Question About Auto Loan Terms

[Anonymous]

I'm not looking into buying at this moment and havent financed a car in 10 years. When that time comes (soon) i'm not looking for anything new or expensive. Something as low as 7-8000 dollars. my question is, do banks and CU's allow you to do 48, 60 month loans on a car at that price? or would they require a shorter 36 monther because of the low price of the vehicle. thx in advance

[azguy13]

When previously applying for auto loans with NFCU and DCU, I know for a fact that 48+ month loans were available for an amount you are looking to spend. With that being said, if you finance $7,000 or so on a 60 month loan, I would highly recommend paying a little more each month when you can. That is typically how people begin to be upside down on vehicles and continuously roll over negative equity throughout their next few purchases. 

Let us know who you decide to go with! I love my auto loan through DCU. It was relatively easy and they offer the same rates for new and used. 

[Appleman]

Here is the information off of the PenFed.org website related to used cars. Looks like they readily go back to 2012.

Key Features

APR as low as* Term Loan Amount Approx. Loan Pmt.¹

1.99% APR	36 months	$500 to $100,000	$572.76
2.49% APR	48 months	$7,500 to $100,000	$438.19
2.99% APR	60 months	$10,000 to $100,000	$359.28
3.61% APR	72 months†	$15,000 to $100,000	$308.28

*APR = Annual Percentage Rate. Your actual APR will be determined at the time of disbursement and will be based on your application and credit information. Not all applicants will qualify for the lowest rate. Rates quoted assume excellent borrower credit history.

¹Loan payment estimates based on a $20,000 auto loan.

†Rate valid for model years 2017 - 2012.

• Loan amounts up to $100,000 
• Easy online application