Want to buy a new truck current truck has $7000 for payoff left

[Anonymous]

Here's the deal.  My truck is in my mother in laws name.  When I got the truck it was $37k now I'm down to the last $7k.  My credit has rebounded tremendously over the last 8 months but I don't have anything on my CR other then credit cards showing.  NCFU will approve me for a used car loan so I can take it out of her name and put it in mine.  I can do the 36 month loan but I plan on paying it off here in the next 6 to 8 months.  I really would rather buy another truck right now (2017 Chevy 2500hd Duramax $60k) but I'm wondering if this would help my credit more for the time being and after the payoff I would be sitting pretty for purchase of my new truck along with my trade in of this one.

What are my best options here?

Current Scores are Ex-642 TU-704 EQ-684

NCFU has already given me the CLOC @ $15k and the cash rewards @ $24k.  Also sitting on a Freedom, Discover-iT, Amex blue, Capital1 and Alaska USA secured.  

[Anonymous]

Since you are a member of NFCU and you want to pay off in 6-8 months, try applying for the Flagship Card, they are doing 0% interest for 12 months. You can pay off the car loan with the Flagship card, and pay 0% until you pay it off, plus not have a lien on the title. Your mother in law should be able to gift you the vehicle since there is no lien, and you might be able to avoid some registration fees. Then once you pay the Flagship off voila! your new truck! Best of luck. 

[Anonymous]

I could pay it off with one of my other credit cards now doing the same thing you described but an Installment loan would help to thicken my profile vs another credit card thus sending my score farther North correct?  I don't have anything but CC's reporting right now so I'm not very diverse

[Anonymous]

It could have the opposite effect. It would affect you Average Age of Account, which could cause your score to decrease. I forgot to mention the promotion right now gets you 30,000 points? I believe. If you were to keep the Refi auto loan for a year or two I could see the benefit really kicking in. Sounds like you wouldn't necessarily benefit from that though....

[creditgambler2018]

It is not your truck because it is in your mother is laws name. What if you pay it off and she does not sign you over the title, then what? You really trust her?

[Anonymous]

Of course I trust her.  Not only that but NCFU would get the title to the truck because they are writing the check for the new loan for it.  The check would be made out to Alaska USA not to her and she would only be delivering it to Alaska for the payoff.

[creditgambler2018]

so at the time you did not get approved for it? My suggestion to you is, if you dont qualify for the new loan dont even try to get it some other way. Lenders know when they see a high risk person. How much you expect to finance out the door for the new truck? If I was to get a new full size truck I would get a new toyota tundra. Tundras are a beast lots lots of power and torquey (edit by mod).

Forgot to say. GO (edited by mod - the statement you made is a violation of TOS).

[Anonymous]

At the time I didn't even try to get approved.  

My truck is a Tundra now.  It's a great truck but I need more which is why I'm going diesel 3/4 ton from a gas 1/2 ton.  New truck will be in teh neighborhood of $50k.  I'm not worried about that right now though, more worried about what I should do with this truck and if I should finance the rest of what is owed in my name so I have that type of installment loan in my CR and showing it paid off when I'm done with it in 6-8 months.  If that's not the best option I would like to know what is

[Gmood1]

Since the vehicle isn't in your name, I'd just pay it off. In the mean time grab a $500 shared secured loan from Alliant FCU for 60 months and pay it down to $42 immediately. That will boost your scores. Let it cook for 6 months to a year. Longer if you don't need the other vehicle now. Keep the tundra and buy your new truck without trading in if possible.

Your scores could jump 30 or more points by just adding the secure loan. Which puts you in a better position for the best rates on the new truck. If you can pay off the tundra with a rewards card that would be great!

[Anonymous]

So I'm guessing the installment loan (financing the truck in my name) isn't really beneficial then?  I have only one other auto purchase in my credit history before this and it defaulted but they were never able to repo the vehicle.  That has since fallen off my report years ago but I was thinking I'm kind of in the 1st time buyer situation again.  My reasoning for wanting to finish the rest of this loan off in my name is it gives me a better mix and also shows that I paid off a vehicle loan.  Obviously I don't know everything and that's why I'm here, so If that's not a good route to go then I can get that small personal loan and pay of the truck another way.