my first time buying a car?

Question

I was wondering what is usally the down payment on your first car. I am thinking about a used but in excellent condition 2003-2005 chevy impala or or something like a dodge stratus I would like to know what should I be expecting such as down payments, monthly payments. oh yeah I am 19

Answer 1

Here are a few of factors to consider:
1. No matter who is financing your note the larger the down payment the lower your monthly payments will be simply because you are borrowing less money.

2. How are you financing it, do you plan to us your bank or credit union, or the auto dealer's finance company? Typically but not necessarily the dealer's finance company will charge a higher interest rate. So I would check with your bank and see if you can obtain a loan through them and what is their APR.

3. How long do you want carry the note or to make payments? Most auto loans go from 1 - 4 years, which will influence the size of the monthly payment.

4. Depending on who is underwriting the note will influence the size of your down payment . You really need to ask your bank and see what they would require as a down payment.

In the mean while there a plenty of sites out there that can show you what you would be paying for your new car. Yahoo Auto has a payment calculator that you can play with to help you get a better an better idea of what your payments would be. Play around with this calculator using different down payments and see how the monthly payments change. Once you have an Idea on what to expect then you can chat with the finance people and obtain solid numbers from them in order to make your decision.

Good Luck

Answer 2

It all depends on your credit and the car you're buying. But, if I were you I'd want to have 10% to put down, and pay the sales tax up front. On a $10,000 car and 8% tax, you should pay about $1,800. Anything less and you run the risk of getting into credit trouble.