One of the main questions a lot of car buyers have for both new and used cars is how much of a down payment you need for the vehicle. The question seems simple but there are factors that play into it.
Credit and price for used cars
Your credit score and the overall price of the car are two of them. You may have heard car dealers say 10% of the price of the car. So if you find a used car for $5,000 the down payment will be around $500. The larger the down payment the better off you will be with bad credit.
Some car dealers will tell you that they want 20% down on a used car. You might run into a used car dealer in San Antonio Texas that will want 20%. Ideally for a down payment you never really want to go below 10%.
If you lease the vehicle you may not have to put any money down on the car but read the terms. A used car is your best bet when putting money down on a car because you can get away with only 10% down.
Main down payments for used cars
Talk with a used car dealership on their used cars and try and get that $500 down used car in San Antonio. With any used car you will need to keep in mind 10% down for the car or go up to $1,000 for the car.
These all depend on the price of the vehicle you can get a $25,000 used car is looking like a $2,500 down payment. But with bad credit you might need more it depends on the auto lender and how risky they think you are.
Talking down payments with the car dealer
When talking with the car dealer, really any of them in Texas and you don’t know where your credit stands it’s best to have at least 10% for the down payment even if you qualify for zero down on a used car in the San Antonio area. A down payment is to help you reduce your monthly payment and knock down some of that interest charge. Plus think of other purchases for the used car such as insurance that’s added into the cost of the vehicle.