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Established Member
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Registered: ‎04-15-2014
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Re: Auto loan what to do? Chances of Approval?

Thank you, Ill give DCU a shot first. I have zero rent because I live with my GF she pays the rent. My car payment now is 434 at 9% and im doing just fine ive had the car over a year now.

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Re: Auto loan what to do? Chances of Approval?


Insaniak wrote:

Thank you, Ill give DCU a shot first. I have zero rent because I live with my GF she pays the rent. My car payment now is 434 at 9% and im doing just fine ive had the car over a year now.


Hopefully this won't happen to you but have you thought about what would happen if you break up? If your GF loses her job and needs your help? Something like living expenses should be addressed in considering debt unless you own your property free and clear. 
Seven years is a long time to assume your rent will be paid. I would suggest factoring the possibility of rent into the equation. 
Established Member
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Registered: ‎04-15-2014
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Re: Auto loan what to do? Chances of Approval?

I agree and see where your coming from payment would be about the same as I have now. OR I could refi current car and prob drop payment by about $75 think that is the better route?
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Re: Auto loan what to do? Chances of Approval?


Insaniak wrote:
I agree and see where your coming from payment would be about the same as I have now. OR I could refi current car and prob drop payment by about $75 think that is the better route?

Instead of refinancing right now, why don't you put together a plan to pay off your debt (the car) and reduce utilization on your cards and increase your savings. This way you will be in a better position to buy a vehicle because many of your inqs will have aged off and you can show positive equity in the current vehicle + savings. Look up snowball method on DaveRamsey.com  

 

Even though you don't pay rent, the lender is going to impute a rent for you because no one lives rent free forever.

Established Member
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Re: Auto loan what to do? Chances of Approval?

I mean I don't really owe much I have 1 card with $200 and another with $300 then my car at 23900, $434 my CU is 16%. I do have savings with about 5k in it I'm leaving that alone.
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Re: Auto loan what to do? Chances of Approval?

[ Edited ]

I disagree with the don't refi thing. Don't listen to Ramsey haha...I think the guys a nut. Sure 1% of his advice is good, but imo, 99% is bad. Anyways I don't want to start an argument.

 

IMO do try to refi with DCU or someone. Because it'll lower your APR. If you were going to pay it down, that's fine. The lower interest helps you even more. So I think you should refi the old loan and work on paying it down if you don't buy a new car.

 

If you are refi'ing, you will have to come up with the difference between NADA Retail and amount you currently owe, if you owe more than NADA retail. Well worth it to go from 16% to probably <5% with your 700+ FICO.

As I am very busy with work these days, I am participating in the forums less than I would like to. Please feel free to email me directly remembermyfico //at// gmail /dot/ com if you would like me to respond to a specific question you have.
Established Member
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Registered: ‎04-15-2014
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Re: Auto loan what to do? Chances of Approval?

I have a very thin file would that matter?
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