Preparing to Finance Your Auto Purchase Buying a new car is exciting. You will probably drive several cars to find the one you want and ultimately drive home with a sense of pride and satisfaction. But the process of buying can be stressful with the pressure of dealing with the sales person and handling all the financial aspects of the actual purchase and financing. Getting Your Financial Thoughts In Order The final cost of your car will depend on the price you pay and the financing you use. Your choice of car and your negotiating skills will determine the price. Assuming that you use an auto loan to pay for the car, the variables are the car's price, your down payment, the rate on the loan and the length of the loan. Here are a couple of calculators that you can use to analyze your situation. Car Affordability Calculator Affordable monthly payment $ Anticipated down payment $ Interest Rates at different loan lengths 36 months 48 months 60 months % % % Car price you can comfortably finance This calculator is to be used for estimation purposes only. The financial institution is not responsible for its accuracy and the results are not guaranteed. This information can help you identify the car you want. But, before you finish you should investigate how a larger down payment can reduce your monthly payments and the length of the loan you want. Assessing Your Current Financing Situation Anticipated cost of the car $ Anticipated down payment $ Interest rate on anticipated loan % Length of loan months Financing with your anticipated down payment Loan amount Monthly payment Total payments Total interest This calculator is to be used for estimation purposes only. The financial institution is not responsible for its accuracy and the results are not guaranteed. Analyzing Different Options Cost of the car Down payments Length of loan in months 36 48 60 36 48 60 36 48 60 Interest rate % % % Loan amount Monthly payment Total payments Total interest This calculator is to be used for estimation purposes only. The financial institution is not responsible for its accuracy and the results are not guaranteed. You may want to apply for an auto loan now so you can walk into the dealership knowing your financing is in place. Increasing Your Down Payment If you decide that that saving for a larger down payment is right for you, here is a calculator that can help you determine how much to save each month until you are ready to buy that car. Save to increase your down payment Amount you want to save $ Interest rate you expect to earn % How many months to save Monthly savings needed This calculator is to be used for estimation purposes only. The financial institution is not responsible for its accuracy and the results are not guaranteed. Start Your Automatic Savings Today There is no easier way to save than with an automatic savings plan. If you are already using direct deposit for your paycheck, have your financial institution transfer the amount each month. You can also have your employer deduct the amount each month and deposit into the account of your choice with a payroll deduction program. Ask your employer for the form to start now.