In the car-buying process, most Acura shoppers want to know what they can afford and how much their payment will be. It’s understandable – buying a car is a big decision, and one of the most expensive ones you’ll make in your life. An auto loan calculator is available on most car manufacturer websites as well as from virtually every lending source imaginable.
Auto loan calculators are a very helpful tool for the shopping process, but there are a few things you need to watch out for. If you aren’t diligent, you could set yourself up for disappointment.
Make Sure the Auto Loan Calculator Includes Taxes
If you’re inputting your potential car purchase into the auto loan calculator, you want to make sure it includes sales tax. On a new or used Acura purchase, that can add up quickly. You know that you’ll have to pay taxes, but you’ll want to know how it affects your payment too. Many calculators require you to check a box to include tax on the car payment amount.
Use a Conservative Interest Rate
When you’re looking on the Acura website, you’ll have the option of using the advertised subvented interest rate. You can also enter a customized rate. This is just for an approximate amount, and it’s not necessarily what you’ll be approved for. If you know you have credit issues or you haven’t developed your credit very much yet, you should expect an interest rate that’s higher than advertised.
Consider Any Extras
Like any major purchase, you’ll be offered valuable and protective coverages. GAP insurance can cover you against depreciation costs if your vehicle is a total loss. An extended warranty can save you big money in repair costs. Life and disability insurance can protect you and your loved ones against unexpected expenses. Always account for some leeway in your payment when you use auto loan calculators.
When you’re shopping for an Acura, a good idea is to use the calculator on the ‘Build & Price’ tool. Even better is to contact Jay Wolfe Acura of West County. You can get accurate payments and even get pre-approved for your new car!