There are 3 main types of payment schedules: 𝐌𝐨𝐧𝐭𝐡𝐥𝐲, 𝐒𝐞𝐦𝐢-𝐌𝐨𝐧𝐭𝐡𝐥𝐲, 𝐚𝐧𝐝 𝐁𝐢-𝐖𝐞𝐞𝐤𝐥𝐲 and it’s hard to know which type work’s best for you!
Choosing a payment schedule that doesn’t work for you can leave you with little room in your budget to enjoy your life, or lead to missed payments and ruin your credit.
That’s why VIDrives works with you to find the best financing solution so you can get into a great car, without being Car Poor!
What are my payment schedule options?
VIDrives partners with lenders who offer Bi-Weekly, Monthly, and Semi-Monthly Payments.
Our financial specialists are available to help you find a payment, and a schedule that works with your other bills.
What is a Bi-Weekly payment?
Bi-Weekly payments are made every two weeks, for a total of 26 payments per year- which is the same as 1 extra monthly payment or 2 extra semi-monthly payments per year.
These extra payments mean that you’ll pay off your vehicle faster, and pay less interest over the duration of the loan- as these extra payments are applied directly to the principal.
Additionally, these payments are generally lower, as there are more of them per year.
What is a Monthly payment?
A monthly payment schedule is exactly what it sounds like. One payment is made each month, usually on the same date. Twelve payments are made per year.
What is a Semi-Monthly Payment?
Semi-Monthly usually means that two payments are made each month. Many people stick with the traditional 1st and 15th of the month- but it’s possible to choose other dates if they make more sense for you financially. Twenty four payments are made per year.
Should I choose Bi-Weekly or Semi-Monthly?
Semi Monthly payments might work better for someone who is paid Semi-Monthly. That way you would make your payments on the same day’s you get paid, instead of having to make multiple payments on the same cheque.
If you’re paid Bi-Weekly, you can set up your payments to come out the same day as your paycheques come in- and this structure of payments may work better for you.
Should I choose a Monthly Payment Schedule?
Monthly payments might work best for someone who is working around other payments schedules. For example, if your bills all come out on the same day, you may not be left with much money to get through to your next paycheque- so a monthly payment that comes out on the 15th, instead of the 1st might work best for you.
Get pre-approved and start driving today: www.vidrives.ca