The average car loan in 2006 was 44 months. It is now 66 months and there are even longer loan terms.

Cars have become more expensive because of entertainment systems and other integrated technology. All these must haves are driving average car cost up.


As you drain every last mile from your old car you start to look for a new car. But most people don’t have the income they had pre-recession. So, this trend drives people to stretch loans over longer periods. These longer loans result in less car sales in the future. If you’d like to turn in your vehicle in 5 years but are still in the loan it’ll take longer to be able to flip your vehicles value because you still owe so much on it.

Longer loans usually mean larger principle. The increase in loan life shows that people are buying more expensive cars, probably ones they can’t afford.

The average new car costs $30,000, but the average family can only afford between $20,000 and $25,000.

The longer loans takes away from your savings. When you are out of money each month because of your unaffordable car payment you are losing money that could be put to other uses.Honda Motor Company says it offers the fewest number of long car loans in the industry – primarily because it wants its customers to still have equity in their vehicles after they finish paying off the loan. Most car companies make the longer loans widely available.

A handful of companies get as many as 49dZFkcrKdk7XegyMd3kp4MGQoLFeMWM6Lion2T3q3h6DScBViFrXXuZoxkHq1TB1mGufMoGzfXd7jJ7ocgpJGxdEiGirjGor resale value is greatly diminished.

So, if you are offered an extended loan life to get approved make sure its right for you.  The longer life may put you to far in debt. Consider how much car you need and how long you can pay on it while still saving.

Getting a car loan doesn’t have to be an insurmountable ordeal. With full car loan assistance and a little preparation, buying a car can become a necessity. First of all, start applying for a car loan on Complete Auto Loans after 60 seconds that buyers can get instant approval for an auto loan, regardless of credit worthiness. Then take the time to research and prepare before hitting the dealer.

A little preparation is enough

Check your credit report. You may have a good idea of ​​your creditworthiness, but creditworthiness can change very quickly and it is important to know exactly what to expect before joining a dealer. With your credit rating, you can not only step up to the dealer a little bit better, but also correct previous mistakes.

Arrange your documents in the correct order. The representative office needs certain documents to complete the loan and sale. This documentation includes proof of income (salary and / or tax records), proof of residence (current utility bill) and a valid driver’s license. It is important that they are ready to be at the forefront.

Prepare your car for trading. If you are planning to swap your car, it is important that your car is in top condition before you go to the dealer. Your dealer can take a down payment, and you can maximize your value by making sure your car looks good. Make sure you wash your car well, vacuum and clean the interior, and fix minor problems whenever possible.

Research. The internet allows shoppers to find everything from the car they want, the price they have to pay, to the dealer to buy it all. With all the information you need easily available, use it to your advantage and do as much research as possible before you go to the dealer.

Cars are more expensive than before. The new art car average exceeds $ 30,000. So the next time you buy a new car, the last thing you want to know is that you paid thousands more than you should have. Unfortunately, this is the case for many car buyers. There are many reasons for this problem. Read on for a few things to watch out for.

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The sticker price, or MSRP, is the manufacturer’s recommended retail price and must be placed in the window of any new vehicle being sold. Many dealers are selling these new vehicles for well above the sticker price, which is against the law in many countries.

These offices are often aimed at older, uneducated customers. Many merchants will also try to charge a higher price because the buyer has a low credit rating which is against the law and the merchant cannot. However, you can charge a higher interest rate for car loans.

There are also ways to circumvent this law. In California, sellers are not permitted to sell via MSPR unless they provide a detailed list of window stickers that will display certain information, including MSPR, a statement that the retail price is non-MSPR, and a list of items not included in the factory price. This not only helps buyers know that they are not paying MSRP, but also why the price is higher.

Despite being required by law, many countries have found dealers who do not follow these rules and sell new vehicles for above sticker price without attaching additional stickers.

Another trick to watch out for is renting a car. Since many people don’t fully understand how leasing works, it’s easier for merchants to ask for more. Rental payments are based on the price of the vehicle up to $ 10,000 above the MSRP.

Car buyers are often misled into paying more than MSRP for their new car because dealers claim that car demand is high. That is very rare.

Many dealers can trick buyers into paying extra by forcing them to agree to buy a lot extra for the car. Many of these unnecessary extras include service contracts, credit life insurance, rust and undercoat resistance, and fabric protection. Some dealers have even been caught adding extras to car sales contracts without the customer’s consent.

Take a look at all of these tricks, as well as others your dealer can try. Do your research and find out what to pay for a car before you go to the dealer. This should ensure that you are surprised and deceived by higher fees.