There are many different types of loans you can get. If you don’t know what you’re looking for, you can really get yourself into trouble financially, those fellows behind the desk are not looking out for your best interest, they’re looking out for the profitability of their company and if you go in there blind, you’re going to help reach their goal not yours. Don’t let anyone tell you what you want or need, find out for yourself what type of loan is going to work best.
An unsecured loan is going to have a higher interest rate because of the fact that it is unsecured, making it a higher risk loan.
The absolute best loan to get to purchase your vehicle is a home equity loan because the interest is tax deductible and generally lower. But those types of loans are hard to find these days. The next best loan is going to be a secured loan, secured by the vehicle you are purchasing. Loans at the dealership are often convenient but even more often not the best deal you can get. If you belong to a credit union, getting a loan through there would be a good bet, but again, know what you’re getting yourself into. If not a credit union, then banks, but know your credit rating, your available cash to put down and payments you can afford before you go in. Know how to negotiate and don’t be afraid to do it.
