Three Ways to Finance the Purchase of a Pre-Owned Vehicle

That said, pre-owned vehicles sometimes have a bad reputation for reliability, and because many feel they are more expensive. In reality, this is far from the case.

First, it is important to know that it is possible to easily assess the reliability of a pre-owned vehicle by taking a look at its maintenance history and by having it inspected. Secondly, there are several financing options available to consumers looking for a pre-owned vehicle. It is true that in some cases the interest rate will be higher, but the difference is not as huge as we would be led to believe.

Here are three ways to finance our purchase of a pre-owned vehicle:

Financing Offered by the Manufacturer

Some manufacturers offer the opportunity to finance the purchase of a certified pre-owned vehicle at reduced interest rates. These financing offers can sometimes offer interest rates as low as 0.9% or 1.9%, very similar to the promotional rates offered on a new vehicle.

Financing with a Line of Credit

Several buyers have access to a line of credit. The latter is sometimes linked to their home and the interest rate associated with it is often less than 5.0%. It's a bit higher than an average rate on a new vehicle, but it's more reasonable than a loan with a financial institution.

2^nd Chance Credit Financing

In the case of 2^nd chance credit, there is no doubt that the interest rate will be higher than traditional financing. That said, the 2^nd chance credit allows those who have experienced financial hardship in the past to restore their credit by showing that they are able to meet their financial commitments. Eventually, they will have access to more attractive interest rates.

To find out more about our various financing plans, contact us today at Groupe Grenier!