A longer car loan term can mean more of your payment goes to interest.
If you are one of the 40 percent of car buyers with 72-month car loan terms, then you are likely to pay more interest over the life of the loan and could end up with less equity in your vehicle at trade-in. Bi weekly car payments and other accelerated payment plans can help you squeeze more interest and equity out of your new car purchase.
Fight high interest rates
Do you have a car loan with a high interest rate? One way to lower the total cost of car is to use a bi weekly car payment to accelerate your pay off. Extra payments to principal will chip away at your loan balance early in the life of the loan.
Owe less at trade-in.
Accelerating your auto loan payments also put you in a better equity position sooner in the life of the loan which means you will owe less on your loan at trade-in. You can determine just how much you stand to save by entering your loan information into our auto loan savings calculator. Let the numbers speak for themselves.
Call a loan specialist today at (800) 894-5000 and start putting your money back into your pocket, rather than the banks. Once you enroll your car loan, you become a member of AutoPayPlus and you can add your mortgage, student loans, and more to compound your savings. See more about our pricing here.
91% of People Who Trade-In Their Cars Still Owe Money
On a $24,500 car loan at 7% with a 66-month term, the biweekly option is clearly the winner over a conventional payoff strategy.