Everyone dreams of driving their own car down the road. Some people dream about owning big cars but others are satisfied with just small cars. But you cannot shell out money for the car you dream to buy in one go. You need some external help for financing your car. The new auto loans are a great way to finance you with car loans and worry about repaying them later.New auto loan is one of the common loans in the financial market which is provided by majority of the lenders in the financial market. This doesn’t mean that an individual should accept an offer without making comparison and research. Research and comparison will enable him to know the trend and rates prevailing in the market.
This auto loan carries low and competitive rates. The lender usually offers two type of interest rate in the financial market that is fixed rate of interest and flexible rate of interest. Fixed rate of interest remains same till the last repayment of installment. On the other hand, flexible rate of interest varies with the change in the market. Both of the types have their own advantages.
The lender of these loans determines interest rate by taking into account certain factors. Some of the factors are as follows:
- Financing amount
- Rates prevailing in the market
- Credit score
- Financial status
Similar to other initial loans in the financial market, new auto loans are also available in two flavors that are secured and unsecured. There are financers in the
Carney Alden is a Masters in Accounting and Financial Management from