But, that’s not why you’re reading this article.
You’re reading this article because you aren’t sure whether you should buy the car your friend told you about, the one you saw at the dealership or the one you’ve been eyeing online. And to be honest, with so many available options, it becomes difficult to choose which one is the best option for you. But rest assured because this article is going to tell you the benefits of purchasing a car online, so you can see for yourself if it’s for you.
If you’re a homebody or would rather avoid going to a car dealership, then you’ll understand the pleasure of being able to make a car purchase while you’re comfortably sitting on your couch. Well, that’s one of the perks that come with purchasing a vehicle online.
Another one is that you don’t have to shop around all day while being hounded by sales agents. We all know that sales agents are notorious for bombarding their customers, trying to get them to leave with a vehicle. But, when you’re purchasing online, you don’t have to deal with that. The only time you make contact with a person is when you are going to see the vehicle for a test drive, and when you’re discussing the logistics.
Buying online is an easy process, and all you need is a good Wi-Fi connection and a computer. You don’t have to visit different dealerships and waste money on petrol, especially if you’re driving from one place to another. No, all of your findings are at the touch of a button. This is a really good benefit because you will need that money for car maintenance. Or use it as a little something to add to your loan payments in the future if you take out vehicle finance.
Whenever you make a car purchase, you need to be certain that this is the vehicle for you. Affordability comes after because you need to love the vehicle, you’re going to be driving every single day until you decide to change it. So, being an online buyer gives you the benefit of being able to look at different vehicles, brands and models easily.
You can compare different prices from various websites. It honestly simplifies the whole process of finding a car. Especially if you’re someone who has a hard time saying no to people. When you buy a car online, you won’t need to say no to anyone trying to sell you a vehicle you don’t want or, even worse, having to explain yourself.
Instead, you can swipe to the next vehicle or close the site and look elsewhere.
As we all know, cars are expensive, and it’s understandable that you won’t be able to finance the vehicle. That’s okay. But, car dealerships, especially agents, don’t always have your best interests at heart because their main objective is to sell a vehicle and make a commission.
And dealerships usually partner with a financial credit provider and work as the middle man on behalf of you. While they need to pay for the financing, the salesperson also needs to earn their commission, and this is why the added interest will be high, increasing your payments.
More importantly, you don’t want the added pressure at the dealership. This is why it is better for you to get financing with a reputable lender when you’re ready. And although your credit score will be checked by the lender, at least you know that you aren’t paying a middle man on top of the interest you’re getting from the car loan. On the plus side, you can also apply for a loan application online, which makes the whole process convenient and easy.
If this is the first time you’re applying for a loan, you may be wondering:
Well, firstly, in order for you to qualify for a car loan, you need to be working and earning a salary that meets the lender’s requirements. That type of information is usually on the lender’s website, and you will see it when you’re applying online.
In terms of your car payments, that will be determined by the lender once you’ve been selected for financing. But that also has a lot to do with your credit rating and how much the vehicle you’re purchasing is selling for. For example, if you have a low credit score, you become a high-risk client which ultimately means you’re going to get a higher interest rate than a low-risk lender. But that again depends on the lender’s criteria.
And, when in talks about affordability, lenders might mention a balloon payment.
A balloon payment is a lump sum that is subtracted from your loan amount. You will then have a smaller monthly payment and have a lump sum to pay off once you have to finish your term. To pay the balloon amount, you will either have to settle the balance once-off, trade-in your vehicle and pay it off with the remaining amount. Or you can get refinancing and pay the balloon amount in monthly instalments with a new loan agreement.
If you still want to find more about the balloon payment, then you can use a balloon payment calculator that will inform you about the amount you’d need to pay. For your credit score, as mentioned before, it will depend on the lender and their criteria. But make sure you have a good credit report and if not, improve your credit score. Improving your score consists of:
One of the best reasons to purchase a vehicle online is that you have the chance to choose what you can afford. And you know you don’t have to feel pressured to purchase add-ons as you would be encouraged to do at a dealer. No, with a car you purchase online, you only get the price of the actual vehicle. Another plus side is that online; you can filter by price, allowing you to narrow down your search and find a vehicle that fits your budget. Rather than having to adjust your budget for a vehicle.
Now that you’ve read five reasons why you should go for an online purchase, are you convinced? Well, you should be because buying a vehicle is already a daunting process, and you deserve it to be as easy and as seamless as possible. Buying online ensures that you know exactly what you’re buying without listening to external voices about their opinions.
Being pressured isn’t fair, and it shouldn’t be what you’re subjected to when looking to buy a car. So, do yourself a favour and go for the peaceful journey that will focus on your needs and wants. When you feel unsure about anything, you can always ask a friend or family member for advice. Lastly, when going to see the vehicle, make sure you’re being accompanied by someone who has a background of car purchasing as that will make it easier for you to avoid lemon cars.
