Is It Safe to Buy Used Cars in Greenville for $500 Down Payment?

Will the dealer sell quality used cars if I just choose to pay $500 as down payment? How much extra will I have to pay as interest if I give such a low amount as down payment? These questions are natural when you search for used cars for $500 down payment.The concern generally boils down to two factors – the car’s quality and financial implications. Well, if you understand the business behind selling $500 down cars and if you know how the financing system works depending on down payment, you will not feel the pressure to pay more than you can afford. Let us decode the entire low down payment system here and offer peace to your mind.

Quality of cars depends on the dealership you pick

Multiple dealerships in Berea and across Greenville might sell used cars for $500 down payment but not all of them sell quality cars for that amount. Several dealers pick up lemon cars or used cars with salvage titles and sell them under the $500 down category as their net price remains in the lower brackets. This is their way to maximize business by selling cars they are not supposed to just because it is not yet illegal.

However, in reputed names like Family Auto that maintains a quality benchmark, you will not find such policies. Most of their fleet come from trade-ins and they only buy the cream from the wholesale market. Hence, to tick the quality box, pick the right dealer in Greenville.

Interest rates depend on the down payment and the price

Say you are looking for a used Dodge car in Greenville. Now, recent models can cost well over $20,000 while a decade-old vehicle that will still run you well for many years can come in the $10,000 to $13,000 slot. If you choose to pay $500 for the former, the credit amount naturally increases and with your bad credit score, an interest rate of 18-28% will hurt your finances. But going for the $10,000 car will keep your budget in check. You will not be making a compromise as engines have hardly undergone any change in the past decade and you can live without a few upscale features.

Look past the market sentiment

People tend to associate quality with price – the higher you pay, the better product you get. But that is seldom true for any commodity and used cars are no different as well. Buy used cars for $500 down payment without doubts from a reputed dealership. Understand the deal you are getting into and read every fine print. Just because you are paying $500 does not mean you can only drive salvage or low-grade cars. In names like Family Auto, quality cars with warranties come for just $500 down payment.