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Try our three minute test and connect to an adviser today.<br><br><br><br>Main Menu Retirement<br><br>Accounts and retirement plans. Learn the basics Retirement calculators Other Resources<br>Looking for a financial advisor? Try our three minute test and match to an adviser today.<br><br><br><br>Search open Close search<br><br>Submit<br><br><br>How to get a lower car payment: 4 ways Advertiser Disclosure Advertiser Disclosure We are an independent, advertising-supported comparison service. Our mission is to help you make better financial decisions by providing you with interactive financial calculators and tools that provide original and objective content. We also allow users to conduct research and compare data for free to help you make financial decisions with confidence. Bankrate has partnerships with issuers including, but not limited to American Express, Bank of America, Capital One, Chase, Citi and Discover. How We Make money The products that appear on this website are provided by companies who pay us. This compensation could affect how and when products are featured on the site, such as, for example, the order in which they may appear within the listing categories in the event that they are not permitted by law. This applies to our mortgage or home equity, and also other home lending products. However, this compensation will have no impact on the information we provide, or the reviews that you read on this site. We do not include the universe of companies or financial offerings that could be accessible to you.<br><br><br><br>SHARE:<br><br>On This Page In This Page<br>Prev Next<br><br><br><br><br><br><br><br>damircudic/Getty Images<br>3 minutes read. Published January 30, 2023<br>Authored by Kellye Guinan Written by Personal and business finance contributor<br><br>Kellye Guinan is a freelance editor and writer who has more than 5 years experience working in the field of personal finance. She also works full-time as a worker at her local library which she assists her local community to get information on financial literacy, among other subjects.<br><br><br><br><br><br><br><br>The edit was done by Rhys Su*** Edited by Auto loans editor<br><br>Rhys has been editing and writing for Bankrate since late 2021. They are passionate about helping readers gain the confidence to take control of their finances with precise, well-researched and well-researched content that breaks down otherwise complex topics into manageable bites.<br><br><br><br><br><br><br><br><br><br>The Bankrate promise<br>More info<br>At Bankrate we aim to help you make better financial decisions. While we are committed to strict editorial integrity ,<br>This article may include the mention of products made by our partners. Here's an explanation for how we make money .<br><br>The promise of the Bankrate promise<br>In 1976, Bankrate was founded. 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We're honest about how we are capable of bringing high-quality information, competitive rates and helpful tools to our customers by revealing how we make money. Bankrate.com is an independent, advertising-supported publisher and comparison service. We receive compensation for the placement of sponsored products and, services, or by you clicking on certain hyperlinks on our site. Therefore, this compensation may affect the way, location and in what order products are displayed within the listing categories, unless the law prohibits it for our mortgage or home equity products, as well as other home lending products. Other factors, such as our own website rules and whether or not a product is available in your region or within your own personal credit score could also affect how and where products appear on this site. We strive to provide an array of offers, Bankrate does not include details about every financial or credit product or service.<br><br><br><br>A high can be an expense for your budget. However, there are some simple steps you can take to lower it like refinancing. And if you haven't taken out a loan but, you could start off with a low monthly payment by shopping around and finding the perfect lender. Four ways to reduce the cost of your current car vehicle payment isn't fixed in to stone. It can change depending on the circumstances. You just have to contact your lender or take additional steps to make it easier. 1. Change your loan conditions Lenders typically allow you to in times of financial difficulty. This can take the pressure off for a couple of months but could result in a higher overall cost because interest continues to accrue during deferment. You may also ask for an . The lender might be willing to extend your loan termin which case you'll pay higher interest, or decrease the interest rate. This is more beneficial in terms of saving funds over the loan term, but it could be challenging to get a loan for if you don't have great credit. 2. Refinance your vehicle loan There are two methods that can lower your monthly payment. You can get lower interest rates and the same loan term on the current loan and, consequently, you pay less each month. Also, you can opt for longer loan term. This can allow you to pay less monthly, but you'll pay more in interest overall. 