Drive into a Great Deal: Auto Financing Do’s and Don’ts

Buying a car is equal parts exhilarating and exhausting. We’ve all been there— after spending weeks and months looking for the perfect vehicle, you’ve finally found it. You drove miles to see it in person, discussed the specs with experts, and chose the trim that fit your needs. You’re walking on sunshine with a car that feels personally crafted for you. Nothing could rain on your parade. Then, you’re faced with financing.

Your dream car now comes with a huge price tag and even higher interest rates. You need a loan that fits your budget and long-term plans. EdiFi is here to help!

Auto Loan Do’s and Don’ts

The most important thing to do when buying a car is to find a loan that fits your budget. Budgets aren’t one-size-fits-all, so what works for you may not work for others. If you need to build or refresh your budget, check out our budgeting series.

Feel good about your budget? Here are some helpful Do’s and Don’ts when financing your vehicle.

Do: Set a budget

Whenever you’re making a big purchase, no matter what it is, the most important thing to consider is your budget. Before you start looking, set a budget and stick to it! In your budget, consider how long you want (or need) your loan to be, the interest it will accumulate, what monthly payments you can afford, and other car expenses, such as repairs, car washes, and regular maintenance.

Don’t: Let dealerships pressure you

Dealership salespeople may try to persuade you to buy an upgraded package, Guaranteed Asset Protection (GAP), or finance through them. Don’t let them sway you from what you want. Research different technology packages, and know what you want when you go in.

Have no idea what Guaranteed Asset Protection (GAP) is or why it’s important? Check out our easy guide here.

Do: Compare auto loans from multiple lenders

Shop around! Chances are, the dealership won’t give you the best deal out there. That’s why it’s important to check out multiple lenders and see who can offer you the best deal.

Don’t: Settle for high interest rates

Don't settle for high interest rates as you shop around for the best auto loan deal. If you’re a first-time buyer, your interest rates may be higher, but that shouldn’t discourage you from finding a good deal. Just like shopping around to find the perfect vehicle, it may take time to find a good rate.

Do: Get pre-approved through EdiFi

You researched the perfect car, set a budget, and shopped around for a good loan with a great rate. Now, it’s time to put all that hard work into action! Financing your auto loan through EdiFi and get competitive rates, flexible terms, and convenient payments. Plus, our pre-approval is valid for 30 days, giving you ample time to find the perfect car. Get pre-approved through EdiFi and head to the dealership with money—and reassurance—in your pocket.

Don’t let financing your vehicle rain on your parade— walk on sunshine the whole time, from finding what you want to owning it. When you find your dream car, purchase it with peace of mind through EdiFi!

Ready to take the next step? Get pre-approved through EdiFi and start your car-buying journey today!

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