Scared of Americredit

[Anonymous]

Hi,

I'm new here.   My husband & I just purchased a vehicle and were financed by Americredit.  We obviously have poor credit, and we're trying to rebuild, however I'm terrified that we've just made a huge step in the wrong direction.

How soon should we expect to be able to refinance this loan?   Will it be a nightmare to refinance?   And, what companies may consider refinancing this loan?

Thanks for any replies & help. 

[Booner72]

Hi - We need more info.  What is your interest rate? How much do you owe?  What kind of car?  What's the car's bluebook value?  What are your credit scores?  Did they tell you your scores at the dealership?  (Transunion/Equifax/Experien - ETC).

In order to refinance you have to get your credit scores up first of all, and secondly, the car has to be worth the value to get it refinanced.  My Credit Union does 80% loan-to-value.  If you walked out of the dealership underwater, you will have to make double payments or somehow pay the balance down.

[Anonymous]

We financed in my husband's name, as our house is in my name only (bought before we were married), and my debt-to-income prevented us from getting approved at all.

Anyway, they gave us a paper saying his Exp score was 541.   They initially told us we were being financed with Capitol One, but then when all was said & done it was with AmeriCredit.   Our intrest is 22%.   We purchased an '07 Honda Odyssey with only 30,300 miles on it, paid $19,900 and put $1500 down.   The Kelly Blue Book site says private party value is $18,689, or trade-in of $15,689.    We do have gap insurance on it.  

Also, my husband has a Chapter 7 which was just discharged on 10/28.   His only other debt is 3 credit cards that are current & have less than $300 on each of them.  His income is approx $90k.

Thanks!

[Booner72]

Do you belong to a credit union?  If not, you should, They're soooo much better than banks.

Anyway, take your hubby's reports into a CU, ask them how much they'd loan on the car, then ask what he has to do to get approved.  Go to a few different ones.  I'm guessing you will have to stay with Americredit for at least a year and make regular on time payments.  This is a good opportunity to pay more than the minimum payment to get the balance down for the re-fi if that is what the bank says you have to do.  This will also give you a chance to have a checking acct w/ the CU, use their online bill pay, and build up some history and trust with them. 

For now just deal w/ what you got.  We had to deal with 25% interest for over a year.  It SUCKED.  I thought we were stuck for good.  When my BFF found out the interest she shamed me into trying to refi - and guess what?  They did it!!  (They NEVER would have done it back in 2010 when our credit was horrible though.

[SupraTurbo2jz]

We had a horrible experience with them...the keys to be successful with them are obvious 1. Always pay before due date if not they will tack interest on to the back of the loan compounded daily and NEVER tell you about it until payoff time 2. See number 1. 3. Never get a deferment on a payment..Again see number 1. 4 Try to to get away from them as quickly as possible ..Good luck!!

[tooleman694]

I just got done paying off an Americredit loan. They are a fine lender, just make sure you pay your bill ontime and there will be no issues..

[Elated]

I second that tooleman! I have had 3 vehicles financed with them over the course of the past couple of years. Also, the new vehicle I just purchased 4 months ago is also financed through them.

I think their name speaks volumes as they are now part or GM Financial.

I have made all of my payments before the due date (as always), and have never had an issue with them.