Auto Loans in Plano (TX)

Plano TXDid you know Plano has been ranked as the wealthiest city not just in Texas, but in the entire United States? However, even if you have a very strong household income, there is a high probability you will need or want a car loan to cover the full cost of the vehicle. Fortunately, we have a vast network of lenders and dealers, and we are experts in connecting you with the lender who can get you in the car you want. You will enjoy the convenience of having a dedicated finance consultant to help answer the questions you have and set up your loan. Go here to apply online.

New and Used Cars in Plano

It’s an age-old question:  new versus used vehicle? The answer is really up to you. New cars cost more and demand higher down payment, but they come with lower interest rates and virtually zero maintenance hassles. They also offer the latest in safety, entertainment, and navigation systems.

A used car, on the other hand, is a smart move for anybody serious about cutting costs. The shorter loan terms typical of used autos generally translate into less interest paid, even if you have a more expensive rate. Worried you’ll face maintenance issues? This can be reduced by buying a vehicle still under warranty or purchasing a new service contract. In order to help you decide which kind of car meets your requirements, we have published the following chart. These estimations rely on these assumptions:

  • New price of $52,980.
  • Used vehicle is two years old.
  • Credit score of 690 to 720.
  • 20% down payment for new car, 10% for used.
  • Fixed APR.
New Car Used Car
Price $52,980 $26,490
Down Payment $10,596 $2,649
Interest Rate 5.00% 7.50%
Months 60 48
Monthly Payment $799.84 $576.45
Total Interest $5,606 $3,829
Total Paid $58,586 $30,319

Plano Car Loans for People with Bad Credit

If you have great credit, you’ll probably benefit from highly affordable loan rates and advantageous terms, but a lot of people don’t have this privilege. Fortunately, there are loan companies and dealerships in Plano that accept people who have bad credit. Here is what you will need:

  • Income of $1500 per month (pre-tax).
  • No vehicle repossessed in the last 12 months.
  • Any bankruptcies either discharged, or authorized to incur debt.
  • Down payment of 10-20% is preferable, and must be willing to accept an APR north of 10%.

Through us, you can contact an automotive lending specialist from a lender or dealer in your zip code who is willing to finance your credit.

Auto Finance Rates in Plano

In Plano, interest rates generally range from 3.5% to 19% APR, depending on your credit and other factors such as those listed below:

Factor Lower Rate Higher Rate
FICO Score Higher Lower
Income More Less
Money Down Higher Less
Loan Length Fewer years More years
Vehicle Mileage Fewer miles Higher miles

For an exact rate quote, you really need to submit an application and speak with a finance specialist.

Securing the Lowest Rate

In order to receive the lowest interest rate, you ought to inspect your credit report for discrepancies. You should inspect your credit report no less than one time a year. If you don’t, uncaught errors could contribute to higher rates, smaller sized loans, and less chance for approval. Some studies claim that 4 out of every 5 consumers has at least one mistake on their report, many of which are detrimental to securing new lines of credit at competitive rates. Fortunately, it is fairly easy to dispute such errors with the credit bureau in question, as discussed by the FTC here.

Buy Here Pay Here Auto Loans in Plano, Texas

In house financing, better known as buy here pay here financing, keeps growing, mainly because so many people’s credit ratings were hit by the economic crisis. A lot of dealer financing is outsourced, in that dealerships go through banks or credit unions to provide the loans, but buy here pay here dealers don’t. They are the actual loan originator. You will notice that preowned autos are the only ones for sale, and these aren’t no money down car deals. In most cases, the down payment is less, but not much, than you would pay for the vehicle if you bought it from the classifieds, and you could find yourself paying at least 20% APR. Is elevating your credit important to you? If so, you should contact an automotive finance professional through us, as BHPH dealers won’t assist you in rebuilding your credit.

Plano Income and Finances

As discussed above, this Dallas suburb is one of the most affluent in the entire country. High incomes, indisputably, make it easier to finance a car.

  • Income Per Year: $63,576
  • Monthly Income: $5,298
  • Typical Car Payment: $583
  • Ideal Monthly Payment: $265 to $530 (5-10% of monthly income)

The amount you should put into a new car or truck hinges on a number of variables. These estimations are based upon payments of $424, which is 8% of the average consumer’s monthly income in Plano, coupled with a 20% down payment and 60 month repayment terms. Rates of interest are simply estimations.

Prime Credit Okay Credit Bad Credit
Monthly Income $5,298 $5,298 $5,298
Monthly Payment $424 $424 $424
APR 3.50% 7.00% 10.00%
Months 60 60 60
Vehicle Price $29,123 $26,756 $24,935
Down Payment $5,825 $5,351 $4,987
Loan Amount $23,298 $21,405 $19,948
Interest Paid $2,132 $4,026 $5,482
Price with Interest $31,255 $30,782 $30,417