7 answers
What paperwork, payments and pricing really look like when you buy a car in Fontana, Ontario, Riverside or Victorville.
Most lenders approve car loans starting around a 600 score, and the best rates usually begin near 720.
Below 600 you can still get approved, but expect a higher rate, a larger down payment, or both. Scores in the 660–719 range typically land mid-tier rates. If your score is close to a cutoff, waiting a month while you pay down a card can be worth more than any dealer discount.
Aim for about 10% down on a used car and 20% on a new one, or enough to keep the loan under 60 months.
A bigger down payment lowers your payment and protects you from owing more than the car is worth. If you can only choose one, prioritize a shorter term over a bigger down payment — the term drives total interest more than anything else.
Expect applicable sales tax and DMV charges; the document-processing charge is capped at $85 for participating dealers or $70 otherwise, with electronic filing separate.
Use the registration address for tax, not the dealer's address. Advertised equipment belongs in the advertised configuration and price; products introduced later at the showroom are separate choices. Ask for the written itemized out-the-door total and do not count included doc or filing fees twice.
Get pre-approved by your bank or credit union first, then let the dealer try to beat that rate.
Dealers work with many lenders and sometimes genuinely beat a credit union. A pre-approval just gives you a number to compare against, so the conversation stays about the rate instead of the monthly payment.
Late-model used cars are usually cheaper overall, but new cars with subsidized rates or rebates can win once you compare total cost.
A 2–3 year old car has already taken its biggest depreciation hit. But a new car with a manufacturer rate near 2–3% can cost less over the loan than a used car at 9%. Compare total of payments, not sticker price.
MSRP is a manufacturer's suggested new-car price; a used car has a Dealer Asking Price. An out-the-door quote adds applicable tax and registration to the agreed fee-inclusive price.
Always ask for an out-the-door number in writing before you negotiate anything else. Comparing MSRPs across dealers tells you nothing if one has hidden fees the other doesn't.
End-of-month and end-of-year timing can help because dealers and salespeople are working toward volume targets, but it won't overcome a bad vehicle fit.
Treat timing as a minor tailwind, not a strategy. A car that isn't right for your commute or budget is still a bad buy on the last day of December.
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