So at this point, I'm driving a car my dad got me 6 months ago, and it ran well for four months, and in the last two months I've had to have it towed three times. This entire week after the last tow I've been hitching rides from coworkers and it's becoming a real bother for all of us. I want to look for a newish car with less than 40K miles on it. I've got 2K for a down payment, and am willing to go up to a 10K vehicle price, so an 8K Loan. (plus whatever licensing fees and taxes and other junk get thrown in).
I am leaving the bank I work for here in a week to work for another company, so I will loose my .5% interest rate reduction. I don't have experience with loans, I got my first CC in August of 2013, and have no installment history/experience other than what I've heard my coworkers talk about (I'm not in an position that does loans). I know this is a very general question, but what pointers as a whole do you guys have for the loan process and for the car search?
I've been looking at various big cities around the country, as cars are absurdly expensive in my area. It would be cheaper to drive 400 miles with a friend, pay their gas, and buy a car in another city xD.
I like the Ford Fiesta a lot, and several dealers have 2012s for sale, would it be better to try to finance through a dealer, or should I work to secure my own financing?
P.S. Anyone know how reliable those are? carcomplaints.com gives the 2012 good reviews, but the 2011 not so good.
@Startome wrote:So at this point, I'm driving a car my dad got me 6 months ago, and it ran well for four months, and in the last two months I've had to have it towed three times. This entire week after the last tow I've been hitching rides from coworkers and it's becoming a real bother for all of us. I want to look for a newish car with less than 40K miles on it. I've got 2K for a down payment, and am willing to go up to a 10K vehicle price, so an 8K Loan. (plus whatever licensing fees and taxes and other junk get thrown in).
I am leaving the bank I work for here in a week to work for another company, so I will loose my .5% interest rate reduction. I don't have experience with loans, I got my first CC in August of 2013, and have no installment history/experience other than what I've heard my coworkers talk about (I'm not in an position that does loans). I know this is a very general question, but what pointers as a whole do you guys have for the loan process and for the car search?
I've been looking at various big cities around the country, as cars are absurdly expensive in my area. It would be cheaper to drive 400 miles with a friend, pay their gas, and buy a car in another city xD.
I like the Ford Fiesta a lot, and several dealers have 2012s for sale, would it be better to try to finance through a dealer, or should I work to secure my own financing?
P.S. Anyone know how reliable those are? carcomplaints.com gives the 2012 good reviews, but the 2011 not so good.
Seeing as you have little to no credit history. You're going to need a co-signer. There is no way around it.
When I had purchased my car (Ford Focus), I had only 2 months of credit to my name. That was through a store card. 6 HP's and nada. Needed a co-signer.
As for the Ford Fiesta, I suggest Googling "Ford Fiesta DCT issues" or "Ford Focus DCT issues". Unless you're going with a Fiesta with a manual transmission, I'd stay away because you might get a lemon. Especially with a DCT transmission.
Also have to look at depreciation as well. I bought my Focus for $16.5K, in it's condition and miles. It's worth $12K. Not bad. But I'm glad I bought it used. I certinaly feel bad for anyone who bought it new at $20-25K.
As for who to get the loan through, a CU would be great. But it all depends. I was able to secure a 2.3% rate with co-signer through a bank. Didn't even look at a CU.
Dang, I don't think I have anyone to sign with me is the problem xD
Though in two months I'll have a score, would that amount to enough to get me a small loan do you think?
I'm not sure how to drive a manual, but I want to learn terribly, and an automatic costs noticeably more. Maybe I'm better off just grabbing a manual both for reliability reasons, fuel economy, and so I can learn.
The one I saw is about 10-11K with 25K miles, not too bad, but I'm sure there will be back-end fees. lol
And wow, that's a good rate. I might have to talk to my dad about if his DTI has improved yet, I know with the business starting his DTI was pushing the limits. He also has a CU he's been at for 15+ years. That combined with how generous CUs usually are might set me up well if I can make it work.
@Startome wrote:Dang, I don't think I have anyone to sign with me is the problem xD
Though in two months I'll have a score, would that amount to enough to get me a small loan do you think?
I'm not sure how to drive a manual, but I want to learn terribly, and an automatic costs noticeably more. Maybe I'm better off just grabbing a manual both for reliability reasons, fuel economy, and so I can learn.
The one I saw is about 10-11K with 25K miles, not too bad, but I'm sure there will be back-end fees. lol
And wow, that's a good rate. I might have to talk to my dad about if his DTI has improved yet, I know with the business starting his DTI was pushing the limits. He also has a CU he's been at for 15+ years. That combined with how generous CUs usually are might set me up well if I can make it work.
A bank will not touch you with little to no credit to your name. Even CC companies won't touch you until you hit around 6 months. I
A manual is a great place to learn, but you asked about the Fiesta. I just wanted to let you know about the "hidden issues" with DCT "auto" transmission.
Back end fees? You mean tax, title and license? If so, here is mine. I got the dealer down from $19K to $16.5K. Now after tax and title it was more like $18.5K.
