How Do Car Loans Work?

Car loans | Hickory, NC

Car loans can be more complex than they seem on the surface, which is one reason it’s important to do your homework before car shopping. For instance, a lower monthly payment on your car often means that you’re spending more in the long run, and not all interest rates are designed to be equal. Finding the ideal car loan for you is key to saving money.

There are three basic components to a car loan: “loan amount,” “APR,” and “term.” You want the lowest loan amount possible, which you can either reduce by negotiating or making a larger down payment. The APR, or annual percentage rate, refers to the interest you pay on the principle (the loan amount) and fees. The lower the APR, the more you save. Finally, the loan term refers to how long you’ll pay off a car. Extending a term can significantly reduce your monthly payments, but it will cost you considerably more in interest.

Find the balance that works for you. Ideally, you want the lowest loan amount, rates, and loan terms, which often means choosing a car with a low sticker price. However, there isn’t one-size-fits-all way to get a car. If you want to spend a little more to get a new car or a luxury vehicle, just be sure to consider the added expense of extending a loan term or raising the APR.

If you have any questions about a car loan, swing by EZ way Auto Sales or give us a call. We’re ready and waiting to help.

Benefits of Loan Pre-Approval

Loan Pre-Approval
Read more on the E-Z Way Auto Sales blog to find out how you can avoid the finance headache thanks to loan pre-approval.

Financing can be one of the most nerve-racking parts of purchasing a new vehicle, especially if you have a murky credit history. Read more below to find out how you can avoid the finance headache thanks to loan pre-approval.

Empowerment: Regardless of your credit situation, you are likely to be pre-approved for a vehicle loan at E-Z Way Auto Sales. The feeling of empowerment that comes with owning your own vehicle is second to none, and pre-approval paves the way to vehicle ownership.

Avoid Heartbreak: Have you ever found the vehicle of your dreams only to be told you don’t qualify? With loan pre-approval, you can avoid the heartbreak. When you are pre-approved for an auto loan, you’re told on the spot how much you are permitted to spend. E-Z Way Auto Sales can’t guarantee someone else won’t break your heart, but we promise not to.

Easy as Pie: Getting pre-approved with E-Z Way Auto Sales is easy as pie. If you’d like to browse online before coming in, you can get pre-approved on our website using our extremely simple finance application. Our in-house team of finance consultants will review your application and let you know when it’s time to come pick out your new car. If you prefer, you can also visit our dealership and fill out an application in person.

If you’re ready to get behind the wheel of a new car, let E-Z Way Auto Sales help take the stress out of the equation. Stop in today or fill out our online pre-approval application and get driving.