BMW Financing FAQs
When it comes to financing or leasing a BMW, having the right information can make all the difference. At our BMW dealership in Lafayette, we understand you may have questions about the auto financing process, which is why we’ve compiled this comprehensive list of BMW financing FAQs to help you buy with confidence.
Whether you'd like to apply for an auto loan through us or review new BMW lease options, you'll be happy with the assistance you receive at our dealership. Don't hesitate to reach out to us if you have questions that aren't covered here!
Common BMW Financing Questions
What additional costs will I be responsible for when buying a new car?
When purchasing a new BMW, you may encounter several additional costs beyond the vehicle's price. These can include:
- Sales Tax: Based on the purchase price and local tax rates.
- Registration Fees: Required for legally driving your new BMW.
- Title Fees: For transferring ownership.
- Dealer Fees: Such as documentation and preparation fees.
- Car Insurance: Depending on how new your vehicle is, your insurance rates can vary.
Does my credit score impact my auto loan rate?
Yes, your credit score significantly impacts your auto loan rate. A higher credit score typically qualifies you for lower interest rates, making your monthly payments more affordable. If you have a lower credit score, you might face higher car interest rates.
I have a low credit score -- can I still finance a car?
Absolutely. While a low credit score can affect the terms of your loan, it doesn’t disqualify you from financing a BMW. Our BMW finance experts work with various lenders to find a financing solution that fits your needs.
Learn More: Apply for BMW Financing
What should I consider when choosing a car loan?
When selecting a car loan, consider the following factors:
- Interest Rate: Lower rates reduce overall costs.
- Loan Term: Shorter terms mean higher monthly payments, but less interest paid over time.
- Down Payment: A larger down payment can lower your monthly payments and reduce the loan amount.
- Monthly Payment: Ensure it fits within your budget.
Can I reduce my monthly car payments down the road?
Yes, there are several ways to potentially reduce your monthly car payments:
- Refinancing: You may be able to refinance your loan at a lower interest rate.
- Extending the Loan Term: This can lower your monthly payments, though you may pay more in interest over time.
- Making Extra Payments: Paying more than the minimum can reduce your principal balance and lower future payments.
Should I buy or lease a BMW?
Both buying and leasing have their advantages. If you'd like to own your vehicle outright eventually and plan to drive it for a long time, an auto loan makes the most sense. If you prefer to upgrade every few years to a brand-new BMW, review our lease offers. Leasing also typically requires lower maintenance costs and monthly payments.
How can I find the value of my trade-in?
To determine your trade-in value, you can use online tools or visit Moss BMW for an in-person used car appraisal. Factors that influence trade-in value include the vehicle's age, condition, mileage and market demand.
Can I sell my car while I’m still paying it off?
Yes, you can sell your car even if you’re still making payments. You’ll need to pay off the remaining loan balance, which can be done using the proceeds from the sale.
Can I add a warranty when I buy a car?
Yes, you can add an extended car warranty or other vehicle protection plans when purchasing your BMW. These plans can provide peace of mind by covering repairs and maintenance beyond the standard manufacturer’s warranty.
Discover Your Financing Options at Moss BMW
Whether you're looking to finance or lease a BMW in Louisiana, our finance team at Moss BMW in Lafayette is here to help. We offer personalized solutions to fit your unique needs and ensure you drive away in the BMW of your dreams. Contact Moss BMW today to learn more about your financing options and get started on your journey with a new BMW.