Girlfriend went out and agreed to 12.99% auto loan.

[StartingOver10]

Yep, Chase financed mine too via the dealership.

Normally I go to a CU but with a recent bk (when I purchased the last one) I went though the dealership.

[GooseGirl]

It could be worse... my dad loves to tell the story about when I bought my first car. He says I'm the only person he knows that paid MORE than sticker price for a car. I don't even remember what the interest rate was. I'm sure it was terrible. Oh yeah, 20 years ago I was completely young and dumb. Luckily my dad made me utilize a clause in the contract and we took it back the next day. He dealt with the car dealership and it wasn't pretty. But, for the 24 hours I owned it... i loved that little honda

20 years later though.... sales people hate dealing with me because I stick to my guns.

[BungalowMo]

Well...I'm just gonna call it like I see it. 

She went and got this loan...on her own (maybe momma was there, maybe not) she decided it was a good enough deal for her and it's all in her name.  She didn't say:  "Hey, come with me to check this out...let me know what you think".  Since she didn't ask your opinion, I'd keep to myself & stay out of it.

Next year, see how you still feel about her.  Has she maintained the payments?  Has she gotten behind?  Are you two still together?

Moral of the story...relationships come & go.  Bad credit sticks around for at least 7 years.

What you may want to sign for today, might be something regrettable next year.

Just sayin.  (I wouldn't cosign for anyone unless it was a spouse)

**One more thing...Why on Earth would someone making $800/Mo want an $11k car?? 

Last December some lady totalled my '95 318 BMW Vert.  I replaced it...with a '97 318 sedan.  Cost $2500.  I take home $84k per year & wouldn't want an $11k vehicle payment.  Hate to say it, but that young lady is in way over her head.  Unless she lives at home or with you for free.

[vbulljon]

More detail:

She did ask for my opinion, she actually wanted me to go. But I work overnights and I needed to get to sleep. she already had 4-5 of her other family members going with her. I MADE her promise me that she would call me before she signs or agrees to anything. She said ok, but the problem is that her older sister and mother are a **bleep**ing nut job and have ruined thier relationship with me.

I thought that they would have some sort of common sense(her sister and mother), but they didnt. They have dealt with car places before so i mistakenly allowed that to cloud my judment and allow them to make good choices.

Heres another scoop, I asked her to go see one of my good freinds, that owes me a favor. They went and her older sister turned down a GOOD offer my friend made to them.

$7,000 car

%3.99 APR

48 months

65k miles

Powertrain

Her sister straight out and said no and wanted them to go see "her friend".

Then they walked away with that deal in my OP.

I am highly pissed as you all can see and my gf wont stop apologizing to me over this, she honestly doesnt know better, she listend to her mother and sister for the advice and called me after they made the deal. She did orginally want me to go but I declined and needed to go to sleep and told her to call me before, didnt work out that way.

We will eat our losses and re-fianance in a year or so.

But I have disowned her sister, and pretty upset with her mother. OH, and btw. I was already asked to help with the car payment yesterday. I bit my tounge and didnt bother to chew anyone out.

[StartingOver10]

Wow...if she is starting to ask for car payment help already then you know it was the wrong purchase

She is going to go out and get a second job to pay for that vehicle or figure out a way to afford the payment. Turning down a 3.99% for a 12.99% makes no sense at all. SMH

[SwiftTone]

 

$290.90 x 62 months is $18,018.44 in total payments. Still high though.

and if she can get 3.99% at one place, another place should be able to match it.

lastly, if she is asking for help on payment, she is way over her head.

[vbulljon]

I know the math, but the paper that has our agreement on it says total pay pack is 22k and some change.

She has help from the family, but I just felt the entire thing was a pissing contest "come to my friend he will help you out, no come to mine". I was just trying to save her hassle by going to my guy, hes honest and wont dime you to death. 

OH, I found out today that they didnt give her floor mats, I am so tempted to call them and demand her those dam floor mats for free.

[Remember0]

Then there's definitely something wrong. I'd make sure there isn't any kind of balloon payment at the end of the loan term. But Cap One pretty much doesn't do balloon payments, so I'm not sure what's up exactly.

We're talking about a nearly 4k difference here -- so look into it. You sure the loan terms are $290.90 for 62 months? Monthly payment and terms should be clearly listed on the Truth in Lending form (the one with the big boxes and the total loan payback amount).

I'm not too concerned about the APR to be honest. In six months, she can refi to a much lower rate (look at DCU or rate genius after 6 months). Also in the meantime, have her apply for 2-3 credit cards (even if secured) so she builds up more of a credit history.

Also by the way, I wouldn't be helping with that car payment. Remember she's only a GF. You guys could break up, whatever and then you are up a creek without any way to recover the payments you've helped with. If you do decide to "help" you ought to consider the money a gift even if your GF promises to "pay you back." It's pretty clear that if she's making less than $800/month after taxes, it'll be hard for her to just meet current obligations let alone pay you back. I'm happy you didn't go to buy the car-- who knows they might have roped you into cosigning for a lower rate.

Also by the way, was that loan cosigned by someone? If not, it's highly likely (though not 100%) the income figure was fudged to get that COAF approval (either by the applicant or the dealership when submitting the application).

[vbulljon]

It was co-signed by her mother. Which has a avg credit score accross the board. One BK that fell off a year ago. 

Thanks for your input.

Also, we have been togther for about 4 years, live togehter for about 2 years. But I do understand what you are saying, still anything could happen between us. 

I will only help if I can afford too.

But I will look at the Truth part and get back in touch with you. 

Thanks