May I ask how old you are? You sound young. If that's the case, I would look at a good beater car that you can find cheap. Toyota Corolla or Camry which are really cheap and quite reliable. I know you already have a beater, but it'll surely be better than buying a new car while also paying new car insurance rates too.
Ask me how I know... heh... 
@H4LO wrote:
A bank will not touch you with little to no credit to your name. Even CC companies won't touch you until you hit around 6 months. I
A manual is a great place to learn, but you asked about the Fiesta. I just wanted to let you know about the "hidden issues" with DCT "auto" transmission.
Back end fees? You mean tax, title and license? If so, here is mine. I got the dealer down from $19K to $16.5K. Now after tax and title it was more like $18.5K.
May I ask how old you are? You sound young. If that's the case, I would look at a good beater car that you can find cheap. Toyota Corolla or Camry which are really cheap and quite reliable. I know you already have a beater, but it'll surely be better than buying a new car while also paying new car insurance rates too.
Ask me how I know... heh...
*Goes and looks up DCT before replying in full*
.......
Done.
That's kinda scary, and you have the same one in your focus?
Manual really seems like the best way to go then if I get a Fiesta, though honestly I'm looking for about any reliable car with low miles i can afford.
And that is true, I'm 21 so still quite young. I keep having to hitch rides to and from work, and missing the odd jobs I do to bring in extra cash cause my car is down. Honestly I feel like i just can't afford to have a car with any downtime, as I then have to pay to fix it, which usually costs as much as two months of car payments, tow fees, as well as miss work if I can't get a ride, plus missing my odd jobs. It seems like it would be cheaper to pay a regular car payment xD
@Startome wrote:
@H4LO wrote:A bank will not touch you with little to no credit to your name. Even CC companies won't touch you until you hit around 6 months. I
A manual is a great place to learn, but you asked about the Fiesta. I just wanted to let you know about the "hidden issues" with DCT "auto" transmission.
Back end fees? You mean tax, title and license? If so, here is mine. I got the dealer down from $19K to $16.5K. Now after tax and title it was more like $18.5K.
May I ask how old you are? You sound young. If that's the case, I would look at a good beater car that you can find cheap. Toyota Corolla or Camry which are really cheap and quite reliable. I know you already have a beater, but it'll surely be better than buying a new car while also paying new car insurance rates too.
Ask me how I know... heh...
*Goes and looks up DCT before replying in full*
.......
Done.
That's kinda scary, and you have the same one in your focus?
Manual really seems like the best way to go then if I get a Fiesta, though honestly I'm looking for about any reliable car with low miles i can afford.
And that is true, I'm 21 so still quite young. I keep having to hitch rides to and from work, and missing the odd jobs I do to bring in extra cash cause my car is down. Honestly I feel like i just can't afford to have a car with any downtime, as I then have to pay to fix it, which usually costs as much as two months of car payments, tow fees, as well as miss work if I can't get a ride, plus missing my odd jobs. It seems like it would be cheaper to pay a regular car payment xD
Mine does indeed have the DCT. But I'm *knock on wood* lucky that I have a good one. But there is users that report a very different expeirence with the DCT transmission.
A manual is the best way to go with the Fiesta and Focus with knowing about the DCT issues.
When I bought my car. I was 21 too, with two months credit to my name. So I know how it is.
I'd look into asking a family member if they'd be willing to co-sign. Talk to them about it. You can always refinance later down the road and take them off the loan.
What you want to do is just piggy back on their credit to be able to establish your own.
All the credit cards and scores I have in my signature are after less than a year of just building credit. It takes work. But I'm sure you'll be able to get it done.
Do your research and don't let the first car you see be the one your set on. Also, don't forget to check for flaws to bring the price down. KBB the value and see what you can get. Carfax and AutoCheck the car too, make sure nothing was wrong with it.
Feel free to PM me with any other questions, as I don't want to gunk up your thread 
Hopefully others can chime in as well.
@H4LO wrote:Mine does indeed have the DCT. But I'm *knock on wood* lucky that I have a good one. But there is users that report a very different expeirence with the DCT transmission.
A manual is the best way to go with the Fiesta and Focus with knowing about the DCT issues.
When I bought my car. I was 21 too, with two months credit to my name. So I know how it is.
I'd look into asking a family member if they'd be willing to co-sign. Talk to them about it. You can always refinance later down the road and take them off the loan.
What you want to do is just piggy back on their credit to be able to establish your own.
All the credit cards and scores I have in my signature are after less than a year of just building credit. It takes work. But I'm sure you'll be able to get it done.
Do your research and don't let the first car you see be the one your set on. Also, don't forget to check for flaws to bring the price down. KBB the value and see what you can get. Carfax and AutoCheck the car too, make sure nothing was wrong with it.
Feel free to PM me with any other questions, as I don't want to gunk up your thread
Hopefully others can chime in as well.
I hope things stay that way, and this makes me think to investigate all cars I consider for fairly common issues like the DCT =)
I think with my dad he would without second thought, as he sees how I manage money, and knows I won't tackle more than I can pay if it's my choice, I just gotta ask him where his DTI is, and my mom, idk, I'll have to talk to her lol, that's a long story xD
And that's also all good advice, and thank you for the offer, I see myself taking you up on that!