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Enterprise Cars Advise How To Be Smart With Your Car Loan

Friday 24 June 2016, 2:32PM

By Beckie Wright

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The friendly and experienced team at Enterprise Motor Group have some good advice on how to be smart with your car dealership and as they say, it’s not just about finding the right make and model to fit your needs: it’s also about matching your finance to your situation. One of the first things they talk about is making sure people have a good credit record which will affect the ability of a company to lend them money.

Secondly, the Enterprise Motor Group team say that building a realistic budget is essential to managing a loan. People should remember to take into consideration the running costs of the car as well as the cost of the loan, and to work out how much money they have available to make the repayments.

An important piece of advice is the fact that the higher the deposit upfront, the smaller the loan will be which means lower repayments, or the ability to pay off  the car even faster. Either scenario adds up to less interest to pay so it really is worth going for the biggest deposit people can afford. Similarly, if people want to minimise the cost of borrowing on their car, the most effective solution is to reduce the length of time that they borrow for. The Enterprise Motor Group guys also advise people to get their loan set up before they go shopping for a car. This will mean that they know exactly what budget they have to play with, and may even help to increase their bargaining power.

They also say that what can take people by surprise is the number of small costs that they may have to deal with as part of the purchase. For example, having the car checked out before buying, insurance and the extended warranty option. It’s tempting to get any or all of these costs added into the total purchase amount, and use the car loan to cover everything. However, remember that interest will be paid on every dollar spent. Whatever the circumstances, it’s also worth planning for the future when setting up the loan, and the shorter the length of the loan the less likely it is to hit roadblocks along the way

At Enterprise Motor Group they make sure they are flexible to their customers’ circumstances and they work hard to make their loans suit customers’ needs. For more information on Enterprise Motor Group and their cars on finance please go to http://www.enterprisecars.co.nz .