Now is the time to Buy that New Car.
By Allan Hoffman
Friday, November 14, 2008
If you have some extra money and really good credit, now is the time when you are most likely to find a great deal buying a new car. Not only because of the economy, but also because the new cars are coming out and dealers would like to clear the lots. However you have to know what you are facing.
Times have changed, and these days most car dealerships have raised the credit score requirement to get a loan. It used to be they would accept a low of about 650 but today, many require a 760 or higher, which is very good.
Also, your interest rate is going to be higher if you have a lower score. Some interest rates are as high as 15 percent. In fact one couple said there interest rate was 22%.
So what is your best bet? Well if you have a second mortgage on your home then one expert told me you can loan the money to yourself. Of course you have to set up an automatic transfer to your second mortgage just as it were to a car loan company but remember…..you can claim the interest on the second mortgage on your taxes!
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