 TITLE: How to Qualify for a 0% APR Car Loan CONTENT: How Does a 0% APR Car Loan Work?\n--------------------------------\nZero percent APR car loans are auto loans with no interest rate. This means you can finance a new vehicle purchase, and 100% of your monthly payment will go toward the principal balance of the loan—there are no interest charges whatsoever.\nCar dealers usually offer 0% financing on new cars only, and you typically need to have a very strong credit history to qualify for such an offer.\nThese promotions are typically available only from what are called captive financing companies—the finance arms of vehicle manufacturers, such as Ford Motor Credit Co. or Toyota Motor Credit Corp. Manufacturers use these deals to incentivize customers to purchase brand-new vehicles, which sell at a significantly higher cost than used vehicles. You may receive an advertisement from a local dealer that encourages you to check out a new car and apply. END