Auto Loans in Redwood City (CA)

Financing a car is a decision that will impact you for many years down the road, so it’s critical to work with a finance expert to set up your loan. We assist shoppers in Redwood City and across California, helping them find a bank, dealer, or finance company who can offer them fair rates for financing. You will enjoy the convenience of working with a committed finance consultant who can address your questions and line up your loan.

New and Used Cars in Redwood City

You can secure a new or used car loan in Redwood City, but which will make you happiest? As the following table demonstrates, used cars typically save you money in the long run, in spite of their steeper rates of interest.

New Car 1 Year Old Car 2 Year Old Car 3 Year Old Car
Depreciation 0% 25% 40% 50%
Sticker Price $52,630 $39,473 $31,578 $26,315
Owed Upfront $10,526 $3,947 $3,158 $2,632
Interest Rate 5.00% 7.50% 7.50% 7.50%
Years 5 4 4 4
Monthly Installment $794.55 $858.96 $687.17 $572.64
Finance Fees $5,569 $5,705 $4,564 $3,803
Total Paid $58,199 $45,177 $36,142 $30,118

As you can see, a new car loses half of its original value after three years of being on the road. Is a brand new car worth that much more? Naturally, the choice is yours.

Bad Credit Redwood City Auto Loans

There are a variety of issues that result in poor credit: delinquent bills, repossession, bankruptcy, and much more. While problematic credit can make it tricky to finance the car you want, you aren’t without options. Luckily, we serve people all across the credit spectrum, getting them the loans they need.

Getting financed, not picking out a car or truck, is the first order of business at car dealerships that help people with bad credit. In order to fulfill lender guidelines, you will typically have to furnish all of the following documentation:

  • Driver’s License
  • Proof of Income
  • Proof of Residence

Ideally, your car payment should constitute just 5-8% of your gross monthly income. As an example, a resident of Redwood City who gets paid $5,263 every month, the average, should plan to commit around $263 to $421.

Buy Here Pay Here Car Lots in Redwood City, California

Many people go to buy here pay here auto lots, also referred to as tote the note dealers, believing that they will only be able to finance a car without a credit check. Not so. They may not carry out credit assessments, meaning bad credit shouldn’t be a barrier, but you will really pay for this down the road.

Disadvantages include:

  • Outrageous Finance Fees
  • Outrageous Down Payments
  • Overpriced Vehicles
  • GPS Tracking Devices

If improving your credit score is important to you, you should submit your application through us, seeing as buy here pay here car lots won’t assist you in boosting your credit.

Redwood City Consumer Profile

  • Income Per Year: $63,150
  • Monthly Income: $5,263
  • Optimal Car Payment: $263 to $526 (5-10% of monthly income)

How Expensive a Car Can You Afford?

Ready to determine how much car you really can afford? Have a look at the table below. The annual percentage rates have been estimated, and the amounts are derived from a yearly income of $63,150, the average in Redwood City. Repayment term is 60 months.

Exceptional Credit Decent Credit Poor Credit
Monthly Income $5,263 $5,263 $5,263
Monthly Installment $421 $421 $421
Rate 3.50% 7.00% 11.00%
Term Length 60 Months 60 Months 60 Months
Car Price $28,931 $26,579 $24,206
Down Payment $5,786 $5,316 $4,841
Amount Borrowed $23,145 $21,263 $19,365
Interest Paid $2,118 $3,999 $5,897