Question: Is Putting Money Down On A Car A Good Idea?

Question: Is Putting Money Down On A Car A Good Idea?

In a Nutshell

A car down payment is money paid upfront for a vehicle you buy.

Lenders often require down payments, but even when they don’t it’s a good idea to put money down anyway.4 days ago

Does down payment affect car interest rate?

Buying a new or used car also affects your interest rate, says Thompson. To help qualify and potentially lower your loan payments, experts suggest having a 20% down payment for a new car and 10% for a used car. “The down payment makes a bigger difference if you’re borderline and can’t qualify [for a loan],” says Reed.

Photo in the article by “VAntage Point – VA.gov” https://www.blogs.va.gov/VAntage/60642/eligibility-disabled-veterans-space-available-flights/