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Happy EOFY!, 2.5%* Finance (Terms and conditions apply), Runout Sales, Drivaway Deals*. The drums are beating in dealership land and the pressure to clear stock is at an all time high.

If you are in the market to purchase a new car then the time is ripe for the picking but before you do…

Have you thought about the true cost of a loan?

To avoid the dreaded buyers remorse, let’s have a think about what factors come into play when financing a car and try to decide which one of the following most closely matches the true cost of a loan.

  • Purchase Price
  • Finance Rate
  • Repayment Amount

If you answered Finance Rate then have a think about this.

Scenario 1
A $30,000 car at 2.5% finance over 5 years with no account keeping fees or origination fees will cost approximately $123/week*
Scenario 2
A $30,000 car at 5% finance over 5 years with no account keeping fees or origination fees will cost approximately $130/week*
However, if you have your finance pre-approved through 360 Finance before searching for your next car, you have complete control and can negotiate a better price on the car. With that in mind, consider this…
Scenario 3
A $27,500 car (achievable with some negotiation) at 5% finance over 5 years with no account keeping fees or origination fees will cost approximately $119/week* (A saving of over $1000 on your loan across the term)

Now let’s look again at the list above and re-think the “true cost of the loan”. Rather than worrying about a great rate, consider prioritising the Repayment Amount and negotiating an excellent price on the vehicle.

Remember, if a dealership has control over both the Finance Rate and the Purchase Price then the repayment amount is also in their control.

Gain control of your repayment amount by arranging finance through 360 Finance. The beauty of this is that you can walk into a dealership, say you are a cash buyer (with confidence) and negotiate on price without even discussing finance. Alternatively you can sidestep the dealership all together and utilise our in house car locater and negotiation service to really maximise your savings.

To discuss taking control of your repayments, call 1300 361 360 today!