What are Deferred Car Loans?
Deferred car loans are a type of auto loan that can make your monthly payments more affordable. Here are the basics of deferred car loans and how they work.
A deferred car loan is one that is going to allow you to defer a certain amount of money on your loan until the last payment. This is going to result in a larger balloon payment for you. For example, you could decide to defer five car payments until you reach the last payment of your loan. This is going to lower the amount of money that you have to pay on each payment up until the last one.
Using this type of program can be a way to lower your monthly payments and save some money in your monthly budget. This provides a lot of people with a way to purchase a car that they would otherwise not be able to afford. If you are going to use this program, you will want to make sure that you are careful. Many people do not take the proper steps to plan ahead for the balloon payment. Then they are blindsided by a large payment that they cannot afford.