How to Find Car Loans

The biggest mistake car buyers make when arriving at the auto dealership is not reading up on the car buying process. To some sneaky salespersons (though not all are dishonest), a person who has no prior knowledge of the car dealership's sales process or the ins and outs of auto finance is an easy target.

Due to commissions, kickbacks, and other deals, car dealerships would rather the person secure an auto loan through their fine establishment. But if the customer has obtained several loan quotes from competing banks, it provides an incentive for the dealership to offer an even better deal.

Here's how to find a car loan and compare rates.

Difficulty: Easy

Instructions

Things You'll Need:

• Computer with broadband internet

1. Point your web browser to Edmunds.com. Edmunds is an excellent resource for all things auto. View test drive videos of new cars, research makes and models, read reviews, and get expert advice. Click the Car Loans tab at the top of the home page. On the Car Loans page, use the loan calculator to estimate affordability. To obtain competitive loan quotes, click the Apply Now button to go to up2drive, a division of BMW Bank.

2. Point your web browser to Cars.com. This site is also a great resource for auto research and information. Consumers can search makes and models, read reviews, get expert advice, and view helpful tips. To find car loans using the site, under the Search For a Car heading, click the Auto Loan Calculator link to the right of the Used Cars section. On the Calculators page, Auto Loan Calculator tab, complete the information in the Get Financing First box and click the Apply Today button. You will be taken to a third-party site called Funding Way, which specializes in bad credit car loans.

3. Point your web browswer to Yahoo! Autos. Yahoo!'s auto research site is very similar to both Cars.com and Edmunds. To find car loans using Yahoo! Autos, click the Finance tab at the top of the page. On the Auto Finance Center page, in the Get Financed box on the right-hand side of the display, click APPLY NOW > for either average credit or great credit. You will be taken to up2drive where you can obtain competitive auto loan quotes.

4. Point your web browser to E-Loan. From the home page, click Start Now in the Auto Loans box on the right-hand side of the page. Under Get Started, select Auto Loan, select loan type, then estimate your state of credit. Click Start Now to begin the process of finding a car loan.

5. Point your web browser to LendingTree.com. At the top of the page, click the Auto Loans tab to go to the Car Loans page. Select the loan type, then click Start Request. Complete the form in order to be contacted by lending institutions who will provide competitive auto loan quotes.

6. Point your web browser to Bankrate.com. Like LendingTree, Bankrate.com features car loan comparisons among a number of lenders. From the top row of tabs, click Auto. In the Compare Local Auto Loan Rates box, complete the form, then click Search to see a listing of competing car loan rates.

Tips & Warnings

• Always compare loans before arriving at the car dealership.
• Have loan offers in hand when landing in the dealership's finance office. When the loan specialist sees the lowest offer he or she will offer an even lower deal if you go with their dealer financing.

Resources

• Edmunds
• Cars.com
• Yahoo! Autos
• E-Loan
• LendingTree
• Bankrate