Get the Best Financial Deal for your Car

Get the Best Financial Deal for your Car

MANILA: Buying a car is a prolonged process, one that requires a plethora of tasks, from researching to deciding and finally acquiring the car, but with CarBay's easy solutions, you can get your hands on your new ride, hassle-free.

In our previous article, we provided simple tips regarding buying a car. Today, we will talk about how to finance it. Numerous financing options, easy loan availability and pocket-friendly credit policies have driven growth in the automobile industries. Banks and financial institutions are lending out money more readily, with flexible terms and payments. If you are a first-time buyer, navigating the maze of financial instruments for in-house dealership financing and bank financing can be a daunting task. To aid you to select the best possible car loan for your shiny new wheels, we at CarBay presents steps that will ensure you get your hands on a great financial deals.

???????????????????????????????????????????????????????????

Shop Around and Negotiate:

After selecting your dream car, you might come across a financial deal that has it all – low EMI, less interest rate, and easy payment structure. If you are planning to buy a new car – shop around first and get quotes from all dealers. This will help you select the best possible deal that suits your needs. After selecting the dealer, that is providing you with a desirable deal, do not forget to negotiate. Negotiating on a deal helps a great deal in lowering its costs. You can pitch other competitor's quotes as well in order to grab comparatively reasonable deals. Hence, try to bargain.

credit

Your Credit Score:

Have you ever thought, why on the same loan two different people are charged with different interest rates. Well, this is because of your credit score. A credit score is a score bureau assigned to you based on how much debt you have, how good you've been about paying bills on time, how long you’ve been using credit and your debt to income ratio, which is the amount of debt you have versus how much money you earn. If your credit score is low, lenders charge steep interest rates to cover that risk. You can find your credit score at various online websites, which will help you to contemplate your interest rates. If you have any existing relationship with your banks either in the form of bank accounts of credit cards, leverage that. As many financial institutions offer discounts to their existing customers.

total loan

Shop for Total Loan Amount:

While taking a loan, we often just regard monthly installments and forget about the total loan value. When you privately calculate the monthly amount you want to spend on your car – only then you should consider the monthly payments, after that your complete focus should be on the total loan amount. Some lenders may focus on the payments to induce you to borrow more money by extending the number of months you pay. That way they make more in interest, and you have to drive your aging car longer. The longer term reduces the monthly payment, but it will also drive up your total loan cost.

fine print

Read the fine print:

You sign all the paperwork, get the keys to your shiny new car and drive it home, assuming the deal is done. Few weeks later you realize that there is more than meet the eyes. Review the paperwork thoroughly as the agreement lasts for years you don't want any shocks later. While meticulously reading your loan paperwork, be sure to check for these points:

Mandatory binding arbitration: Mandatory Binding Arbitration is a contract provision that requires the parties to resolve contract disputes before an arbitrator rather than through the court system.

Variable interest rate: Figure out the highest possible payment. If you can't afford it, the loan's not for you.

Prepayment penalties: How much will it cost you to pay off the loan early if you want to sell or refinance? Some banks charge rates as high as 5% of the total loan amount if you pay off your loan early.

Zigwheels PH Team

Zigwheels PH Team

The Zigwheels editorial team abreast auto enthusiasts with the latest happening and additions of the auto world. Zigwheels.ph is 24/7 monitored and any update in the auto arena gets immediately reflected on the portal. The site gives full information about new and used cars, both brand, and budget wise. Further easing your choice is the comparison tool that is fully committed to buyers need.

Read Full Bio

Sell your car at the best price

Verified and genuine buyers Verified and genuine buyers
Free listing Free listing
List your car

PIMS 2024

Trending & Fresh Updates

You might also be interested in

  • News
  • Featured Stories

Featured Cars

  • Upcoming
  • Geely Coolray 2025
    Geely Coolray 2025
    ₱1.199 - 1.299 Million Expected Price Manila
    Expected Launch TBA Alert Me When Launched
  • Kia Carens 2025
    Kia Carens 2025
    ₱1.57 Million Expected Price Manila
    Expected Launch TBA Alert Me When Launched
  • Toyota Vios 2025
    Toyota Vios 2025
    ₱832,000 Expected Price Manila
    Expected Launch TBA Alert Me When Launched
  • MG RX8
    MG RX8
    ₱1.05 Million Expected Price Manila
    Expected Launch TBA Alert Me When Launched
  • Omoda 7
    Omoda 7
    Price coming soon
    Expected Launch TBA Alert Me When Launched

