lowest auto loan rate

**akal** · January 5th, 2007 10:57 PM

Just got car loan from BPI Family : 6.10% ( 1 year term)

we applied it thru toyota kaya mas mataas kesa nakapost sa website nila.

**creepy** · January 6th, 2007 10:32 AM

I think many of you are sadly misled -- the 6.10% (or sub-5% rate) mentioned is not an annual interest rate...

**federal** · February 5th, 2007 01:11 AM

bpi family is ok.
13% on 36 mos.

**5Speed** · February 5th, 2007 11:41 AM

Originally Posted by creepy

I think many of you are sadly misled -- the 6.10% (or sub-5% rate) mentioned is not an annual interest rate...

hmmmm care to explain please??

**mazdamazda** · February 5th, 2007 11:59 AM

currently, may 0% interest ang in-house financing for Mazda3 (3 years to pay) & Focus (12 months to pay, 99K down).

**creepy** · February 5th, 2007 12:28 PM

Originally Posted by 5Speed

hmmmm care to explain please??

Interest rates should be properly quoted as an ANNUAL rate to make them fully comparable.

What some frequently do is just add up all interest payments over the life of the loan and simply divide it by the initial principal. That's the wrong way to do it.

For example, if you pay P50,000 in interest over a one-year amortizing loan of P1,000,000, the effective annual interest rate is NOT 5% (50,000 / 1,000,000) since you are already paying down the loan monthly. Remember that your outstanding balance after one (or two or three) amortization payment/s is already lower than P1,000,000. So you're paying interest on a balance that's less than P1,000,000.

(The effective annual interest in the above example is actually 9.1% in this case.)

The marketing materials of banks just makes the rates look deceptively lower.

**Sgt_Bogart** · November 10th, 2009 02:59 PM

Do you know of any bank or institution that accepts car loan refinancing?
I am resigning from my company and I have an existing car loan from them with about 300k as remaining balance... been talking to BDO and BPI, it seems they do not accept this kind of arrangement for cars.. only for real estate.

**jEnnAholic** · November 21st, 2009 05:49 PM

I made several inquiries, what I did was, I ask for quotation from each bank then compare it. Then kung sino yung lowest quotation, pinapakita ko lang sa isang bank and then tatapatan nila yun or either bababaan ng konti. then do it again show to the other bank the quotation you got.

**atlantico** · September 11th, 2010 08:24 PM

* mitsubishi toph,accept din po b kayo ng trade-in?

**Dong Castro** · September 13th, 2010 09:34 PM

* mitsubishi toph 6% ng total amount kung 12 months?
meaning kung 1 million ang amount ng car, magiging 1,060,000 ang amount ng car?

ano ano ang mga requirements para sa car loan? kayo na ang maglakad sa bank?

mas maganda ba na sa dealer pumunta para mag laon compared kung sa bank dumerecho?