Buying a new car can be a very exciting experience for many people. This is especially true when a person is buying her very first new car. However, there are a lot of decisions that need to be made during the car buying process. Most of the decisions involve the vehicle itself. Car buyers need to find a vehicle that has all of the options that they want that is also priced within their budget. What most people pay little attention to while purchasing a new car is the financing options that are available. This is because car dealers get you to go with their easy in-house financing so that you can get your new car fast. Unfortunately, this is usually a costly mistake.
Car dealers make a lot of money from arranging auto financing for their customers. That is why they are so interested in persuading you to go with their financing plan rather than giving you the chance to explore other options. When a car dealer arranges a loan, they get the money from the bank at a lower interest rate that is known in the business as the “market rate.” The dealer then adds several interest points onto the loan and makes a deal with you at the what is called the “contract rate.” The dealer is able to keep the difference between the market rate and the contract rate as profit for himself.
Now, when you think about the price of a new car, you can easily see how even a small increase in the interest rate has an enormous effect on your monthly car payment. Consider further, that car dealers typically add between two and four percentage points onto the loans that they arrange and you will quickly realize how much more you are paying for your car than you should be paying. Now that you understand how you’ve been ripped-off by the auto dealer, you may want to know: How can I slash my payments?
The answer to your question is that you can easily cut your car payments by refinancing your vehicle at a lower interest rate. Most people have never heard of auto refinancing. However, fast and easy auto refinancing is readily available at Ignition Financial. The highly-experienced professionals at Ignition Financial are dedicated to working hard to get all of their customers the best interest rates available on their auto refinance loans. Call Ignition Financial today and slash your car payments right away.