How can I get a good auto loan APR. 10pts?
So I applied for a loan through Capital One and they gave me an outrageous quote of 12%. I was talking with a dealer and am on the fence about whether I want to buy his car but he was able to get me an interest rate of 6.9% through a bank his dealership works through.
How can I get a comparable rate without going through a dealer?
Thanks
Good idea Judy, do you have any that you recommend?
Thanks Gary, I’ve been looking at credit unions and so far they all need you to be a member in order to qualify for an auto loan.
I’m Military in a Military town, I don’t trust any banks/credit unions in my area. Do you know of any that I could join without being local?
Easy to answer.
Credit Unions will always have the best rates on auto loans – always.
You don’t have to be a member to get a loan.
Also try your local banks in the area.
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I should probably defer to Judy’s Top Contributor status, but I believe that you do need to join a credit union in order to take out a loan – that’s kind of why they call it a credit UNION. But that shouldn’t be a problem.
Go to to find credit unions in your area. Even some company-related CUs are open to outsiders (that may be what Judy meant).
You are probably wise to avoid going through the dealer for a loan – unless you have it reviewed by a lawyer, you won’t be able to decipher their loan agreement. Their loan could have a balloon payment at the end, or some other disagreeable feature.
Financed cars is more expensive to insurance cause it requires full coverage. You can compare how much you would pay for full coverage of this car using this tool – carquotes.fateback.com
Try credit unions and this site , it helped me out of some really bad times so that is why i am using it now. ALso has a low interest rate which i am very glad about.