Pro Tip: Make a Down Payment When You Buy a Car

Are you going to apply for GMC financing to buy a new GMC model or one of the pre-owned cars on our lot? Whether you're going to get a new or previously owned vehicle, we strongly encourage you to provide a down payment when you shop with Gillman Chevrolet GMC because it will pay dividends in the short and long term.

Reduced Monthly Payments

If you use a car payment calculator online, you'll see that your down payment is one of the numbers you can manipulate to lower your monthly payments throughout the term of a loan. The larger your down payment is, the lower your monthly payments will be.

A down payment consists of cash on hand and/or the proceeds a driver receives for their trade-in. If you're going to trade in your current automobile, use our value your trade tool to learn the approximate value of your vehicle.

Less Interest

Even if it's zero, every auto loan has an interest rate. The interest you pay over the course of your loan drives up the overall cost of the car you purchase. When you provide a down payment upfront, you'll end up borrowing less from a lender. Since you'll borrow less money, you'll pay less interest while your loan remains in force.

Greater Equity

Buying one of the pre-owned vehicles on our lot is a smart move for people who want to maximize their equity because previously owned cars depreciate at a slower rate than new cars. You can increase your equity even more by making a larger down payment as equity acts like a protective barrier against depreciation.

Better Approval Odds

Drivers with shaky credit are often relieved to learn that they can increase the odds that they'll be approved for an auto loan by providing a down payment. The larger your down payment is, the better your chances of being approved will be.

Improved Terms

Providing a down payment may improve the terms of your loan. You may end up with a lower interest rate or shorter repayment period, for example.

Visit Gillman Chevrolet GMC for More Information

Do you want to learn more about the way a down payment can benefit you when you purchase a vehicle? For more information, contact or visit our San Benito, TX GMC dealership today. We look forward to speaking with you.