The loan period is one of the key considerations while deciding what kind of auto loan to get. While conventional long-term auto loans have been for 36-48 months, the 72-month auto loan is a relatively new option. Signing up for this loan means getting a period of 6 years to repay the loan, which translates into smaller monthly payments. However, these loans have been viewed skeptically, owing to the higher amount of interest paid in the long run, which results in the borrower having to pay a larger sum than he would, if he had opted for a shorter repayment period. The benefit of small monthly payments outweighs the amount of interest paid in case of 72 months installments. 

The bottom line is that 72-month auto loans are ideal for borrowers who would be at a great advantage, if they had to pay smaller monthly installments. An easy way to judge whether you can afford the car that you are buying, is to make sure that you are not spending more than half of your monthly income on your housing and car expenditures, including mortgage, repairs, servicing, taxes, etc. Going by this criterion, most people might end up buying a car that is in bad condition, because they cannot afford a better one. 

A 72-month auto loan liberates you from such constraints, by allowing you to buy a car that is in good condition, without having to worry about monthly installments that will burn holes in your pockets. While it is definitely a disadvantage that these loans end up with you paying a huge amount of interest, when you think of the benefit of not having to dry up your bank account, or put your household budget at stake, they end up being advantageous. Another great advantage of these loans is that most financial banks or institutions shall agree to give you one with minimal paperwork.

Moreover, you get a longer time to use your car without having to worry about it getting repossessed, as you might have to in case of a short-term loan. In addition, you can also refinance your car after a certain period, which would hasten the process of repayment. In case your financial situation improves in a few years, you could even repay the loan before the stipulated time, without having to pay a penalty, in most cases. 

To procure instant 72 Month Auto Loan in Central Texas, visit us at Greater Central Texas Federal Credit Union. We are located at 3305 E Elms Road, Killeen, TX 76542. You can also call us at 254-690-2274.

Cheap Auto Loan - 72 Month Auto Financing

Before considering applying for a home loan, there are a few things that need to be understood to get the loan you want. Carefully thinking about what might adversely affect your home loan can save you from a lot of hassles like irregularities in payment of installments, unpaid balance on credit cards etc.  Applying for a loan for home can be very stressing and therefore, after carefully analyzing your financial position and credit history should one consider applying for a home loan. Below are some of the do's and don'ts that must be followed to make the home loan process smoother.

Dos

• All the loan and debt payments should be made on time to keep your credit history clean. Not adhering to this rule deliberately reduces the credit score. This credit score determines what amount of home loan you will get if you manage to get one.
• Credit card payments can be missed but payments of installments of other mortgages like auto loan should be prioritized. It shows that you pay installments on time. After looking at the performance of similar mortgage loans, the credit scoring system will assign you the score. Credit card payments can be made later as they have fluctuating balances.
• To avoid raising any red flag, your credit card transactions should be normal like before and should not be stopped immediately.
• Any inconsistencies, inaccuracy and missing information should be removed from the credit reports to make it clean of negative data.
• Unpaid balance in credit cards should be paid off to the point that  balance ratio becomes less than 30%.

Don'ts

• Loan approval process can be impacted by your job stability. If you are constantly changing jobs and changing positioning in a company it might hurt the approval of your home loan.
• Any major purchases like car, lines of credit for furniture, expensive gadgets should be avoided. This also impacts your credit score and hamper your chances to get your loan approved.
• Purchase of clothes for family should be limited. Instead of buying clothes at every occasion, they can be bought at one or two occasions.
• A new credit card should not be opened. New credit card adds additional inquiry into your credit score which kills chances of getting a home loan.
• Previous credit card accounts should not be closed either. It has a negative impact on your credit score.
• Some people get a new loan while applying for a home loan. It looks bad with the underwriters and must be avoided.

Home loans applications can be rejected if the borrower doesn't comply with some of the tips mentioned above. No change in number, accounts, address should be made to avoid getting the applications rejected.

We, at Greater Central Texas Federal Credit Union, offer home loans at very low interest rates. Interested individuals can contact us at (254)-690-2274 for more information or visit us at 3305 E. Elms Rd., Killeen, TX  76542.