Ignition Financial Is A Breath of Fresh Air

Most of us have purchased an automobile on time where we finance the purchase and make payments for several years. Usually, if the payments can fit the budget, we move ahead with the transaction and purchase the car. On the surface that seems to make sense at the time, but in the long run, most of us are paying too much.


If we had the money, we would simply walk into the dealership and pay full price for the car, but in most cases, a lump sum of several thousand dollars is too high of a bar to meet. So, to get the car, we resolve the issue by making a deal that works at the time, so we can drive the vehicle off the lot and take it home.


After a few months and years, we are still paying the same car payment, and as we look around, we discover that our friends, neighbors, and relatives are getting better cars with smaller payments, and it causes us to scratch our heads a bit, and wonder why.


Now, thanks to Ignition Financial, out of Austin, Texas, it is possible to refinance our car loans and achieve a much smaller payment, depending upon our current credit and other factors.


Once that information is revealed, it is not unusual to find people enthusiastically hollering, “OK, go ahead, slash my payments on my car loans for good!” That seems like an appropriate response to good news like that at any time.


It is important, first of all, to understand just how the financing on car loans work. All of the money that is used to finance car loans come from large banking and lending operations who specialize in the automobile lending field. These companies face intense competition among one another, so they have to offer perks to the car dealerships and used car retailers.


The lender establishes what is called “the floor” or the rate where the interest rate begins, and then other add-ons go from there.


One of the ways that incentives are offered is to put an extra interest rate into the deal just for the dealer or used car company. This additional interest might be as much as 2% to 4% which the dealer or used car proprietor cashes in when the closing occurs.


Most consumers are not aware that if they had visited their local bank or credit union they could have had a rate close to the floor rate.


When Ignition Financial refinances your car loan, there is a good chance that your rate will work out to a floor rate level or below. You will be very happy with lower payments and room to use the money for other purposes.