Education » Articles » Zero Percent Rate Vs Cash Rebate

0% Rate vs. Ca$h Rebate

When it comes to auto loans, you’re better off coming to UW Credit Union for the loan rather than financing through a dealer and passing up a hefty rebate. Here’s why.

At a dealership . . .

• Only consumers with the very best credit history qualify for the 0% rate.
• Consumers must choose either the promotional rate or rebate—not both.
• Promotional rates only apply for short terms, usually 36 months or less.
• Promotional rates only apply to slower-selling vehicles or those currently in stock.
• Hidden application or prepayment fees substantially reduce savings.

With a UW Credit Union auto loan, you pick the vehicle and available financing term. We automatically give you a low rate, and there are no hidden fees. Take a look at the example below and see just how much you could save on your next auto loan financed by UW Credit Union. Apply now!

Dealer $2,500 Rebate or 0% Financing?

You pay less by taking the rebate and financing through UW Credit Union!

	$15,000 Purchase		$20,000 Purchase
	Dealer	UWCU	Dealer	UWCU
Sale Price	$15,000	$15,000	$20,000	$20,000
Dealer Rebate	---	$2,500	---	$2,500
Amount Financed	$15,000	$12,500	---	$17,500
Interest Rate (36 mo.)	0%	5.39% APR*	0%	5.39% APR*
Total Interest	---	$1,066.60	---	$1,493.24
Total Payment	$15,000	$13,566.60	$20,000	$18,993.24
Total Savings at UWCU		$1,433.40		$1,006.76

*APR is Annual Percentage Rate. Rates subject to change.