The 0% Car Loan Trap: Is It Really Free Money?
A 0% car loan can sound incredibly appealing – essentially free money to finance your new car. However, these offers often come with strict requirements and potential drawbacks. It's crucial to understand the fine print before signing on the dotted line.
Overview
This guide uncovers the potential 'traps' of 0% car loans, helping you determine if these offers are truly a good deal or if they're too good to be true. We'll explore the eligibility requirements, potential hidden costs, and alternative financing options.
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FAQ
Not exactly. While you won't pay interest, you may have to meet strict requirements and forgo other incentives.
You typically need an excellent credit score, often in the range of 700 or higher.
Carefully compare the total cost of the 0% loan (including any forfeited rebates) to the cost of a loan with a low interest rate and a longer term. Also, consider your ability to handle the higher monthly payments.
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