Auto Loans in Rosenberg (TX)

Several years ago, you had no choice but to go from one Rosenberg lender to the next, applying for loans to compare rates. Here at Longhorn Auto Finance, we have simplified the process. Rather than waiting until you are in the dealership’s financing office, we allow you to apply for a car loan in advance. You will enjoy the convenience of working with a devoted financing consultant who can answer your questions and arrange your loan.

Auto Loans in Rosenberg for New Vehicles

Brand new cars are pricey, and they depreciate at an incredible rate. Therefore they are best for people who are capable of fulfilling the following requirements. You have great income and credit, and you don’t plan on offloading your car before the finance term is up. If you would find it difficult to meet these guidelines, you probably ought to consider a used car or truck.

Used Vehicle Financing in Rosenberg

In many cases, a pre-owned car or truck winds up being a significantly better investment than a new one. People sometimes dismiss used cars for having more costly rates, but remember that they will cost less in upfront cash and over the long haul. Maintenance worries can be reduced by opting for a late model car or truck or obtaining an aftermarket warranty. In order to help you make a decision as to whether a new or used car would fit you best, we have created the following chart. We are assuming a car or truck that is two years old, and has therefore lost one half of its value, and a borrower with a credit score of 690 to 720.

New Car Used Car
Price $40,200 $20,100
Down Payment $8,040 $2,010
Loan Rate 5.00% 7.50%
Duration 60 months 48 months
Monthly Payment $606.90 $437.40
Interest Paid $4,254 $2,905
Total Paid $44,454 $23,005

Rosenberg Bad Credit Car Loans

If you have first-rate credit, you’ll likely have the benefit of very low annual percentage rates and great terms. Unfortunately, some of us don’t have this privilege. Although bad credit could make it challenging to finance a new or used car, it is not impossible.

It’s likely that we can find you a lender or dealer in our network who is willing to finance your credit.

Keep in mind, a car loan, if paid as agreed, can improve your credit score in a matter of months. Indeed, you may be able to refinance your vehicle once your score has climbed enough.

Set aside 8% of your monthly income, that’s it, for your car payment. If you are like the average Rosenberg resident and have an income of $4,020 per month, this would be $322.

Rosenberg Buy Here Pay Here Car Lots

Buy here pay here dealers usually work with people who have severe credit problems such as bankruptcy or repossession of a vehicle. Generally, dealer financing isn’t direct to the consumer, as dealers work with a network of lenders to provide the loans. In contrast, BHPH dealers engage in direct lending. They serve as both dealer and lender. Hence the name buy here pay here. Unfortunately, you should be prepared for high rates of interest, huge down payments, and cars and trucks that cost too much given the number of miles they have. There’s more: these car lots seldom report to the credit reporting agencies, and that means you could make all of your payments when they’re due with no boost to your credit score.

Rosenberg Income and Finances

  • Annual Income: $48,241
  • Income Per Month: $48,241
  • Recommended Car Payment: $201 to $402 (5-10% of monthly income)

Check out this chart revealing what car you can afford with a payment amount of $322, 20% down payment, and 5-year term.

Exceptional Credit Decent Credit Subprime Credit
Monthly Installment $322 $322 $322
APR 3.50% 7.00% 10.00%
Years 5 5 5
Sticker Price $22,098 $20,302 $18,920
Money Down $4,420 $4,060 $3,784
Total Interest $1,618 $3,055 $4,160
Total Paid $23,716 $23,356 $23,080