Credit Card Center Advertiser Disclosure†
07-08-2013 07:48 PM
I want to purchase a used car 2010 listing around 15k KBB 13k
I can pay cash I want to establish auto loan history for the future.
How do Used Car Loans work? typically higher interest rates lower terms but
will bank give me cash or a check i can give to the guy selling it (Private Party only)
19 year old
employed for 3 years at major telecommunications company fortune 500
701 TU Fico ( bank only pulls TU)
1.5 years of credit history ( 7 revolving CCs 2 student loans)
07-09-2013 06:13 AM
we purchased a certified pre-owned for 3.9% interest. According to Ford Dealer, they're interested in CAN YOU AFFORD THE CAR? No repo's, no bk......shouldn't be a problem for you there.
07-09-2013 11:55 PM
Generally, if you don't need a loan. It is very easy to get a loan.
You shouldn't have too much trouble getting a loan. Just be willing to put a lot down. Don't take a high rate. It is not worth paying the interest just to build the history. You could do a cash secured loan at 2% and have a similiar effect.
You will also still get positive history if you pay the auto loan of early. Say the best they can do is 5% interest. Take the loan and pay off 90% of the loan soon after. Then make small payments. It will still show good history and you will pay less interest.
07-11-2013 11:20 AM
Many financial institutions will loan you money against a savings or CD account you have with them. If you put $2000 in savings and borrow $2000 then they will 'freeze" your savings as collateral and release it as the loan is paid back. Often they will do this at a very low premium to the deposit interest paid. If they are paying 1% on the savings account the loan may only be at 3% interest. This is just an example and you would need to check with your financial institution to see. A lot of credit unions offer this type of loan. It is good for building installment loan history on your credit report.
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.
* For complete information, see the terms and conditions on the credit card issuer’s website. Once you click apply for this card, you will be directed to the issuer’s website where you may review the terms and conditions of the card before applying. While myFICO always strives to present the most accurate information, we show a summary to help you choose a product, not the full legal terms - and before applying you should understand the full terms of products as stated by the issuer itself.
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.