Creative Ways to Finance Your Dream Car

Commuting to and from work is a hassle nowadays, especially when it’s a long drive. So, having a car is a good option if you don’t want to spend your early mornings walking to the station and riding the train or bus to work. 

With a car, you can save time and avoid the stress of commuting on public transportation. Of course, owning a car comes with its own sets of challenges, such as repayment, maintenance and more. However, these days, having a car beats commuting, especially in terms of saving time. You can also use the car wherever you want to go. Vacation? Sure. Supermarket? It’s no problem. 

Now, if you’re planning to get one, you’re in luck because we’ll be talking about some ways to finance your dream car. There are many ways to finance a car, but knowing your options can let you find a way that best suits your needs and financial situation. 

Here are some ways for you to finally get your dream car.


It’s probably one of the most common ways to finance a car. Lease-to-own is one way to get a car while paying for it simultaneously. Technically, since you’re still paying for it, you don’t own it yet. You officially own the car once you finish its term. Unlike purchasing it directly, the leasing company remains the owner of the car. It means that after paying for it fully, you have to pay for the title and license fee before you become the official owner of the car.

Many lease-to-own cars aren’t always brand new. They’re used cars, mostly, but that doesn’t mean they aren’t worth having. The best thing about leasing a car is that you have a chance to walk away from the whole thing. If you suddenly decide you don’t want the car, you can just tell your leasing company, and they’ll end the contract.

Also, if you have bad credit, you don’t need to worry too much since there’s no credit check. You only need to have a source of income and money for the down payment, and you’re good to go. Also, they don’t typically look into your credit too much because it’s a secured lease, making the vehicle the collateral.

Credit Union

Banks and credit unions are two financial institutions that can offer you a car loan. However, the difference is that credit unions are nonprofit, which means they can offer a lower interest rate. According to some, credit unions are much better in terms of customer service. Also, credit union loans are as good as payday loans online alternatives if you’re in dire need of money.

The main reason for this is that credit unions are for the members and by the members. Credit unions are much smaller than traditional banks, which can be a huge plus because they can connect with their members personally.

Credit Card

While this may seem outlandish, you can actually buy a car with your credit card. That is, if your credit limit is high enough, in which case, you can put the down payment of a car into your credit card or just buy it outright. 

A lot of dealerships have a dollar limit when it comes to credit card payments. In addition, merchants are charged a fee in credit sales, which are percentages of the total sale.

So, when it comes to large purchases, those percentages can come up to hundreds or even thousands. For this reason, some dealers will place a 2-3% surcharge on any credit purchase, which can help them offset their incurred costs. 

The real question here isn’t whether you can buy a car with your credit card, but whether or not you should do it. There are several benefits you can enjoy when purchasing a car using a credit card. For one, you can immediately get ownership of the car without having a lienholder.

However, before you go ahead and do it, you should contact your creditor first. Such a huge down payment of purchase can signal them a fraud alert. So call them first and let them know that you’re about to buy a car. It’s a best practice too whenever you want to buy something expensive in the future.


There are a lot more ways to finance your dream car; you just have to look. You should also note that every financing method you choose has pros and cons, so you should pick the most suitable one for your financial situation. A lot of people will go for low-interest loans, but not everyone can afford a traditional one. That is why the options listed above are great alternatives.

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