One of the most perplexing decisions that any car buyer is faced with at the beginning of his purchase, is whether to opt for a new car or a used one. While some people are very sure about which way they want to go, the following compilation of the pros of going either side should help the rest of you decide-

Pros of buying a new car-

• One of the major advantages of buying a new car is that you can get exactly what you want, custom-made to meet your needs. This saves a lot of time, along with ensuring optimal satisfaction for you as a buyer.
• Another obvious advantage is that you do not have to worry about where the car you are driving has been, or who owned it before you did. You are the first driver, and you decide how you wish to keep it.
• The warranty that you get with a new car is also an advantage, since it comes with the car and you do not have to pay extra for it.
• Chances of getting better financing rates with a new car are high, since the car has not yet depreciated, and hence inherently costs more.
• A new car is likely to be equipped with the latest gizmos, safety measures, and mechanical advances. This means better efficiency, increased safety, lower emissions, and a generally more pleasant driving experience.

Pros of buying used-

• The biggest advantage of choosing to buy a used car is the cost saving involved. Not only is the overall price of the car a lot lower than its new counterpart, but you can also easily get a cheap auto loan on a used car
• A used car also offers the advantage of undergoing minimal depreciation. While this might sound counterintuitive, it is true, since all cars undergo maximum depreciation in the first few years, losing as high as 40% of their value in the first year. 
• Chances of getting low insurance rates on used cars are high. All that you need to do is shop around and stay away from insurance sticker shock. 
• Used cars offer a wider range of financing options, and with some amount of research, you should be able to get a great deal on the lowest used car loan in your area. 
• Finally, choosing to buy a used car increases the options that fall within your budget greatly, making it possible to consider buying a dream car that you otherwise wouldn’t have been able to afford.

When going for a car loan, one of the most important factors to take into consideration is the term of the loan. Going for a short-term loan or a long-term loan is a personal choice that has to be made as per your current financial position. If you are able to pay higher rates of interest over a short period of time, then short term loans are a good option for you. On the other hand, if you earn a fixed income every month and feel you cannot pay huge amounts of interest every month and would prefer to pay smaller installments over a long period, then long term loans are the way to go.

Short-term loans are generally those that stretch from 12 months to 36 months whereas long-term loans are those that go up to 72 months. Nowadays, considering that the prices of cars are escalating due to better technology and durability, it is advisable to go for 72 Month Auto Financing as an economical option. These loans also let you set your hands on some of the most expensive cars in the automobile market as you can easily pay them off without affecting your day-to-day life.

Benefits of opting for 72-month car loans:

• These loans significantly cut down on your monthly payments as they are spread over a long period with low interest rates.
• You can always re-finance such a loan to reduce your costs, as it will cut down on the interest payments you have to make.
• Today’s cars are far more reliable than those of the yesteryears and come with longer warranties than before. This means that even after five to six years, your car will be in great shape even if you are still repaying your car loan. This is a great relaxation for those under the misconception that long-term loans extend beyond a cars useful life.
• Another great advantage of opting for these loans is that you get to buy the car of your dreams without worrying about whether you can afford it or not. The reason for this is the ease with which you can make your payments by installments spread over up to 6 years.

So,  next time if you are confused as to which term length to choose for a car loan, you can safely opt for a long-term one as it is economical and comes along with many more benefits. If you are interested in procuring 72 month auto loan, visit us 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.