10-11-2012 06:35 AM - edited 10-11-2012 06:54 AM
I'm considering purchasing a CPO 2012 Chevy Malibu with 28k miles for $15,600 OTD plus financing. I would trade in a 2003 Ford Excursion in fair shape with 152k miles ( I was offered a trade value of $4,000 but I would accept $5,000) and I also have $2,000 to put down. I make $27k year + a PT job I just started which is another $400 per month. I don't pay rent, I live with my grandfather & the house is owned by my parents.
Ideally I would like the car purchase to go like this which I think is fair. The dealer & I are off by $1600 but I didn't try to negotiate since I had to go to work.
Purchase price $15,000
Cash down -$2,000
Total financed $8,000 over 48 months.
The last time I pulled my Transunion report here was August 2013 MyFico score was 679 with a high util of %54, its now much lower. My current Walmart given Fico score is 669.My credit history is as followed.
Company Balance Status
Charge Account Capital One / Kawasaki $0/10,001 paying as agreed (7 months old)
Charge Account Gecrb/Wal-Mart $452/3100 paying as agreed (1+ year old)
Credit Card Wells Fargo Card Service $0/1100 paying as agreed (2.5yrs old)
Credit Card Capital One Bank USA Na $0/0 Payment after charge off June/2008
Credit Card Gecrb/Paypalsmartconn 0/600 paying as agreed (4 months old)
Credit Card Gecrb/AmazonCC $225/900 paying as agreed (4months old)
Other Hsbc Retail Services Loan $0 Paid (6yrs old, paid 2yrs ago.)
Your oldest account was opened
6 Years, 1 Month ago
Average age of your accounts
Also reported to Experian is a Collection account in the amount of $4,000 that is 3yrs old. This creditor is a sleeping dog & I dont wish to awake it unless its to settle the origial amount of $2000.
Is there anything I should do before applying for fiancing or would it be best to wait & for another 6 months or ?? I dont need need the car, my truck runs fine but is a gas hog. I would not go through with the purchase if i had to pay more than %10 interest as it would no longer be economical.
Any advice is Welcome
10-11-2012 12:56 PM
I got a impatient & applied for the auto loan with 3 lenders, I was approved & offered the following terms for $8000. They all pulled Experian since they all mentioned the collection account.
Bank of America 4.42% @ 48 months: contingent on me paying/ settling the collection or they would not do business with me.
WellsFargo 9.5% @ 48 months or 9.7% @ 60 months.
Arizona Federal Credit union 4.42% @ 48 months. I'm shocked & happy I'm getting a decent rate, at least I think its decent.
Now I have what I need to negotiate with the dealer, hopefully we can close this $1600 gap so I can get a new car.
10-11-2012 01:17 PM
Absolutely go with the CU offer. They generally are more forgiving and offer better interest rates. Good luck on your purchase.
10-18-2012 11:44 AM - edited 10-18-2012 12:02 PM
Okay so I purchased a Certified Pre-Owned 2012 Chevy Malibu with 28k miles for $15,6993 OTD I'm financing $8,993 @ 4.24% for 48 months through Arizona Federal Credit Union. The car I originally wanted was sold so I moved from the LS to the LT & I only ended up getting them to give $4700 for my trade. My stated credit scores were EXP 669 & Trans 719. The dealer offered me a 3.1% interest rate through another company if I bought a $2400 extended warranty, I passed on that offer even after he lowered it to $1400. I'm already getting decent warranty coverage thru GM about 3yrs 20k bumper to bumper & 4yrs 70k powertrain. It wasn't the most positive experience (salesman) & but overall its the best deal I could find.
Did I do ok on the interest rate? I think i did considering my EX score.
10-19-2012 05:39 PM
Forums posts are not provided or commissioned by FICO. Forums posts have not been reviewed, approved or otherwise endorsed by FICO. It is not FICO's responsibility to ensure all posts and/or questions are answered.Advertiser Disclosure: The listings that appear on myFICO are from companies from which myFICO receives compensation, which may impact how and where products appear on myFICO (including, for example, the order in which they appear). myFICO does not review or include all companies or all available products.
IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more
FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.