Say $5000.

2. Go to Kbb.com or edmunds.com and see what sort of used cars will be available for that price range. Keep in mind about the taxes and license fee.

3. Talk to your credit union or bank and get pre approved for the loan.

4. Shop around for the cars. If the price is too low compared to the KBB price, there must be a catch. Either the person is moving out of town or the car has hidden problems.

5. If you are buying from a private party, you should be paying less than private party price that you see at the kbb.com for that car. If you are buying from the dealer,

6. Once you agree on a price with the dealer or the private party, give them a $100 refundable deposit. If its the dealer, ask for the PO.

7. Go to the bank or credit union and get the loan check. Never buy the car without the loan check from the bank or credit union. Some dealers allow us to take the car and ask us to give the check from bank later (say after two days). They also make us sign saying if you don't get the loan, you would pay something like 24% APR. Make sure you don't fall into this trap. Its ok to wait for a day to get the check from the bank or credit union and then finish the process.

8. Take your time. Don't rush in.

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Go to a credit union or bank to get a pre-approved loan.

That will give you leverage with the car company, and give you an idea of how much you can finance.

Have an idea of what you are looking for and go to kelly blue book or edmunds to research prices BEFORE you go to the dealership--that way you have a good idea of what a used vehicle is worth.

Then, negotiate price--NEVER negotiate payment.

If you are pre-approved, then you know what price you need to pay to keep you at the payment you want. If you negotiate payment, there is a lot of play room for them to jack up the price and such, even if it sounds good.

I always say--if you negotiate a price you can afford, the payment will take care of itself.

Also, look into extended warranties if you want to get one. They are not all good. If you choose to get one, then make sure of how long it covers, and WHAT it covers, such as A/C.

Read everything--you never know when they will slip something in on you.

The one thing I definately recommend is GAP insurance. (if available to you). It's not too expensive. It's a plain fact that unless you put a whole lot down, or really get a smokin deal (very rare at a dealership), when you drive off the lot, the vehicle is worth less than what you still owe on it. GAP protection will pay off the remainder if your vehicle gets totaled while you are still upsidedown (owe more than it's worth). This became very valuable to a friend of mine whose car was totaled 3 months after she got it through no fault of her own.

Anyway--research research research.

Beware of deals that are too good to be true--they usually are not true!!

Take your time--never let them rush you.

Never be afraid to walk away!!

Credit unions will have the best rates.

Do some reliability research so you can figure out the best vehicle. Consumer Reports puts out a report and you can find stats on autos.msn.com as well as Edmunds.com. Edmunds is great for finding the right price for a used vehicle along with KBB.com

Take your time and read read read

If you are nonetheless making use of a credit score counseling provider you usually would possibly not be ready to get a mortgage until a few location will do it at a ridiculously prime int. fee. The reality that you just needed to move to a provider is a well indication that you just must usually hold paying coins on your cars.

First of all the best publication is Consumer Reports.They have several guides to new car buying available.These guides also have the best places to shop for a loan.

Credit unions are wonderful for having the best rates.