The excitement of buying a Mazda car can quickly get overshadowed by the costs involved. This is why it pays to plan ahead of time so you know exactly what you can afford to spend. One of the most important things to think about is the down payment. Here the Sansone Mazda finance center discusses why it’s a smart idea to supply a good sum.
1. It Will Reduce Your Loan Amount
Perhaps the biggest reason to put down money for your purchase is because it trims the amount you will need to borrow. This means that that there will be less money to pay back, which could shorten your loan term significantly. Plus, because every payment has interest attached to it, this can help save you money.
2. It Could Lower Your Interest Rate
Another benefit of a down payment is that it could get you a more favorable interest rate, which will also end up saving you money. A sizable down payment also make you look good to possible lenders, so even if your credit score isn’t great, they may be more inclined to give you a loan.
3. It May be Required
While in many cases a down payment isn’t mandatory, a lender may require it from you. Putting up as much as you comfortably can is a smart idea, even if it isn’t a lot. If you’re looking to replace your current vehicle, using it as a trade-in could potentially give you good money to use for a down payment.
Start the MAZDA Financing Process Now
If you’re ready to buy a new or pre-owned Mazda car, you can get the financing ball rolling now. Our Mazda dealership in Woodbridge, NJ, makes it easy. Just fill out our online application to get pre-approved.
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