topic Re: Need advise on getting another car loan in Mortgage Loans

Need advise on getting another car loan

glendazamot — Wed, 31 Oct 2012 22:56:16 GMT

Long story short, I just wrecked my car and it is total loss. My insurance will not pay for it because I only had liability. So, I need a car, I was hoping to apply for a USDA loan in March. The only debt that I have on my credit is a car loan (my sister's car), which she has been paying ontime every month and only owe 4,000 on it and a credit car that I owe 600 on it (25 min monthly payment but I always pay more) That car loan will be paid off in Feb of this upcoming year. Is getting a car loan going to affect me getting that mortgage loan in March? :smileyindifferent:

Re: Need advise on getting another car loan

frugalQ — Fri, 02 Nov 2012 12:10:11 GMT

Funny, i posted this reply on another thread. Lol

I had to get a new car in the middle of my FHA streamline refinance. I discussed it with my LO and she told me I would be fine as long as it didn't mess up my DTI. When UW did an updated CR, they asked me to provide a LOE stating why I purchased it and asked me to provide the loan docs proving my note was the same amount listed on CR. I provided the info, and we closed.

YMMV, of course. So, I recommend you speak to a mortgage professional before you purchase your car.

Re: Need advise on getting another car loan

glendazamot — Fri, 02 Nov 2012 16:13:36 GMT

Ok, good info. I will definetly ask my LO

Re: Need advise on getting another car loan

webhopper — Sat, 03 Nov 2012 18:18:33 GMT

Whatever you do; keep payments low... get the minimum car you can stand so that your DTI isn't screwed. If there are less than 10 payments remaining on your sisters car then the payment shouldn't affect your DTI.