Is it Better to Finance or Pay Cash?

Interested in buying a new vehicle? Are you prepared to pay cash, or curious about your financing options? Both routes have their benefits and downsides — let the GMC finance experts at Serra Buick GMC Champaign help you figure out what’s best for you!  

How Does Financing Work?  

Curious if financing is the right route for you? When financing a new vehicle, you apply for an auto loan. Once you’ve found one, you are responsible for paying back the loan in equal monthly installments over the course of a predetermined term.  

You are free to use the car as you wish during the loan period. However, the car is not officially yours until the loan is paid in full.  

Should I Pay Cash Instead?  

There are certainly perks to paying for your new car in full. After all, financing comes at an added cost. You’ll have to pay interest on an auto loan, so you can save thousands on the total cost of your purchase if you pay cash instead.  

However, it’s important to consider if paying cash is a smart idea. Would you deplete your emergency savings if you do so? Would it end up costing you more if you had to secure a personal loan for something else in the future?  

How Do I Apply for Financing?  

You can apply for financing at our dealership in person, or online from your couch anytime. You just need to provide some information to help us determine your eligibility, like: 

• Do you know which vehicle you’re interested in? (make, model, and year) 
• Personal info (name, contact info, date of birth, and social security number)  
• Housing info (type of housing, length at address, and monthly payment) 
• Employment info (employer, length of employment, and income) 

Ready to purchase your next new vehicle? Visit our GMC dealership in Savoy, IL to get started today!