Why You Should Finance Cars
1. Great Credit Builder
Financing a big purchase like a car is a good way to boost your credit. It’s also useful for rebuilding credit. When you make consistent payments, it helps you build credit and allows you to buy larger things in the future like even nicer cars and even a house.
2. Lower Monthly Payments
Financing makes a good car more accessible. Instead of having to pay the full price of the car up front, you’re able to commit to a smaller monthly payment and at the end, you’ll be the owner of an asset. Affordable payments are easy to come by when you’re interested in financing a car. You also don’t want to use up the majority of your savings on a car. With a low downpayment, you can have a car and keep your emergency savings intact in case you ever need it.
3. You Can Always Refinance in the Future
What’s great about financing is that your interest rate on the car loan can decrease if you choose to refinance after enough consistent payments. You’re viewed as more trustworthy with successful payments under your belt, and with your credit score is improving, you’ll be able to refinance what you owe left on your car for an even better rate than before.