First time buyer

[alexl22]

Ok so I started looking for my first car( purchased by me), and I saw on my CU website that I could get pre-approved for a shopper loan which the rate would be good for 90 and when I find the car I want to buy they will disperse the loan. Now I am getting a used car and one under 10k as this will be my first big purchase and I don't want to overwhelm myself. So I applied for the loan(10k as I don't want to go higher) and was approved with a rate of 4.99%. Now a little back story, I started repairing my credit back in May, transunion is the CRA that my CU uses and luckily one of my highest at  high 600's to low 700. Is this a good rate? I know lenders can use an Auto Enhanced score which I have no access too. Just wanted some input. Thanks!

[StartingOver10]

I think that is a great rate on a used vehicle considering you are financing an auto for the very first time. Congrats!

Part of what determines the rate is not only your credit history but the collateral too (age of vehicle, milage, value).

[HoldingOntoHope]

I agree. Under 5% on a used car for a first time buyer is great. Once you find the vehicle you can always see if the dealer has a connection to beat that rate, but I would shop with confidence knowing that was in my pocket for financing.

[alexl22]

Thanks guy! I wasnt really sure what to expect being a first time buyer and having just went through cleaing up my credit( still have a charge off 1 unpaid collection from that charge off, one paid collection, and a bunch of lates from a personal loan starting in Nov 2007). Time to get out there and do some test drives!

[maiden_girl]

You're doing fine. Your rate is going to be a little bit higher on a used car but I really do believe this is the best rate you are going to find for what you're getting!!

[alexl22]

So I found the Vehicle and got the loan approved, signed the papers yesterday. The woman asked if I would like to be enrolled in auto draft out of my checking account I had with them and I said of course, it then lowered my rate to 3.89% so pretty happy about that! Go to pick up the car tomorrow!

[Kratos-TM]

I've been seeing this autodraft trick work several times on this forum. It must be a growing thing. I'm about to buy a big expensive Mercedes soon and hey....it can't hurt to try it at the paper signing....lol.

Congrats on such a great rate with your situation!