Car Loans. Pros/Cons of shopping for a fresh and an auto that is used

Automobile Loans Made Easy

Our auto lending staff takes the hassle and hassle away from trying to get a car loan. Our procedure is simple – and quick. We’ll walk you through our different terms and loan prices, therefore you can afford that you get the loan and the monthly payment.
Why choose bay area Federal Credit Union for the car finance?

  • No Re Re Payments for 90 Days*
  • As much as 100per cent Funding Available
  • Competitive prices, as little as 0.99per cent APR
  • Versatile Loan Terms and Rates
  • Affordable Re Re Payments

Our automobile prices are as little as 0.99per cent APR.
And now we have actually terms as much as 96 months! See Current prices
*With FICO rating of 620 or even more; Not relevant to internal refinancing


About lowering your monthly payment with our EZ refinance auto loan program if you have an auto loan from another financial institution, it would be smart to contact us. A number of our users refinance their current car loans to save cash and reduced their monthly premiums.


Finance the new or RV that is usedengine house or travel trailer) for as much as 15 years with loan quantities of $100,000 to $200,000. Ships could be financed for approximately 10 years with loan quantities of $20,000 to $75,000. Smaller loans and smaller terms can be found. Find Out More About RV & Boat Loans


Finance your used or new bike for approximately 72 months. Find Out More About Motorcycle Loans


Want protection beyond simply auto insurance that is standard? Expand your warranty with Mechanical Breakdown Insurance (MBI); consider Guaranteed automobile Protection (GAP) to aid spend your entire loan should your car is totaled or taken (provided for terms lower than 84 months); make use of Credit Protection to cancel your car loan financial obligation when it comes to particular major life setbacks.


A number of our members have pre-approved for a car loan before they begin searching for the brand new car or vehicle. Get added purchasing energy by calling a branch, calling 415-775-5377 or use today that is online. Communicate with our loan professionals to get pre-approved for a loan quantity that works well for you personally.

Pros/Cons of getting a fresh and a utilized automobile

Q: i would like an innovative new collection of tires and I’m wondering if it is far better to spring for a brand new automobile or to get the cheaper path and purchase an utilized vehicle. Exactly What do i have to realize about each type or style of purchase?

A: Any decision surrounding a purchase since big as being vehicle has to be made out of careful research and consideration. You can find advantages and disadvantages on both relative edges for the fence right right here. Your ultimate decision, though, is determined by your financial allowance, individual choices and specific requirements.

A little easier, we’ve outlined the pros and cons of each purchase type below to make your job.

Professionals of the latest automobiles

  • Reputation sign. The strongest allure of getting an innovative new car is clearly its attractiveness. You don’t hear many individuals bragging about their just-purchased car or publishing photos from it all over their social networking pages.
  • Fewer repairs. Having a vehicle that is new you are able to assume you won’t be working with major repairs or upkeep dilemmas for some time.
  • Better shopping. Whenever all things are new, there’s no need certainly to drag your potential car that is new the auto auto mechanic. It is additionally simpler to figure out a fair cost for the automobile.
  • More financing choices. If you’re considering a brand new vehicle, you’ll be offered attractive incentives like money rebates through the carmaker and better rates of interest through the loan provider.
  • Improved technology. Automobiles are receiving more updates, and present models have actually extremely technology that is convenient such as for instance programmable settings, autonomous crisis stopping, adaptive cruise control, blind spot monitoring, integrated Wi-Fi hotspots or lane-departure warnings.
  • Automaker’s guarantee. All brand new vehicles come with warranty protection for his or her first 3 years or 36,000 miles, whichever comes first.

Cons of the latest vehicles

  • Cost. Needless to say, a car that is new likely to be higher priced. Nonetheless it’s not merely the cost that places you at a drawback that you can get a perfectly comparable vehicle for much less– it’s the fact.
  • Depreciation. New cars decrease in value the moment they leave the great deal. In reality, a car that is new lose 20% of the value once it is owned. At the conclusion associated with the year that is first of, your brand-new automobile can drop another 10per cent due to the mileage you’ve clocked together with deterioration. You’ll feel this loss if you attempt to market your car or truck a years that are few the line.
  • Greater premiums. Insurance vendors charge more for more recent cars. You’re additionally more prone to want the utmost protection and security whenever every dent in your car that is new is to bring you to definitely rips.

Professionals of used automobiles

  • Cost. Let’s be truthful right right here: no body would think about buying a car or truck if|car that is used it weren’t when it comes to savings. And people savings may be enormous! Start thinking about this: in line with the nationwide Automobile Dealers Association (NADA), the average US own 13 automobiles inside their life time. A normal car that is new $30,000. If each motor vehicle that any particular one has in their life is merely three years old and expenses car title loans near me $20,000, the motorist can help to save $130,000 on automobile costs throughout their life!
  • Less depreciation. The cost savings on a car that is used end during the dealer’s great deal. Because of the past owner taking in depreciation regarding the vehicle during its very very first few many years of ownership, is only going to experience a small fall in expense. It can save you yourself thousands in loss if you wish to sell your car or truck a years that are few the line.
  • Lower insurance costs. Along with your automobile weighing in at a lowered value, your month-to-month insurance costs may well be more workable. You can decide away from complete security whenever your automobile isn’t a brand new model anyhow.
  • Reduced interest. Finance an car rather|car that is used of one, you’ll probably have actually a greater rate of interest. But, considering that the loan quantity is leaner, you’ll save as a whole interest repayments within the lifetime of the mortgage.
  • Predictability. When selecting a car that is just-released you will never know just what dilemmas might appear later on. But, whenever you’re purchasing a model that is been with us for the years that are few you’ll have a great deal of research and reviews available on your own car so you’ll know very well what you could anticipate.

Cons of utilized automobiles

  • Complicated purchase. You won’t have the ability to head into a whole lot and go out with your brand new vehicle an hour or so later on. By having a utilized vehicle, you’ll need to get a car history report, ask to start to see the vehicle’s solution records and carry it up to a auto mechanic inspection that is professional.
  • Less alternatives. Pre-owned, you don’t arrive at be particular about things such as colors, improvements and features. One thing in your cost range that fits the majority of your requirements, you grab it!
  • Danger. Also you still run the risk of walking out with a lemon when you buy a used car if you do your homework well.

It’s a multi-faceted choice, but by very carefully weighing and private choices, you’ll drive off the dealer’s lot by having a genuine champion!


After you have been pre-approved for a car loan with bay area Federal Credit Union, we encourage you to definitely take to among the following COMPLIMENTARY car buying services:

Ensure you get your anxiety free car finance from bay area Federal Credit Union. All loans are at the mercy of credit approval.