Is it your 1st car? Then you must know these.
Buying your first car is a big decision — and a big purchase. Before you head to the dealership, run through these five questions so you secure a deal you won't regret, and let Nook line up your financing first.
Getting a car is a major purchase decision, and if it's your first time, there are a few helpful things to know before you walk into the showroom. The good news: buying your first car is far easier these days, thanks to online channels and resources — like Nook — that let you work out your monthly dues and sort your financing before you ever sit down with a dealer.
Knowing the details of buying your first car helps you land a good deal you'll be happy with for years. We've listed the essentials below, starting with a quick check on whether you're really ready to buy.
Ask yourself these questions first
Five honest answers now will save you money — and stress — later.
How much is your budget?
Your budget decides which car makes sense. As a general rule, your total car payments — principal, interest and insurance — should be 10% or less of your gross monthly income. Keeping under that line means you'll still have room for the rest of your day-to-day expenses.
How much down payment can you provide?
The standard down payment for a car loan in the Philippines is around 20% of the car price. You don't have to put down that much on your first vehicle — but the more you can afford up front, the lower your monthly repayments will be if you finance the rest.
Do you have a budget for maintenance?
Running costs belong in your decision too. Larger vehicles like SUVs and pickups usually get fewer kilometres to the litre than compact sedans, so they cost more to fuel — and their parts are pricier when repairs come around. Factor it in before you fall for the bigger car.
Financing or cash payment?
Many first-time buyers feel unsure about bank financing, hoping for a better rate from the dealer. The smart move is to have your financing in place before you start shopping — so you're comfortable with your interest rate. Unless you have excellent credit and a special-offer model, you rarely get a sharper deal from the dealership than from a bank, and arriving pre-financed helps you avoid being upsold add-ons you don't need.
Should you consider promos?
Some promos are flexible on credit requirements but restrictive elsewhere — they might require an account with a partner bank, a minimum maintaining balance, or even a specific vehicle to qualify. Not every dealership runs them, so research carefully before you bank on a promo to clinch the deal.
Then enjoy the hunt
Shopping for a car should be fun — pick your colour, weigh up the features. Research online, read reviews and shortlist models before you test drive. Lining up a few dealerships gives you flexibility and helps you save more.
Sort your financing before you shop
The single best thing you can do before walking into a dealership is to know exactly what you can borrow and at what rate. That's where Nook comes in. Nook is the Philippines' original and award-winning mortgage broker — Awarded Best Mortgage Broker Philippines — and we make financing simple by doing the legwork for you.
You don't fill in bank forms or queue at branches. A dedicated Nook loan consultant prepares your application, gathers your documents, follows up with the bank and handles all the back-and-forth on your behalf — so you arrive at the showroom already knowing your numbers. And it's 100% free: the bank pays Nook a commission once your loan is released, never you.
A dedicated loan expert
One consultant runs your whole application end to end, so you can find the right loan from a major bank effortlessly.
Chat support whenever you need it
Our team is on hand any day, 9:00am–9:00pm, whether you have a question, a concern, or just want to talk it through.
Updates handled for you
Automated alerts via text and email keep you posted at every step — you're never left wondering what's happening.
Decided on your car? Let's sort the loan.
Check your loan options in just 3 minutes, or chat to a live agent now for free advice. Nook lines up your financing and handles the bank for you — so you can focus on the keys.
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