Dazed and Confused

[alwayssunday]

I began my credit repair journey last year and am already up by 100 points.  I still have some issues on my credit report which I am currently working on.  My grand plan is to repair my credit enough to purchase a house.  I have been employed with the same employer for 11 years and I make a nice income. Other than a Student loan and some collections, I have no other debt.  

My current automobile has taken a serious dump.  I have looked at some 8 year old cars with very low miles and have applied for financing.  I have been approved by United Financing Company for a loan of 5K.  The car is KBB'd at 7500.  What should i do?  A repair on my car would be about 1K to get it back on the road.  Paid for bad gas mileage. 

Thanks

A

[Repo-ed]

Well, if simply putting in 1k in repairs will buy 2 years of the car running again, I say go with that.  Take the rest of the money and pay back the loan.

Otherwise, you need to take in the cost of the loan in full, plus the cost of gas and any changes to insurance, with the purchase of a new(used) car.

[FrugalRican]

Is this the only place you looked for financing?

[alwayssunday]

I was very specific with the Sales Associate.  I only wanted minimum of 2 inquiries, thus fearing point loss.

[FrugalRican]

If it's for a car loan, you could have 40 inquiries and as long as they are all within a 30 day window and they are all classified as AUTO, they will just count as 1.

[alwayssunday]

Thank you Repo-ed.  This has been my deep thought also.