Auto Loans in Temple (TX)

The price tag on new cars has kept going up, so it’s essential to find a dealer in which you have a lot of confidence. We do business with a wide network of lenders and dealers, and we have lenders and dealers approve you for the financing you need. We place your application with a finance specialist whose job is to get you approved for the car loan you need.

New Auto Loans in Temple

Many people elect to finance a new car instead of a pre-owned one because of less maintenance and, in some circumstances, lower monthly payments. Having said that, there are drawbacks too.

  • They cost at the very least $14,000.
  • They lose 35% of their value in the first 12 months.
  • They call for larger sized down payments to fend off negative equity.

Since new cars aren’t as susceptible to service issues, however, some lenders will finance them for people with below-average credit.

Used Car Auto Loans in Temple

Used cars and trucks are a smart idea for the thrifty buyer. Some people disregard preowned autos for having more expensive rates of interest, but bear in mind that they are less expensive at signing and in sum total. Even if you’re upside down on a preowned car or truck, it will typically be for a shorter period of time. To get the best of both worlds, consider a used car that has passed an official inspection, such as a certified preowned vehicle.

Bad Credit Car Loans in Temple

There are lots of different complications which can lead to a low credit score: unpaid bills, foreclosure, bankruptcy, and more. Even though credit problems can make it difficult to purchase a new or used car, it’s not out of the question. That’s where we come in. We serve clients at every point on the credit spectrum, getting them the loans they need.

An auto loan can certainly help you in re-establishing your FICO score. But, not surprisingly, you have to make each payment by the due date. Indeed, you may be able to refinance your car or truck after your score has risen to a new tier. Settling on an appropriate payment amount is crucial. By way of example, let’s say you earn $1,519 per month, the average for Temple residents.

  • Low Payment: $76 (5%)
  • Intermediate Payment: $122 (8%)
  • Max Payment: $152 (10%)

Temple Buy Here Pay Here Car Lots

If you have experienced bankruptcy or foreclosure, a buy here pay here dealer could very well sound like the only option. Nearly all dealer finance is indirect, as car dealers go through various lenders to provide the loans, but BHPH dealers are the actual loan originator.

Downsides include:

  • Outrageous Interest
  • Inflated Down Payments
  • Overpriced Vehicles
  • Aggressive Repossession Tactics

Is strengthening your credit a concern for you? Then you are better off applying through us, since BHPH dealers won’t assist you in rebuilding your credit.

Temple Income and Finances

  • Income Per Year: $18,229
  • Income Per Month: $18,229
  • Average Car Payment: $167
  • Recommended Monthly Payment: $122 (8% of monthly income)

Auto Loan Budgeting in Temple

Have a look at this table, which shows you what price car suits your budget based upon your credit rating, along with an income of $1,519 on a monthly basis, 5 year term, and a down payment of 20%.

Prime Credit Okay Credit Subprime Credit
Monthly Payment $122 $122 $122
Rate 3.50% 7.00% 10.00%
Sticker Price $8,350 $7,671 $7,149
Money Down $1,670 $1,534 $1,430
Total Interest $611 $1,154 $1,572
Total Paid $8,961 $8,825 $8,721

Contact a Finance Professional Today!

At Longhorn Auto Finance, we take great pride in getting behind the wheel of a new car. We will connect you with a dealer or lender in Temple.