HELP ME get a car LOAN~~

[TurtleMan]

Man i went to Acura dealership last night try to buy RSX automatic/leather for $20700
when they check my credit ... 565... not qualify for a loan .. even tho i work and everything
still i can't get a loan. Then the sales person try to tell me that if i use my sis and I to try to get
the loan together, then it might work, but the problem is that my sis's credit is lower than me..
Is there anyway i can get a car loan out there? or anyone can offer me idea of how to rise my credit
fast ? :| pllleeease

 

[phatcow]

how old are you and how much do you make a month?

 

[TurtleMan]

im 21 , my net income is $1500

 

[littlezipp]

You shouldn't be buying a car with an income of 1500.... How long have you had credit cards, which ones, and what are your limits.

 

[Freejack2]

You don't have to give up when the dealer tells you no. Odds are they tried one or two places and gave up. Sometimes a local bank will be more likely to give you the loan so check the banks in your area. Also from what I understand if you get credit cards and use them and keep a small balance on them it helps credit a lot.
*shrug*

 

[kranky]

How much of a down payment did you plan on? If you come up with a bigger down payment that will help your chances. There's no way to quickly make your credit record that much better.

Be careful about jumping at the first loan you get offered. If the dealer couldn't finance you - and remember, they WANT to sell you that car - the loans you get offered might have a high interest rate or unattractive terms.

 

[Crab cake]

Assuming you can find a bank to to get the loan. With a 10% down and your credit score, you are looking at a 14% interest rate. That's a monthly payment of $435 before taxes, fees and insurance. A car like that combined with your age (you're probably male) won't be cheap to insure. Factor in gas and other related expenses and you're looking at half of your monthly income spent on transportation. This is insane! The rule of thumb is no more than 15% of your income, 20% if you want to splurge, but no more should go to transportation.

I have this software that banks and leasing companies used to calculate interest rate. I can help you find out what your probable rate is, but I need more info than just your credit score.

 

[TurtleMan]

$1500 net income, after tax is $1200... so based on the 20% max for my car payment , then i can only be affording a $240 car ..
then how about if i find a co-signer , ? would thing be much better off and it can also improve my credit ?
and also Crab cake, wat else info you want, you want to PM me or u want me to email you ? so you can sort of calculate my APR..

 

[pulse8]

<< then i can only be affording a $240 car .. >>

God forbid.

 

[kt]

<< $1500 net income, after tax is $1200... so based on the 20% max for my car payment , then i can only be affording a $240 car ..
then how about if i find a co-signer , ? would thing be much better off and it can also improve my credit ?
and also Crab cake, wat else info you want, you want to PM me or u want me to email you ? so you can sort of calculate my APR.. >>


that's $1500 gross income, $1200 net income. have you checked why your credit score is so low? it's always a good idea to check your credit history once in a while.

 

[sharkeeper]

http://www.lendingtree.com

Cheers!

 

[TurtleMan]

umm i just tried lendingtree... see if any luck turn up.. i think if ever it did go thru , the loan probably would be like 10% or so
Anybody know anything about getting a loan from a credit union or something like that ?

 

[Johnnie]

try a credit union..better rates

 

[QTPie]

You should NOT buy a car like that with your current income.
Assuming that you can get the car for $23K out of the door.
You make a down payment of $3K, then you have a loan of $20K.
And keep assuming that you can even get a loan for 10% APY for 5yrs, the total you own should be $20K + $10K (interests) = $30K you own

Now you have to pay $6K/year which is $500/month
Don't forget that you have to pay for the license fee (~250/yr ?), insurance which should be about $120/mon and gas, too ($50/month?). Basic maintanace (oil change, brakes, etc) will cost you a little bit more, let say $20/month. All of these would cost you an additional amount of $300/month on top of your $500 monthly payment FOR 5 YEARS.

That's $800 per month or 2/3 of your income. Owning a new car is expensive, especially if you're young. IMHO, you should try to save some money and PAY OFF for an old car.

Nevertheless, you can also try to apply with credit union banks: Washington Mutual, TechCU, etc. They are cheaper than regular banks.

 

[TurtleMan]

Ummm darn .. but i really want an RSX, how about if i can get a co-signer,
still not suggest me to get it ?
How about a civic , would that fit me ?

 

[b0mbrman]

<< Ummm darn .. but i really want an RSX, how about if i can get a co-signer,
still not suggest me to get it ?
How about a civic , would that fit me ? >>


You can save *a lot* of money by taking yourself down to a used Integra...my sister picked up a 95 with less than 33k miles on it in *great* shape...for $8,000 :Q

BTW, not to spoil your fun but I could be getting an RSX this summer at 21...However, I'm putting about $10k down on it

 

[AaronP]

let me get this right? you make 18000 a year and want to buy a 21,000 dollar car? Are you loopy?

 

[thirdeye]

Good luck to ya. It took me forever to get a loan approved for my 02 celica gt-s. i ended up putting 7k down and i'm paying 340/ month for 60 months @ 7.5%
more than likely they are gonna try to kill u w/ interest they tried to offer me a loan for 20% interest and i about sh!t myself. how are you going to afford a car like this w/ your income. not only that but insurance is gonna kill u. the celica gt-s has a slightly larger engine than the rsx but not by much and it upped my insurance premium by 1500/year (now paying 2700/year with high deductibles). u might want to rethink your choice of car man

 

[Imdmn04]

here is my affordability equation when buying cars

affordability=(1/2) of your yearly income
in other words you can afford a car with a price that is roughly half of your yearly income.

sure some of you can get by with buying a car with a price that is equal to your yearly income. but that is not affordbility. my definition for affordability is that the purchase wont affect your normal lifestyle too much. meaning that you if you dine out every week, you wont stop this routine just to save some cash for a car payment.

 

[Ameesh]

are you daft? you cannot afford that car, why dont you look at a kia or a neo, 5k-6k new or leaseing a civic or a saturn.

 

[Ultima]

Just get an older Integra, Prelude or Civic

 

[TurtleMan]

ahh... i see ... i begin to think im crazy too ...
but I thought about it, the car would be 21000+ tax,
im try to get a 20k loanwith 2k down,
my monthly would be rougly around $351 + interest + tax
so let's just say 400 bucks. With my income of $1200, i would have $800 left
and my insurance is under my mom, so even if I get RSX, the insurance will go up about 1g per yrs
which is about $100 per month , bring my total income down to $700 .

i made $18000 annualy, half of that , would be only $9000, wat kind of car can i get with $9000
im not even considering american car , I had a saturn, that thing just break left and right ..
Would a $16060 Civic EX not too crazy for me ?

 

[QTPie]

<<my monthly would be rougly around $351 + interest + tax
so let's just say 400 bucks>>

You are so optimistic, man. In my previous post, I mentioned:

Don't forget that you have to pay for

1. the license/registration fee (~250/yr ?),
2. insurance which should be about $120/mon
3. gas, too ($50/month?).
4. Basic maintanace (oil change, brakes, etc)

All of these would cost you an additional amount of $300/month

TOTALLY, YOU WOULD PAY AT LEAST $700/month FOR 5 YEARS.

Will you hold your job that long? You must have some extra $$$ for those rainy days when you're out of job, too.

One more thing, if they say the car is 20.7K, you would expect it should be 23K out of the door. They'll try to hook you in whole bunch of options and warranties.

Get real, man. Get an used Integra, or Legend around $7,000. They're reliable and you can afford it.

 

[Lucky]

get a used car.

 

[Platinum]

Don't forget that you have to pay for

1. the license/registration fee (~250/yr ?),


Wow, which state do you live in? I only pay ~35-40 bucks a year