Once you select a luxurious Lexus vehicle at our dealership, the next step is to proceed to the Lexus finance center. Naturally, customers are going to have questions about the financing process. Here are some of the questions we typically receive from car buyers.
What is a Minimum Down Payment?
Your minimum down payment varies depending on your credit. The lower your score the higher the minimum down payment. In any case, we recommend aiming for a down payment of 20%. This lowers the total loan you have to take out, thereby also lowering the total interest.
What is the APR?
APR stands for the annual percentage rate. Customers tend to mistake it for the interest rate. The APR includes the interest but also takes into account other fees, such as administration and underwriting fees.
What Are My Loan Repayment Term Options?
Car loan repayments vary. The options available to you will depend on your credit score. Loan terms of 24, 36, and up to 84 months are common. Aim for the shortest term that you can reasonably manage in your budget. The longer the loan term the more interest it’ll accrue over time.
What is the Total Cost After Tax and Additional Charges?
The MSRP is the vehicle’s base price. It doesn’t take into account the sales tax and additional charges. Additional fees could include:
- Sales tax
- Registration fee
- Documentation fee
- Destination fees
These extra fees differ in amount depending on the make, model, location, and other factors. Your total cost will include a negotiated price plus applicable fees and taxes.
If you have any further questions, visit Fields Lexus of Glenview and speak with one of our experts. No matter which of our luxury Lexus vehicles, our team will be more than happy to answer any of your finance-related questions. Contact us today!