Buying vs. Leasing in Saint Cloud, MN
Buying vs. Leasing a Car
Who Owns It
There are two ways to buy a car: cash or finance.
If you choose to finance, you will have to meet the lender’s requirements, such as a down payment and on-time monthly payments. If you fail to meet these requirements, the lender can repossess the vehicle.
Most people don’t have enough cash to pay for a car upfront, so they opt for financing through a dealership, bank, credit union, or private lender. This allows them to cover the vehicle’s cost, as well as interest, over a period of three to six years.
To determine the terms and interest rates of your auto loan, lenders will consider factors such as your income, credit score, and the cost of the car. Once the necessary paperwork is signed, the car is yours to do with as you wish.