Question:

Purchase Financing and Toyota's?

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I'm a new buyer when it comes to cars.. anything else.. I'm Einstein! So I need some help :D I'm a little unsure what the deal with purchase financing is, I'm interested in getting a Toyota Yaris because their fuel efficient and seem to be getting great reviews. So their purchase financing for a 2008 model is 0.9%. Any advice? Oh and if you've ever owned one fill me in on how it runs I'd love to know :D thanks

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6 ANSWERS


  1. you mean you can get a loan for the car at 0.9%  APR, or did you really mean to say 9.0% ?????

    0.9% is a great rate!  If you can pay cash, that's even better


  2. If the interest rate is 0.9% it's an excellent deal. Of course, to qualify, you must have excellent credit, a steady income, no excessive debt, and be at least 18 years old.

  3. Be sure that you qualify for that great rate and it applies to the model you want. Check the length of the contract and the monthly payment. They may want a large downpayment.

    Don't wait until you get into the finance department and discover something that you were unprepared for. Read the fine print or ask before you sign anything. These interest rates are not given out to everyone. Don't take possession, give up your trade or give a down payment until you are sure that you qualify. If you don't qualify and they have your trade/deposit, you are in a vulnerable position to accept a higher interest rate, a different car and more downpayment.

  4. Thats a great deal they got going on at 0.9. take advantage cause bank rate start around 5.9. and dont pay cash for a car thats sillly. you dont but money into a depreciation item.

  5. .O9% is excellent! I own a corolla and love it! It is the step up from the yaris but very similar. Toyotas have great resale value and run forever. Also my dealer told me they are soon ending finance permotions on small fuel efficient cars due to the high demand. If I were you I would jomp on it!

  6. If you can, use a bank to finance your loan to buy a car. You can shop around and get a good interest rate. The dealership has many lenders at their disposal, but they get a part of the interest you pay, kicked back to them, so they will always offer you the higher rate, called the Consumer rate.

    The 0.9 % is a teaser rate to get you into the showroom, and very few people can qualify for that, and even if they did, the dealership won't lower the price of the car, because they want either the profit from the sale, or the profit from the interest kickback.

    If you are able to qualify for the special interest rate, usually the dealership will charge you full price for the car. So, always look at the total amount with interest you will be paying for the car, not the monthly payment. (The total amount is printed in the big outlined boxes on the Truth in Lending form you will sign when financing the car).

    I suggest shopping on one day, but hold off buying until 2 days have past. That way when the salesman gets you all worked up into a buying frenzy you won't sign a contract for full price plus 12% interest in the heat of the moment. (They will try).

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