Saskatoon Mortgage Broker shares article – Drivers may want to apply brakes to long-term car, truck loans

By Craig Wong, The Canadian Press  – March 21, 2016

Some things to consider when financing a vehicle:


…Brigitte Goulard, deputy commissioner at the Financial Consumer Agency of Canada, says consumers need to consider more than the monthly payment.

“One of the most common pitfalls we see are people just thinking about the type of car that they want,” she said.

Goulard says by extending the term of a car loan to seven or eight years, it will drop the monthly payment, but borrowers will pay more in interest.

Goulard says when considering how long it will take to pay off a car, people need to think about long they expect to keep it. If they think they are going to want a new car in four years, they should not be taking out a loan with a term longer than that, she says.

To read the full article click here

No comments yet.

Add your Comment