The 72 Month Car Loan: Requirements

The 72 month car loan is the ultimate car loan for those who want or need lower monthly payments. The 72 month car loan is a 6-year loan that makes it easier for some to afford the loan, and is directed toward those who need lower monthly payments. You often find these loans when companies or dealerships are trying to move cars that have been sitting on the lot.

The 72 month car loan is not something that everyone can find as these types of loans are not given out to anyone who applies for them. Banks will get more money over time when giving out this type of loan, but they also see less money on a regular basis. They may have certain requirements for giving out this specific type of loan.

There is one major personal requirement to consider before looking into the bank requirements for a 72-month car loan. You should be considering long-term ownership for the car if you are considering this type of loan because this loan will take 6 years to pay off. If you attempt to sell the car during the loan, you may actually lose money. This means that you will end up owing more on the car than you can make by selling the car. Unless you want the vehicle for a long period of time, do not consider yourself eligible for a 72-month loan.

Lenders that are giving out 72-month car loans are going to be looking for people who have good credit. Specifically, they are going to be looking for people who have a clean payment history record. They are relying on you to make regular, solid payments for 6 years. If they think that you are going to waver on regular payments, they are not going to give you a loan this lengthy.

Certain loan companies only offer their 72-month loans at little to no interest. At first, this seems confusing. People fail to understand why a company would offer a lengthy loan with minimal to no interest, and are sucked into the loan. Some companies offer no interest, but raise the amount owed upfront, and base the loan off the MSRP; a higher price than you planned on paying for the car. Other companies tout a lower interest rate. People see a low interest rate and think of money savings. They fail to realize that, over time, they are still paying more for the car than they would with the interest rates of other loans.

Getting a loan with little-to-no interest requires an impeccable credit score, and often requires a large sum of money down. Having enough money to cover these changes is a requirement. This means that the lender will be looking for proof of income, and may be looking for a specific income level before approving you for a 72-month loan.