You're timing is excellent. It might just be the best time ever to buy a car.

BAD CREDIT car loans weathering credit crunch

Fed rate cuts.
Overstocked manufacturers.
Huge incentives.
End of model year.

Haggling at all-time low.

Gas prices leading
to used car price swings.

There may
never have been
a better time
to buy a car.

Item: The US Federal Reserve will have to stop cutting rates and start raising rates if inflation heats up. Current rates may not last.

Item: Car dealers are going to sell about 2 million units less in 2008 than in 2006. They are under tremendous pressure to wheel and deal those puppies off the lot.

Item: Cars are better built and lasting longer than ever. A 98 Lexus will have fewer reported issues than a 2006 Volkswagen.

Item: You can find top quality Japanese cars affordable -- and still strong -- five to seven years old. For similar price and quality, think American cars in the same condition three to four years old.

Item: For a $250 to $300 monthly payment, a $7K or $8K loan is perfect. And from Edmunds to Consumer Reports, from expert after expert, you'll hear there are outstanding vehicle values in that price range. Better than expected quality from budget lines such as Suzuki. Better than expected quality on the new Chevy Malibu, too. (Better than an Accord!!??)

Item: Kia Optima still leads for most under-rated car.

Closing item: As we said on the home page, dealers have gotten better at dealing with credit issues because they see more of them every day. Dealers need all the buyers they can get. It's just an unbelievably good time to go buy a car. (Especially if you show up in the last four days of the month when the sales guys are trying to make their quota.).

Only sensible thing to do is apply now.

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