What’s the Catch with Zero Percent Financing?
If you’ve been offered zero percent financing, you might have heard it referred to as “zero percent” or “free money”—which isn’t quite it, but encompasses the spirit of the loan. Zero percent APR loans in Atlanta, GA are something you should strive for when picking a car, home or other kind of loan. Here’s why.
What zero percent APR financing means
A zero percent financing loan usually means you have a credit score above 700, have a steady source of income and can finance some serious purchases—like a car, a home or another major item.
When you get an APR loan, remember this: it not only covers the cost of your loan, but also the lender’s fees and interest.
To get zero percent financing, make sure your credit score is in order. Some of the things you can do to improve your score include checking your credit reports, disputing any issues and working with credit bureaus to bring your score up. The more you do, the better results you’ll get.
Benefits of zero percent financing
Curious about what zero percent financing gets you in practical terms? Here are some of the biggest benefits:
- No monthly interest: Obviously, the best benefit of zero percent financing is that you don’t have to pay your lender a lot of extra interest. When you’re paying an auto lender for your loan, it can add up to thousands (if not tens of thousands) of dollars in interest. Depending on the length of the loan, you could be on the hook for even more than your car loan is worth!
- Get a better car: Depending on your budget, a zero percent APR loan can get you into a better car overall. If you’re paying no interest for a certain period of time, you’ll be able to pay down the loan a lot faster—and afford a better car—when you have a zero percent APR loan.
- It’s an easy financing deal: Here’s the catch: while it’s an easier financing deal than a lot of other car loans, it only applies to certain cars. You’ll need to do a lot of research before you find the right zero percent financing loan for your next car in Atlanta, GA.
- Put your money elsewhere: The best thing about zero percent loans is how much money they free up for other purposes. Anyone who has paid off one loan is familiar with the sense of freedom its absence creates—but a zero percent loan not only frees up money, it also helps build your credit score. You can put those extra funds into something that benefits your whole family.
When you want to finance a car, home or other major purchase, you don’t have to do it by yourself. Emory Alliance Credit Union can help you find the best deals, percentage rates and financing available. Let our talented team help you so you always make the best decisions for your family.
For more information about car loans and other financing in the Atlanta area, Emory Alliance Credit Union can help. Call us today to learn more.
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