Auto Loans

[IwantTHATwrangler]

Hi! I am looking to purchase a used Jeep in a few months. I am self-employed and make $1600-1800 a month. My credit score is 614 and hopefully will rise to 620 by October when I hopefully will qualify for a loan.

When I was 18 I was dumb and got evicted from an apartment (2,000 dollar collection) and Opened/ maxed out 2 credit cards: bank of america $1,042 and a collection agency now that I owe $982 for. HOWEVER, I have been paying my student loans on time for the past year and havent touched or been reported on any of the defaulted accounts for 3+ years. MY current debt to income ratio is "good"

SO...My question is, what are my chances of getting a 15,000 dollar car loan with a 620 score and my credit report as is. Would I be better off making payments on the account before I go for the loan OR should I let them be and move on with my life and *hopefully* get approved for the loan in October. Have any of you done more with less?!

[DaveSignal]

IME, the auto finance people at the dealership will find a bank to approve you no matter what your credit is.  Your interest rates will be awful though.

[pizzadude]

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DaveSignal wrote:

IME, the auto finance people at the dealership will find a bank to approve you no matter what your credit is.  Your interest rates will be awful though.

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+1.  A collection is not the end of the world, but it will ultimately come down to your FICO score ( possibly auto enhanced ), how much you can put down, whether you have previous auto loans,etc...