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1. Check your credit score.
Knowledge is power, and when you know your credit score, you have a better idea of what kind of interest rate you can get on your car loan. You would be surprised at how much a one or two point reduction in your interest rate can save you. When you don't know your credit score, it makes it easier for dealers to bamboozle you. They can add a couple of points to the rate offered by a finance company, and then pocket the difference. But if you know your credit score going in, you can avoid this sort of behavior by knowing the interest rate you can expect. Don't be afraid to walk away if the interest rate is too high. Chances are you can find that rate again (or lower!) somewhere else.
2. Get pre-approval from a bank or credit union.
If you have decent credit, you can get financing from your bank or credit union. Banks and credit unions often charge much less in interest rates than dealer financing. Additionally, you can go through an online car lender to get pre-approval for a car loan. Internet car lenders often offer discount interest rates, and they will send you the money to buy the car. A pre-approval from a bank or credit union will also give you a good idea of what you can afford in terms of car payments.
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Cheap Car Loans - 3 Ways to Save Money