Latest Car Videos on Zigwheels

Zigwheels
  • 2025 Chery Tiggo 2 Pro Spec Guide | Zigwheels.Ph
    2025 Chery Tiggo 2 Pro Spec Guide | Zigwheels.Ph
    19 Dec, 2024 .
  • 2024 Toyota Yaris Cross V Review | Zigwheels.Ph
    2024 Toyota Yaris Cross V Review | Zigwheels.Ph
    19 Dec, 2024 .
  • 2025 Toyota Tamaraw First Look | Zigwheels.Ph
    2025 Toyota Tamaraw First Look | Zigwheels.Ph
    11 Dec, 2024 .
  • 2025 Mitsubishi Montero Sport Black Series 4x4 Spec Guide | Zigwheels.Ph
    2025 Mitsubishi Montero Sport Black Series 4x4 Spec Guide | Zigwheels.Ph
    05 Dec, 2024 .
  • 2024 Kia Sonet SX Review | Zigwheels.Ph
    2024 Kia Sonet SX Review | Zigwheels.Ph
    05 Dec, 2024 .
  • Kia EV3 and EV5 First Look at Kia EV Day 2024 | Zigwheels.Ph
    Kia EV3 and EV5 First Look at Kia EV Day 2024 | Zigwheels.Ph
    05 Dec, 2024 .
  • 2025 Mitsubishi Montero Sport Black Series 4x4 Review | Zigwheels.Ph
    2025 Mitsubishi Montero Sport Black Series 4x4 Review | Zigwheels.Ph
    05 Dec, 2024 .
  • 2024 Toyota Yaris Cross V Review | Zigwheels.Ph
    2024 Toyota Yaris Cross V Review | Zigwheels.Ph
    05 Dec, 2024 .
  • 2024 VinFast VF 5 Review | Zigwheels.Ph
    2024 VinFast VF 5 Review | Zigwheels.Ph
    05 Dec, 2024 .
  • 2024 Honda CR-V RS e:HEV Review | Zigwheels.Ph
    2024 Honda CR-V RS e:HEV Review | Zigwheels.Ph
    25 Nov, 2024 .
Watch Car Videos

Car Articles From Carmudi

  • journal
  • advice
  • financing
  • insurance
  • Fuel pump prices continue to rise on X-Mas
    Fuel pump prices continue to rise on X-Mas
    Ruben Manahan IV, Dec 23, 2024
  • Top gifts for 2nd-hand vehicles
    Top gifts for 2nd-hand vehicles
    Paulo Papa, Dec 23, 2024
  • Geely Motor PH establishes new parts center in Laguna
    Geely Motor PH establishes new parts center in Laguna
    Ruben Manahan IV, Dec 19, 2024
  • LTO to intensify ‘road presence’ in time for holidays
    LTO to intensify ‘road presence’ in time for holidays
    Ruben Manahan IV, Dec 10, 2024
  • ‘Mixed’ pump price adjustments to continue this week
    ‘Mixed’ pump price adjustments to continue this week
    Ruben Manahan IV, Dec 09, 2024
  • Senior citizens and driver’s license: What changes after 60?
    Senior citizens and driver’s license: What changes after 60?
    Carmudi PH, Dec 09, 2024
  • How EVIDA is shaping the future of EV registration in the Philippines
    How EVIDA is shaping the future of EV registration in the Philippines
    Carmudi PH, Dec 03, 2024
  • Here’s how to add and verify a medical certificate on the LTMS portal
    Here’s how to add and verify a medical certificate on the LTMS portal
    Carmudi PH, Nov 25, 2024
  • Emergency guide: How to handle brake failure safely
    Emergency guide: How to handle brake failure safely
    Carmudi PH, Nov 21, 2024
  • Save your clutch: 5 things manual drivers should never do
    Save your clutch: 5 things manual drivers should never do
    Carmudi PH, Nov 15, 2024
  • Exploring car loan programs in the Philippines
    Exploring car loan programs in the Philippines
    Carmudi PH, Dec 16, 2024
  • Bank vs Dealer Financing: Which is better for Filipino car buyers?
    Bank vs Dealer Financing: Which is better for Filipino car buyers?
    Carmudi PH, Dec 11, 2024
  • Hyundai Finance: Exploring Hyundai Philippines’ range of car payment options
    Hyundai Finance: Exploring Hyundai Philippines’ range of car payment options
    Carmudi PH, Dec 02, 2024
  • Understanding Balloon Payment: A flexible financing option for Filipino buyers
    Understanding Balloon Payment: A flexible financing option for Filipino buyers
    Carmudi PH, Nov 23, 2024
  • How to negotiate the best interest rate for your car loan
    How to negotiate the best interest rate for your car loan
    Carmudi PH, Nov 11, 2024
  • Why you need automatic car insurance coverage in the Philippines
    Why you need automatic car insurance coverage in the Philippines
    Carmudi PH, Dec 06, 2024
  • Understanding Pay-How-You-Drive Insurance in the Philippines
    Understanding Pay-How-You-Drive Insurance in the Philippines
    Carmudi PH, Nov 28, 2024
  • Reviewing Oona Car Insurance: Benefits, key features, cost and more
    Reviewing Oona Car Insurance: Benefits, key features, cost and more
    Carmudi PH, Nov 19, 2024
  • Reviewing SGI Car Insurance: Pros, cons, coverage options & more
    Reviewing SGI Car Insurance: Pros, cons, coverage options & more
    Carmudi PH, Oct 31, 2024
  • No car insurance? Here’s what all wrong can happen in the Philippines
    No car insurance? Here’s what all wrong can happen in the Philippines
    Carmudi PH, Oct 29, 2024

Compare

You can add 3 variants maximum*