Best places for used car loans & what kind of interest can I expect
The worst is in the past: Bankruptcy 10 yrs ago, car problems including slow pay, charge off & repo 7 years ago. Current negative marks are all med bills my ex is to help pay, but does not.
Positives include mortgage & 3 small credit card payments on time. And the negative car stuff shows up as paid in full as I worked out a deal with them in 2005.
1. What kind of interest can I expect with my history. Am I going to hear 29%, and if so anything I can do to get them to come down?
2. Are all bad car loan places about the same - or are there a few that are better than others?
3. Will I even be able to get a car loan during the credit crunch?
Hey, you can check with autobybroker.com. I've heard that they p
Hey, you can check with autobybroker.com. I've heard that they particularly deal with people with poor credit, though, I don't know what kind of interest rate you're going to experience. It's difficult if not impossible to get a car loan with poor credit score and repossession on the report.
My credit score is poor (around the 550 mark) and was able to by
My credit score is poor (around the 550 mark) and was able to by a used minivan 11,999 with a paid in full trade in (got 2000 for the clunker with a fried electrical system) paid $500 down and my payments are 244 a month at 16% (high but I have to have a van with 4 kids and a hubby) with the option to refinance after 18 months with good payment history. We did not finance through the lot, we got approved through Chase Auto finance and they have been great.
Have had past experiance with small private lots that "tote the note" and have had one good experience and one not so good. Make sure that you read all of the fine print and you can more than likely get a decent deal. The good experience was when we bought an older van (a '98 model in 04) and we had 500 down 225 a month for 24 months and they gave us a voucher for a free oil change with every payment (they also owned the station) and their theory was "if we can keep the car running, we're gonna get paid for it." They even offered to help buy tires for the vehicles and add the price into the note.
Good luck
Chrissy
Some of the variables not mentioned are length of employment, an
Some of the variables not mentioned are length of employment, and your mortgage payment.
If your monthly obligations do not exceed $2400 and you've been at your job at least a year, you shouldn't have a problem getting approved. Although 1) the rate will vary by lender, I'd say anywhere in the 10-20% range, and 2) they might make you put at least $1K down.
To get the lowest rate, try getting financed yourself instead of using the F&I office at the dealership. A little-known secret is that the dealership makes commissions off of getting you to sign at a higher rate. For example, the lender they work with might approve 10% but the dealership tells you the lowest rate they can get is 20%. For getting you to sign at 20% instead of 10%, the dealer and lender split the difference and that F&I stands to make $1K or more in commissions.
So if you can get approved outside of the dealership, then you don't have to worry that the dealer is jacking up the rate on you.
