The down payment is the amount of cash or trade-in equity you give at the time of purchase. The larger the down payment you make, the lower the amount financed is. When you lower the amount you finance on a vehicle it translates to lower monthly payments. Lower payments make it much easier for a bank to offer financing. It also allows the bank to offer lower interest rates, because they are taking less risk on the loan. Everyone wins with large down payments. You and your pocketbook win because you are paying less finance charges, lower interest rates, and shorter term loan. The bank wins because they are taking less risk lending you the money to purchase the vehicle.
Another benefit of putting a down payment is that it keeps you from becoming “upside down” on your loan. Or in other words, not ending up owing more to the bank than the value of the vehicle.
Cornerstone Auto Sales will work with you on your down payment, however we encourage the largest down payment you can comfortably afford for your benefit.
Feel free to fill out a credit application on our website www.cornerstoneautosales.com, and we will take care of the rest.
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