Need help to purchase a car with credit of 570.

[Anonymous]

Hello, I have a problem in regards to trying to purchase a used vehicle with $2000 down and a credit score of 570. I take home about $3000 a month and share rent with family members at $500 a month including utilities etc. My younger brother has a credit score of 670, and his income net is only $1500 a month with 10 months on the job. How should we go about purchasing a car between the two of us? We are.both 1st time buyers. Any help would be greatly appreciated. Thanks.

[Creditaddict]

Really if he pulls a 670 in dealership he probably could get loan pretty easy... although income could be issue....

I would start with Capital One.. put him as applicant 1 and you as 2.

Then take that approval (hopefully) to dealership and find the car you want and let them try to beat the rate you are being offered with Capital One.

If you have  a CarMax around you even better... they get approvals in very low scores and it's instant!!!

the big dealerships if you have bad credit and you don't come to the table KNOWING you can get approved you are very likely to see a long hard process that will leave you feeling robbed even leaving in your new car!

[DaveSignal]

or just find a car thats around $2000, put your $2000 down, and drive home.

[Revelate]

Financing at sub 600 is pretty much 30-33% down in a lot of cases, sometimes as low as 20% depending on lender (CU's for example might relax the DP requirements).  As a result you're shopping in the 6-10K range tops... though that buys plenty of used car.

Auto loans are pretty easy to get approved for if you have enough down payment, the rate might not be stellar but you can refinance later.  In your case I'd suggest getting the auto loan rather than just buying a 2K beater.

[Anonymous]

Thanks for the Info. I will look into it. We're still shopping for a car, and having information is a big plus. Thanks again.

[Anonymous]

Thanks for your help.

[Anonymous]

Try Ally Financial. you can walk in dealership with preapproval. If terms of preapproval are not to your liking, the dealership can convince Ally to change them. They did it for me.