Car loans For Single Mothers

If you are single mother and looking for a car loan, there are lots of things you need to consider. Should you finance it, or pay cash? Should you buy a car and lease it? What about a used car? Well, there are lots of choices and there are things you need to think about in making the right decision to find the right car loan for you.

If you don’t own a home, or if you don’t have enough equity in your home to borrow against, you’ll need a car loan. Financing through a dealer is convenient, but it can also be more expensive, because it’s another way for a dealer to make money from selling you your car. Also make sure the dealer’s loan terms aren’t set up to match your monthly payment. If the dealer knows what you can afford each month, he can structure a loan that meets that payment but still ends up costing you more than independent financing.

Before you go with your dealer’s financing, shop around to make sure you’re getting the best rate.

If you don’t have enough money for a standard down payment on a car, leasing might be the best option for you. Similarly, if you like to get different cars every few years and you are not interested in making changes to the factory settings on a car, a lease might be the best way for you to go. Read the rest of this entry »