Afford the Vehicle You Want…
Consider Extended Finance terms
As the quality of vehicles built today continues to improve, manufacturers’ warranties are longer and consumers are better equipped to keep their vehicles a little longer. Consider also that the cost of vehicles tends to increase and with more interest in the SUV and Cross- over markets. In order to fit today’s vehicles into your budget you may want to investigate all of the financing options that are available today.
The 6 or 7-year Auto Loan1 could be right for you. When shopping for a vehicle, you likely have a certain type of vehicle in mind as well as a monthly budget. See how selecting a 6 or 7 year loan can allow you to buy more car with more features and have a lower monthly payment.
| The cost of the vehicle you want to buy | Your term period1 | Interest rate2 | Your monthly payments1 |
| $25,000 | 5 years | 7.50 | $500 |
| $25,000 | 7 years | 8.00 | $390 |
*Chart is for illustrative purposes only. Example assumes term equals amortization
How Does it Work?
As you can see, a seven-year term can lower your monthly payments to make the vehicle you want more affordable. You have a monthly budget in mind and want to get the most for your money Choosing a term up to seven years can allow you to buy a more expensive vehicle for the same monthly cost as a lower-priced one. You can use the extra purchasing power to select a model or features that meet your needs for added cargo room, safety or new technology features like hybrid power. For example, let’s say that your monthly budget is $500. The chart below* shows you what you could afford based on various loan term periods.
| Your monthly payment | Your term period1 | Interest rate2 | The value of the affordable car1 |
| $500 | 5 years | 7.50 | $25,000 |
| $500 | 7 years | 8.00 | $32,100 |
*Chart is for illustrative purposes only. Example assumes term equals amortization.
Select the Vehicle You Really Want
As you can see, a seven-year term can help you afford more of the features you want by making your budget go farther. At Durham Car Loans, we want to help you choose the right auto loan for you If you aren’t sure which loan amortization period and repayment term is best for you, we’d be happy to help you decide. It’s always best to find a comfortable balance between what you can afford and how quickly you want to own your vehicle. In some cases, restrictions apply based on the age of the vehicle you are considering. Contact Durham Car Loans today, and find the car and finance term that’s right for you. Click here to make an appointment, or contact us at 1-866-929-9955
1Subject to credit approval.
