Getting financing

[2011beginnings]

Who gives out the best rates for buying a used car with credit scores like mine?

Is it okay to apply for a loan even if the bank is not in my area (i.e. PenFed)?

I thought about my finances and I think I will be best to get a car no more than 17-18000 with a down payment of 2000.

I have 7 credit cards with a total credit line of $32,000 but I only have a balance total of $400.00.  I have student loans but my monthly payments on them are only $106 with a total of around 15,000.

My income is around 30,000.

How much of a loan could I qualify for with a 60 month finance period?

My credit score is 721 for TU, 763 for EX and 735 for EQ.  I have heard of Auto enhanced scores.  Will my score increase much with this?

Any help or guidance is appreciated.  This will be my first auto loan finance. 

[hardworkpaysoff]

Try DCU.

I'm getting an auto loan with them, and my FICO pulled at 726. 1.99%!

[Hoya08]

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@2011beginnings wrote:

Is it okay to apply for a loan even if the bank is not in my area (i.e. PenFed)?

I thought about my finances and I think I will be best to get a car no more than 17-18000 with a down payment of 2000.

I have ... credit cards with ...  a balance total of $400.00... student loans ... monthly payments ... $106...

My income is around 30,000.

How much of a loan could I qualify for with a 60 month finance period?

My credit score is 721 for TU, 763 for EX and 735 for EQ.  I have heard of Auto enhanced scores.  Will my score increase much with this?

Any help or guidance is appreciated.  This will be my first auto loan finance. 

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With your Credit Score, you should qualify for PenFED rates.

If you are living rent free, you shouldn't' have any issues obtaining a $16,000 loan at the lowest rates, offered at any financial institution.  Based on the numbers you provided above, with a $16,000 loan at 1.99%, your DTI is 16%.  However, if you have a monthly "rent" payment of $600 per month, your DTI jumps to 40%, which may negatively affect the max amount a bank may extend to you; to mitigate this, you'll may have to provide a larger down payment than anticipated.

[2011beginnings]

The home I live in is paid for and I have no rent or mortgage payments.

Is it okay applying at a place where there aren't any physical locations near me? The closes PenFed is a few hours away and the closes DCU is no where near me. I live in NC. Is that okay?

Can I join the credit union and apply for financing right after?

Should I apply for financing even if I haven't found the exact car I want yet? I'm looking for a 2010-2012 Honda Accord with black exterior and black interior.

[2011beginnings]

UPDATE: I GOT APPROVED FOR PENFED FINANCING AT A RATE OF 1.74%!!!!!!!!!!!!!!!!!!!

First auto loan approval and I am estatic.  60 months with gap insurance and the extended warranty.  What a peace of mind this is.

Now it is time to shop!

[Hoya08]

Congrats!  As you already found out, yes, you can apply to a bank/CU online even though the nearest branch office is hours from you

[2011beginnings]

Yes! Everything worked out. Now I gotta find the car!