Muscle Car Loans: How to Get the Best Rate

Muscle Car Lown: What are Muscle Cars?
  • Muscle cars are typically mid-sized cars with a V8 engine. Unlike their more expensive counterparts, muscle cars were intended to be generally affordable cars with the ability to go fast.
  • As high-performance cars evolved, some full-size cars were able to get classified as muscle cars. Additionally, when some compact cars rolled out with high-performance engines they were considered muscle cars as well.
  • Some high-performance cars cannot be counted as muscle cars because they are either too expensive or too unique. Muscle cars are intended to be for the everyday driver.
  • An example of a mid-sized muscle car is the Dodge Charger R/T version. The Pontiac Firebird is a compact muscle car, but only if it has a 400+ cid engine. For a full-size muscle car, check out the Chevy Impala SS.
  • Cars that do not count as muscle cars include the Buick Riviera and the Pontiac Grand Prix. Some cars that are classics may be misconstrued as muscle cars, such as the Ford Thunderbird or the Chevy Monte Carlo. These will require classic car insurance.
Muscle Car
Getting Muscle Car Loans isn't as difficult as some people assume. The fact is that you can get financed for an affordable vehicle, even if it has a powerful engine. All you need to know are a few tricks of the trade that will save you money on interest rates and perhaps the vehicle itself.

Maintain a Good Credit Score
If you keep your credit score high, lenders will trust you more with loans. The theory is that by establishing a good credit score, you have shown that you can handle loans well and properly pay them each month. You can keep a good credit score by always paying your bills on time and taking out financing when you can to build up a lot of accounts on your credit bureau. Even if you don't have much credit to your name, as long as your record doesn't have bad marks on it, you should be able to get a decent rate.

Shop Around
It's no hidden secret that shopping around for much of anything will yield the best rate. Don't get your heart set on the first car that you want to finance from a dealership, and don't be afraid to check a few different lenders to see which one will offer you the best financing. If you have a good income and a sound credit score, you can actually have banks and even full dealerships competing for your business. Feel free to compare rates online if you can, or simply ask around before you sign your money away.

Prepare a Down Payment
If you have a down payment or a trade in for your vehicle, you will be able to save money on the car itself. This, however, will also show the lender that you are committed to the loan. This will give them an incentive to reduce your rate because of the commitment you are already putting forth.

Avoid In-House Financing
In-house financing is where a dealership itself finances a vehicle for you. Most of the time this happens with low end dealers who do not do much of a credit check on their customers. In exchange for easy financing, these dealership charge enormous interest rates that send their customers straight into a high level of debt for a vehicle. A $6,000 loan may end up being $9,000 after interest and fees, so try your best to go through actual financial lenders. You can use your dealership as a portal for the lenders, but it usually isn't wise to get a loan from the dealership itself.

Let Your Dealer Negotiate
If you go through your dealership to get to other financial lenders, have the dealer negotiate a good rate for you. All these dealers care about is selling a car, so if you give them terms that you will guarantee to agree to, they will do whatever it takes to work the deal. A lot of times dealers also have sound relationships with certain institutes that give them the leverage to negotiate a better muscle car financing rate than you would on your own.