10-12-2013 08:16 PM
You got approved for a new car on $800 per month income?
Less than 50% DTI, napkin math 356ish payment on a 17k loan at that APR and it's not like any real taxes are paid at that income. Near 20% downpayment plus cosigners for students throw off a lot of things: it's an easy loan to make when we're talking secured loans, and I can certainly see TFS underwriting that loan.
That car likely keeps it's value pretty well, looking at it from an underwriting perspective, probably break even or better if the individual flakes in the first couple of years, and they can always go after the cosigner: it's one thing when the big faceless bank is sending nasty grams regarding payment to an individual, it's another thing entirely when a likely family member is banging on your door .
6speed: congrats on the ride!
" I got financed yesterday, on my own"
I assumed no cosigner, and it seems more like 10% down after tt&l.
I guess the banks will do anything to try to get a 10% return on their money. It doesn't seem like a matter of dti, but rather a matter of having no money left over each month. Car payment, insurance, gas, and maintence will be around $800 per month.
Congrats on the OP. I'm sure you have other income streams so it's fine. Just from a stated income perspective, you got a tough loan.
Oh you're right: I don't know that your economics for a student make sense though unless commuting to something like UCLA in Los Angeles. Most schools and student work aren't that tasking from a gas/insurance/maintenance perspective.
If I were TFS and looking at it, I'd expect to see six payments and a refinance to a CU or whatever, which is likely what the OP should consider anyway .
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