Contact your credit union to learn about the resources available for gauging the maximum value of your trade-in, an important step in lowering your overall financing costs. But total price directly affects how much you pay each month. For example, in the event of an accident, insurance companies will pay only book value, leaving you with no car and still liable for thousands of dollars in monthly payments. An honest evaluation of all the deal s components from your credit union can help assure manageable payments and a reasonable price. More often it is simply a sales gimmick, and can result in a final sales price substantially higher than with independent financing.
Price is more important than interest rate in determining both monthly payment and total price.
To be assured of true cost savings, contact your credit union to learn exactly what the deal will mean, in monthly payments and total costs, and what your best options are, including financing choices. So-called cheap credit can end up being pretty expensive when you fall for the myths and ignore the facts. Remember that the dealer selling the car is unlikely to give objective, unbiased advice. Don t get locked-in to a deal you don t like. Talk over your options with people at your credit union who help you care for your money and not just the car salespeople who are trying to get it.