Car loan guide
A bad loan can cost more than a bad car. Short lessons with the math shown, from a site that sells no loans.
Payment calculator
Your payment, the total, and how long you would be upside down.
Dealer offer X ray
The real APR, the lines you can say no to, and money the sheet hides.
Out the door price
Every fee and tax in one total, and up to three dealers side by side.
10 lessons, in order
Start at exit 1, or take the one you need.
Lesson 1: How a car loan works
Principal, APR, term and payment in plain words, with one loan worked out from start to finish.
4 min read
Lesson 2: Upside down on a car loan
What it means to owe more than the car is worth, how it happens, how to check, and how to get out.
5 min read
Lesson 3: Why 72 and 84 month loans cost more
The same loan at 48, 60, 72 and 84 months: what you save each month and what you pay for it.
4 min read
Lesson 4: Your credit and your rate
How your credit changes your rate, what to check on your credit report first, and why a few points matter.
4 min read
Lesson 5: Get a loan offer before the dealer
Why an offer from a bank or credit union gives you a rate to beat, and how to shop rates without hurting your score.
4 min read
Lesson 6: Extras at the finance desk
Service contracts, GAP, credit insurance, paint protection and etching: what they are, when they can help, and how to say no.
5 min read
Lesson 7: What you can afford, and why money down matters
The 20/4/10 rule of thumb, the full cost of owning a car, and why a down payment is your best defence against being upside down.
4 min read
Lesson 8: Leasing or buying
How a lease payment is built, the limits that come with it, and why keeping a car you own usually costs less over the years.
5 min read
Lesson 9: Buy here pay here lots
When the car lot is also the lender: high rates, tracking devices, quick repossession, and what to try first.
4 min read
Lesson 10: Refinancing a car loan
When a new loan can save money, how stretching the term eats the savings, and how to compare offers.
4 min read
Compare a rate before the dealer’s financing
Get preapproved by your bank or a credit union first. Then the dealer has a rate to beat.