Financing

Getting a Good Deal on an Auto Loan

Key Points Regarding Auto Loans

Don't waste money paying for a credit report. When a bank runs your credit they are required by law to allow you to see the credit report they ran on you.
Use our Free loan calculator to be sure the car or truck that you have in mind will fit your monthly budget.
General Guidelines for your loan term
1 or 2 year old car....60 Months
3 to 5 year old car....48 Months
5 years old or older...36 Months
These are guidelines, check with your choice lender to verify term availability.

Bad Credit Okay Here

Loans for All Types of Credit

Good Credit Needed

A Great Info Resource For Everyone

Our national affiliates are a great choice for car loans, we've got great sources for good and bad credit, click on either, fill out the application, recieve an answer quickly. If you would like to keep your loan at a local bank we highly recommend you try one of our preferred lenders in the Wisconsin Rapids area. However you choose to finance your vehicle it is a good idea to get a pre approved loan before you go shopping for your car.

Lender Name	Why We Like Them	Contact Info	Rates Online*
Preferred Lenders in the Wisconsin Rapids Area
Valley Communities Credit Union	Five Different Locations Very Comprehensive Website	Website	Rates
Nekoosa Port Edwards State Bank	Locations in Port, Nekoosa, and Rome Over 90 Years of Service!	Website
Members Advantage Credit Union	Great Location off of Expressway Excellent Local Service	Website	Rates

Pre-approved Loans

Wherever you would like to finance, getting a pre-approval is an easy process. Also, don't be afraid to apply for an auto loan at more than one place. The myth is if you apply at more than one place you will ruin your credit score. In reality the credit bureaus consider two or three auto loan inquiries as one inquiry as long as they are within a reasonable amount of time. This is not to say you should apply at 30 different places, but applying at three different places is perfectly acceptable, and should be done if you desire the best rate possible. After all if you wouldn't buy the first car you look at, you should not accept the first loan offer either.

A Good Score Alone isn't Enough

Credit score is not the only thing that will determine your loan eligibility. There is another number called income to debt ratio. That is where the bank uses your Gross monthly income and compares it to your monthly bills, most banks only consider bills like rent, insurance, loan payments, credit card payments. They don't ask you your cell phone bill and heat bills, which is nice, but they want your Income to Debt Ratio to be in the 45-50% area or less.

Example: If you make 3500/month and your house payment/rent is 1200/month and you owe 150 to credit card and 300 on a camper loan than your income to debt ratio can be figured out as : 1200+150+300 / 3500 = about 47%

Another Free Tip

Pay little attention to cars that are advertised solely on monthly payment. The payments advertised are often nearly impossible to attain without perfect credit. When shopping for cars based only on their payment there is too many variables involved to get an accurate comparison from one car to the other. Knowing the payment is helpful, knowing the price is a necessity.

Blue Books

Get a Good Idea of What a Car is Worth

Preferred Blue Book Sites
Kelly Blue Book	Kelly is a great site for car shoppers, for best accuracy. Check out Private Party values and Suggested Retail Values, add the two together and divide by two to get the average value.
Nada Blue Book	National Auto Dealers Association Blue Book Site. For best accuracy take High Retail and Low Retail, add the two together and divide by two to get an average value.
After you get an average value from each site, add the two together and divide by two again to reach the most accurate average value you can get from the internet.

Important Information Regarding Blue Books

Blue Books are a guide, the numbers are not written in stone, which is why different sources will vary to some degree on the same car.
Market conditions, like the time of year and the price of gas can have an immediate effect on the values of certain vehicles that the blue books will not reflect right away.
Vehicles with branded titles, such as previously salvaged vehicles, flood damaged, and insurance claim paid, should be bought at a 40-60 percent discount from Retail Book Value, if you are willing to buy one at all.
No two used cars are totally equal, it is just as important to compare the condition and history of a vehicle, as it is to compare the price.
Find out which Blue Book source your lender will use to determine your loan eligibilty, then use the same book when you shop. Doing this will save you a headache when you apply for your loan.
If you are buying a car for Nada's High Retail Value, or Kelly's Suggested Retail Value, be sure the car has been completely inspected and is defect-free, also at least a 30 day warranty should be included with the car.
Be sure to include all the options a vehicle has when getting a book value. Options like a power sunroof, and leather interior can add considerable value.

A Note on Trade Ins

The oldest trick in the book that dealers use is showing you a high trade in value on an overpriced car. The epitome of this tactic is the $3,500 push pull or drag sales where you are offered at least $3,500 for any piece of junk you can bring in. It is easy to think that a dealer that is offering you a thousand dollars more for your trade is giving you the best deal. In reality the number that you need to use as a comparison is the trade difference.

Your trade difference can be figured as the price of the vehicle you are buying minus the trade value that you are being given. Example: Vehicle A is being offered for sale for $10,000 and the dealer is offering you $3,000 for your trade. Vehicle B is a similar vehicle but is discount priced at $8,800, this dealer is showing you $2,500 for your trade.

In the above example the trade difference on Vehicle A is $7,000 while the trade difference on vehicle B is only $6,300. Vehicle B is definitley the better deal even though it appears you are getting less for your trade in. Although this example may seem over simplified to you, people are fooled by it everyday. Don't get too caught up in the heat of the moment to think things through and make the rational, correct decision.

Loan Calculator
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Instructions Fill in top three fields, amount, term, and rate. Then Click on Calculate. Do not use commas or symbols please. Be sure to Click Calculate again if you change any of the data.

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