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Know the Facts About 0% Dealer Financing

 
At first glance, 0% financing seems like a good deal. But before you sign on the dotted line, consider these facts:
 
·         If your credit is not perfect, you probably won’t qualify for 0%.
·         You’ll most likely have to choose from select makes and models, and the vehicle you want may not be one of them.
·         You may be restricted to shorter term loans (24 months or 36 months), which results in higher monthly payments.
·         You may end up purchasing a vehicle with expensive, unwanted options.
·         You may lose your negotiating power and pay more than you should for the vehicle.
 
And in instances where you have to choose between 0% dealer financing or a factory rebate … Instead of taking the dealer financing, take advantage of the factory rebate.
 
The truth is, you can actually save more money when you choose the rebate and finance your vehicle here at Hoya Federal Credit Union. Use your rebate as a down payment toward the purchase of your vehicle and lower the amount you have to finance. 
 
Take an offer for 0% financing for 36 months or a $2,000 factory rebate on a $20,000 vehicle, shown in the chart below. If you take advantage of Hoya FCU financing and combine that with the dealer rebate, not only do you benefit from lower monthly payments, your total payments over the life of the loan are far less than what you’d pay taking the dealer financing. And furthermore, you can choose our 60 month term with rates as low as 3.00% APR, and still end up paying less over the life of the loan.
 

 

 
Dealer Financing
Hoya FCU Financing
 
Dealer Financing
Hoya FCU Financing
 
Hoya FCU Financing
Purchase Price
$20,000
$20,000
 
$20,000
$20,000
 
$20,000
Down Payment
N/A
$2,000 Rebate
 
N/A
$2,000 Rebate
 
$2,000 Rebate
Amount Financed
$20,000
$18,000
 
$20,000
$18,000
 
$18,000
Interest Rate
0%
1.99%
 
0%
1.99%
 
3.00%
Loan Terms
(Months)
36
36
 
48
48
 
60
Interest Rate
0%
1.99%
 
0%
1.99%
 
3.00%
Monthly Payment
$555.44
$515.48
 
$416.66
$390.43
 
$323.47
Total Payments
$20,000
$18,557.56
 
$20,000
$18,740.81
 
$19,408.11

 So make us your first stop.  Apply online today, and you can visit the dealership with your financing already in place.

 If you've already financed your vehicle somewhere else, make us your next stop!  We may be able to reduce your payments by refinancing your loan at our great rates.