First, the bad news. Then the much better news.

A $10,000, four-year loan at one of those 20 percent interest outfits is a payment of $304 a month or $14,592 overall. At eight percent, it's $244 a month, $11,712 overall, and that's a difference of $2,880.

Now that sounds terrible, but is it really? Suppose you've been doing your homework, you've saved up a downpayment, and you've been looking at all the quality vehicles available in the $7,000 to $10,000 price range. (Such as those researched by Auto Loan Central).

Which gets us to this math: On a three-year, $7,000 loan, a monthly payment at 9 percent is $222.60 (or $8,013.60 after 36 payments). At 18 percent interest, the monthly payment is $253.07 (or, times 36, $9,119.52). That's a difference of $1,096.92 divided by 1,095 days -- and that means you are fixing your credit for just one dollar a day!!!

Okay: $1.001753424658 to be precise. What's a few millionths of a penny among friends.

Now on a three-year, $10,000 loan, a 9 percent monthly
payment is $317.99 (x36 = $11,447.64). At 18 percent,
the monthly payment is $361.52 (x36 = $13,014,72).

That's a difference of $1,567 -- or $1.43
per day. Again, not so bad, considering
It's kind of like paying a fine.

Don't get us wrong. If you have time,
if you're not in a rush, read through
our checklist and get yourself in better
shape for a car loan. But if a dollar
more per day doesn't sound so bad,
then apply now.