How to Finance Your New or Used Vehicle

While Subaru works hard to make vehicles affordable for all drivers, many drivers appreciate being able to finance their new and used cars. When considering new or used cars, drivers have a few ways to pay for them. The first is to pay for the car in cash. The other options include loans and leases, which break down the price of the car into monthly payments. Those financing options with incentives and specials are available at Colonial Subaru of Feasterville in Feasterville-Trevose, PA.

Benefits of Leasing

Leasing is a popular form of financing because it offers short-term affordability, and Subaru leases are some of the best in the automotive industry. Because Subaru vehicles hold their values so well, Subaru leases usually have low monthly payments.

Leases are a bit more complex than the typical auto loan. Leasing agencies determine residual values for vehicles; then, they use those residuals to determine monthly payments. A residual value is the value of the car at the end of the lease term. Leasing agencies use mileage, age, and wear and tear to determine the value. This is why leased vehicles have terms and mileage limits.

Your lease payments will be determined by the MSRP minus the residual, then divided by the term. Like auto loans, leases have interest rates and fees, so those will also be factored into the payments.

Along with low payments, leases have several other benefits. Drivers like leases because they get a new car every two or three years, and those new cars always come with new car warranties. Drivers with leases never have to worry about reselling their vehicles. Instead, they return them at the lease’s end.

Why Choose a Car Loan

Car loans are also popular, especially with people who drive more than lease limits (which are usually between 8,000 and 15,000 annually). Because car prices continue to rise, many financial institutions are extending loan terms beyond the typical 60 or 72 months. It’s a good idea to pay close attention to the interest rate, especially if you plan to finance a car for more than six years.

Drivers like loans because they own their cars at the end of the term. If they make more than the minimum monthly payment, they can watch the balance decrease faster. Drivers can customize their cars, drive them as far as they want, and sell them before the end of the loan.

Convenient Online Financing Services

Financing a car is easy at Colonial Subaru of Feasterville. Our finance team is happy to help you with loans and leases in person at our dealership near Southampton, and we also offer several convenient online tools. You can explore our latest financing specials on our website, and we’ve placed our finance application online to speed up the car buying process. You can also use our finance calculator to determine the vehicle price that fits your monthly budget.

Financing Your Next New Subaru or Pre-Owned Vehicle at Colonial Subaru of Feasterville near Philadelphia, PA

The Colonial Subaru of Feasterville is here to make financing convenient, stress-free, and transparent. Visit us today to learn more about loans and leases for new Subaru vehicles and our financing options for used cars on our lot in Feasterville-Trevose, PA.