Auto Loans

[tommy999]

Hello new here and loving the site!

question  Im looking at getting a 2010-2011 Escalade for around 50k or say 54k after taxes & fees

My credit score is 702  I might be able to get it up to 712 by next month.  All i have negative on it is a BK from 8 years ago on it.

I make 200k per year.  I will put down $9,500 and bring a trade in of 7k  How hard will it be for me to get a 38k loan?

longest account  on file is 12 years old, average is 4 years, nothing negative now except my 8 year old BK,  I just paid off all CC so balnces will all show $0 by next month. Last previus auto loan was 10 years ago, never missed a payment, No morgage or student loans.

Also I am self employed so I dont have W2 to bring in, but can make myself paystubs if that helps?  Whats my best bet at getting high amount loan?  dealer be best, or credit union, or should i just start applying online next  month?

[skyisthelimit]

well if what I read is correct (200k) why not save up just 6 months put 40k down and finance 10k?  Not that long to be waiting.

[skyisthelimit]

Also your easily get financing through any dealership, even for a brand new one as long as you can prove your income.

[tommy999]

only want to put down $9500 because I'm making payments to the IRS for past taxes. If I buy something 10k or more it'll be reported and irs will want lump sum instead of a payment plan.

I'm putting down around 30%.  What forms of income verification do they require?  calling my employer? bank statements?  pay stubs? Do they always need income verification with credit scores over 700?

[pizzadude]

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tommy999 wrote:

only want to put down $9500 because I'm making payments to the IRS for past taxes. If I buy something 10k or more it'll be reported and irs will want lump sum instead of a payment plan.

I'm putting down around 30%.  What forms of income verification do they require?  calling my employer? bank statements?  pay stubs? Do they always need income verification with credit scores over 700?

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I'd start with a local CU or bank, talk with their loan officer and they'll give you a ballpark idea of terms and requirements for income verificaiton.    I suspect that at a minimum you'll have to show paystubs, possibly other stuff since you are self~employed.  

Also this would be a great time to shop around for insurance quotes.   It will be an extremely expensive truck to insure.....

[marty56]

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tommy999 wrote:

only want to put down $9500 because I'm making payments to the IRS for past taxes.

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I am suprised you don't have a tax lien on your CR.

Many CU's post loan rate info and they include the maximum amount of the loan for the rate so that may help you as a guide.

[tommy999]

thanks for the advice Ill look at some CU's    I dont have a tax lein because I contacted the IRS FIRST, instead of them putting me through the system.   I got the first few letters, opps we didn't get your tax return for blank year, than the matter is urgent that we speak with you, Was about 1 year after the first letter that I contacted them back.  The IRS is very willing to work with you if you let them.  So they told me first see someone and file your taxes without paying, step 2 contact them in a few months to set up a payment arrangement.  Thats what I did and worked out good.  I keep up with all payments.  It was like dealing with a CC company..... but one that you know will not go away. The IRS is a kinder gentler one than it used to be.

[webhopper]

You.sound like you're on top of things tommy. Many times.its harder to get financing being self employed. You may need to bring in any 1099s or your tax returns. I agree the financial institution you bank with will be most likely to put you in a good auto loan. Fyi; Irs interest rates are high; you may save money by paying them off first or taking out a lower interest personal loan so that you can get them out of your coolaide.

[BigDaddy18]

I would go with a CU and get a check cut after you do your research then just walk into the dealer and say this is what I want and here is what I'm willing to pay for it!  Take it or leave it.

That's how I buy vehicles anyway and if you do your research a head of time then there should be no problems!!

[webhopper]

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BigDaddy18 wrote:

I would go with a CU and get a check cut after you do your research then just walk into the dealer and say this is what I want and here is what I'm willing to pay for it!  Take it or leave it.

That's how I buy vehicles anyway and if you do your research a head of time then there should be no problems!!

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Next vehicle I purchase, I will do that... Probably going to go with NFCU as they were very easy dealing with on my Auto Refinance, and they were able to get me rate of 4.09% on a 4 yr old vehicle. Previous rate was 7.5%