3. Trade or sell your car If your car is priced higher than the limit of your budget, you could easily sell it and then move to a cheaper vehicle. The most convenient way will be to visit the dealership. You'll be able to utilize this extra cash for a down payment on your next vehicle and will not need to handle an individual sale. Private sales can earn you more money. Be aware that it could be a bit complicated. Discuss it with your lender to ensure that you aren't violating the conditions of your contract. 4. Make extra payments when possible will help lower future monthly payments -- or even skip them altogether. While many lenders apply extra payments only to interest, you might be able to request yours go straight to your principal. This will reduce the total amount you are obligated to pay. This will also allow you an opportunity to make some extra money in the future. How can you lower your car payment before buying to make a lower cost for your next car. There is no need to accept the initial loan offered to you as long as you keep the loan amount is an excellent method for you to reduce your monthly expenses lower, too. Consider purchasing a pre-owned vehicle. Not only is it significantly lower in cost upfront, but can also help you stay clear of the drastic decline in value that brand new cars face. Make a large down payment if you can. The less you pay, the less you require financing which will mean lower monthly installments. Transfer your vehicle or let it go privately. Using your current ride to increase your down payment is a fantastic way to keep your next monthly payment at a low amount. Enhance your credit score prior to when you apply for a loan. Dealers and lenders will lend the loan if you have excellent or excellent credit. If you are able, hold off to buy a car until your score has jumped just a couple of points. Look around for the best financing. Do not limit yourself to dealership financing. There is a greater chance of finding a great rate of interest and flexible monthly payments by comparing. Opt for a longer loan term, but keep in mind that this means more paid in interest. While you'll be able to lower your monthly expenses, you than your car's value by having a loan duration of more than 60 months. You must pay sales tax in advance. Lenders will let you finance the sales tax on your vehicle , but make sure not to. In the end, you'll have to pay the interest -- and it will only make your monthly payments larger. Lease instead of buying. Leasing is often seen as a negative thing however, it is possible to do so by leasing. But, it could be costly if you don't have a good credit score. Also, you'll be unable to sell your vehicle when you're done with your lease. The bottom line Because automobiles should make up less than 25 percent of your overall , it's crucial to keep your monthly payment to a minimum. Refinancing or renegotiating is two options in the event that you have taken out the loan with a very high interest rate. However, switching to a less affordable vehicle is an option that will increase the amount of money you account each month. If you're considering saving your down payment before shopping. It will cost you less interest and start with a low monthly payment.<br><br><br>SHARE:<br>Written by Personal and business finance Contributor<br><br>Kellye Guinan is a freelance editor and writer who has more than five years ' experience within personal finances. She also works full-time as a employee at her local library, where she assists the community gain access to information on financial literacy, among other topics.<br><br><br><br>The edit was done by Rhys Su*** Edited by Auto loans editor<br><br>Rhys has been writing and editing for Bankrate since the end of 2021. They are committed to helping readers to manage their finances through providing clear, well-researched data that breaks complex topics into manageable bites.<br><br><br><br><br><br><br>Auto loans editor<br><br><br><br><br>Related Articles Auto Loans 5 minutes read Mar 02, 2023.<br><br>Auto Loans 5 min read November 14, 2022<br><br>3 minutes read on Auto Loans Aug 22, 2022<br><br>Auto Loans for 2 Minutes Read Jun 30, 2022<br><br><br><br><br><br><br>About<br>Help<br>Legal Cookie settings Don't sell my info<br>How we make money Bankrate.com is an independent, advertising-supported publisher and comparison service. We are compensated in exchange for the promotion of sponsored goods and, services, or for you clicking specific links on our site. This compensation could impact how, where and in what order items appear in listing categories and categories, unless it is prohibited by law. This is the case for our loan products, such as mortgages and home equity, and other home lending products. Other factors, such as our own proprietary website rules and whether the product is offered in the area you reside in or is within your personal credit score could also affect the manner in which products appear on this site. While we strive to provide the most diverse selection of products, Bankrate does not include information about every financial or credit product or service. Bankrate, LLC NMLS ID# 1427381 | BR Tech Services, Inc. NMLS ID #1743443 |<br>|<br><br>(c) 2023 Bankrate, LLC. It is a Red Ventures company. 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