Whether you’re purchasing your first car or upgrading your current model, it’s important to understand the commitment you’re making and plan for the long-term expense. Before signing any papers and driving your new car off the lot, make sure you do your homework and have your budget set or your payment plan in place.
Financing Your New Car
When you decide to purchase a new car, there are a lot of considerations to make: will you be trading in your current vehicle and/or putting money down? If so, how much? The more money you are able to put down up front, the lower the amount you’ll need to finance.
Speaking of financing, many people finance their automobile through their dealer or through a bank, but they often end up paying a higher interest rate as a result. Securing a low-interest auto loan through LUSO Federal Credit Union can result in a significant cost savings over the life of your loan. Figure out how much you can afford to pay for a car loan each month with our online Auto Loan Affordability Calculator.
Budget for Related Expenses
Aside from the monthly payment for your auto loan, there are other considerations to make when buying a new car. In addition to regular car payments, you’ll have to pay for your insurance premium, the cost of gas and other driving expenses such as parking or tolls, and regular maintenance, inspections and registration costs. And don’t forget emergency expenses for unexpected repairs that aren’t covered under warranty. Setting up a LUSO savings account with direct deposit when you open your auto loan can make budgeting for these unexpected expenses a bit easier.
If you’ve decided to purchase a new car, truck or SUV or if you’ve already purchased your new car with dealer financing, ask us how we can help you refinance to lower your payments!
LUSO Federal Credit Union is a not-for-profit, member-owned financial cooperative dedicated to providing members with quality financial services and products. We at LUSO pride ourselves on serving the financial needs of our members and helping them save for the special occasions in life.
Feel free to contact our Ludlow or Wilbraham branch toll free at 1-844-LUSO-FCU.
