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Good Credit Delivers Better Car Interest Rates The auto manufacturers are rewarding good credit these days with low interest rates and special cash back rebates. It is no secret that the economy has taken a slight dive, and with that car sales have slowed down. Many people are keeping their cars longer then ever before in an attempt to save money. The car companies are trying to lure new buyer is with very attractive financing incentives such as 0% APR on new vehicles. This is basically the same as paying cash, although over a fixed term. The only catch: these special programs are only given to individuals with very good credit scores and credit reports. Some of these special incentive deals require scores above the 720 mark, which today is a very small percentage of the consumers. Even just one late payment can drop your score over 60 points, making these financing deals difficult to qualify for. Most of these deals are coming from the in-house financing companies. As an example, Ford has a finance division, Ford Motor Credit. If they give you 0% APR then they do not make money on the financing of the vehicle, but they do accomplish two very important goals: sell a new cad and put a consumer in a new model Ford vehicle, and reduce their new car inventory. These car manufacturers realize that they nee to do this in order to keep the inventory moving, and the company running at full capacity. The overall profits per sale may be lower, but in terms of keeping the company healthy this is a must do for all car makers. If your credit is not up to par there a few things you can do in order to try to qualify for these amazing deals. The first thing to do is pay down all of your credit card balances. The get the highest possible credit scores you want all of the card balances to be between two and three percent of the card limit. This seems to be the magic number to achieve the highest possible FICO score. If your credit scores are down due to collection accounts and negative information then your only hope may be to get professional help from a credit repair company. With the amazing car interest rates available right now, it is worth investing in your credit so you are able to take advantage of the incentives. These car makers are giving you the option to pay the same price your would pay during a cash transaction, but with the payment convenience of spreading it out over five years! Deals like this are sometimes given for a short time during new model releases, but never before have so many companies offered this type of deal. A quick search in your weekend paper will show you what the dealers and companies are offering currently. It would be wise to know where your credit score stood before you start shopping for a car, as it may be more beneficial to get your credit repaired prior to looking for a new car to possibly purchase.


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