< < Back to Articles

0 Percent Car Financing

0% car financing is when you can purchase a car and make monthly payments on it without having to pay any interest. As you can imagine, it is a tempting offer that seems too good to be true. Unfortunately, is usually is. There are many pitfalls to 0% financing that you should be made aware. Let’s take a look at a few of them.


0% car financing, what is it?

This is where you’ll see the dealership offer 0% financing or up to a $10,000 cash back offer. When you crunch the numbers, it turns out that the cash back offer normally saves you money. As of today, Ford.ca offers a 0% financing deal or $7,000 in price adjustments.


0% Financing for Used Cars

Because you are not paying interest, the dealerships will give you a shorter repayment period of somewhere between 36 and 48 months. This means that you’ll have much higher monthly payments than you otherwise would with a 60 month loan. If you bought a pre-owned vehicle with a 6.95% loan, you would actually end up paying less for your vehicle than with 0% financing plan.


Auto Financing London Ontario

The most important thing to remember is that, in the end, it comes down to what you can afford to pay per month. Most people will not be able to afford a 0% financing deal and so must opt for a loan. This isn’t a bad thing and shouldn’t be discouraged. Regardless, 0% financing is a fading trend and may not be around in five more years.

In the end, your best option is to first Apply for a Loan using our Online Car Loan Application to get approved quickly. Now you know in advance exactly how much you can afford to pay and what type of car you want to purchase. Car Loan Application


Questions:

When is financing right for me?
If you are unable to pay for a car in cash, but you need a car for work or school, than certainly financing is an option.
How much cash do I need to put down?
You can put down as much or as little cash as you want. We finance loans with 0 down while still giving you low monthly payments.
Other companies have rejected my application for a loan. Should I still apply?
Yes. Unlike most companies, we have access to several lenders who are willing to offer loans to people who have been previously rejected.
More Q&A


Client Testimonials


"Just wanted to thank you again. I couldn't drive it until after midnight though once the insurance kicks in so I'm anxious to get her on the road. I've been raving about you and how pleased I am to some people. In the mean time I will continue to send people your way. Thanks again for making my Thanksgiving a good one! I wish you a wonderful thanksgiving also. Stacie"

Stacie, London ON


"We bought a 2005 Chevrolet Venture and we love it. not only is the vehicle running great, we also had amazing customer service through the whole process!! i am very impressed with your employees they are very friendly and do everything in their power to make sure the customer is satisfied with their services......if anyone comes to me wondering where to go to look for a vehicle I will refer you guys hands down. great job guys and thanks so much for all your help and hard work we really appreciate it!!!"

Nicholas P., London ON


More