Tax time doesn’t have to be dreaded, especially when a tax refund is involved. You can easily maximize your refund with Volvo financing. We’re showing you how at Jenkins Volvo Cars Ocala.
Financing Costs
Many drivers benefit from an auto loan, also known as auto financing, because they don’t have to pull from their savings to buy a new vehicle. Plus, they’ll still have the funds they need if they face an emergency or unexpected expenses. However, financing does come with a cost. You will owe interest on your loan, which is a fee paid to your lender.
Maximizing Your Tax Refund
Most drivers won’t get a tax refund large enough to cover the cost of a new vehicle. However, it can serve as a significant down payment instead. While this isn’t a must, it’s recommended to make a down payment of 20 percent or more if you’re buying a new vehicle.
How a Down Payment Helps
Lenders look at a down payment as buying power, so that can help when you apply for a loan. Plus, it can help you save money. Interest is calculated as a percentage of your loan’s principal amount, so borrowing a smaller amount will help you pay less interest.
Other Loan Guidelines
Outside of your down payment, there are a few other parameters to keep in mind to help you make a smart financial decision. If possible, try to keep your loan length under four years. You should also aim to keep your monthly auto payment under 10 percent of your take-home pay.
Apply for Volvo Financing in Ocala, FL
Are you ready to maximize your tax refund? We encourage you to use it as a down payment on a new Volvo vehicle. Visit Jenkins Volvo Cars Ocala to shop today!