Post by troycuthers on Jun 5, 2019 7:02:24 GMT
Determine how much you can spend, accounting for the down payment and monthly payments, before you start looking at cars. Also, note that some salespeople can make it appear as if the car is affordable with fancy math and long-term loans when, realistically, it is not in your budget. To determine how you want to control your payments, you must first understand what they mean:
Down payment: A payment that you make up front when purchasing your car. The larger your down payment, the smaller your loan and the resulting monthly payments. It is uncomfortable writing a large check up front, but you’ll enjoy more flexibility later if you do so.
Monthly payments: Regular payments that you make for a specified number of years. Keep the amount payment at a comfortable level to account for unanticipated events that could affect your income. Your income could decrease, or you might face unexpected expenses in the coming years. If you spend as much as you can today, you’re putting your future at risk.
Down payment: A payment that you make up front when purchasing your car. The larger your down payment, the smaller your loan and the resulting monthly payments. It is uncomfortable writing a large check up front, but you’ll enjoy more flexibility later if you do so.
Monthly payments: Regular payments that you make for a specified number of years. Keep the amount payment at a comfortable level to account for unanticipated events that could affect your income. Your income could decrease, or you might face unexpected expenses in the coming years. If you spend as much as you can today, you’re putting your future at risk.