Auto Loan Question -- Where should I go? Online?

[Anonymous]

Hello all- I am looking to purchase a new car, as my current lease is now expiring. When I leased my previous car my credit was in much better shape, which made the process much easier. Now my FAKO scores range from 650-665, I have relatively high CC debt, and 2 30+ day late payments that are approx. 2 years old. Additionally, I recently left my career to return to school. My only [documented]income is my 20hr per week gig at Starbucks making $8.00 per hour. The past two years my income has been ~$50k, but now it will be substantially less. Will I have difficulty getting a car loan? Where should I look to find reasonable terms? I used to be in the car business, so I would prefer to have the financing arranged before going into the dealership, I just do not know the best avenues to explore. I have searched the board and found that Capital One and www.roadloans.com seem to come up frequently. Should I try these two? Where else should I look? Can I even get approved? Thanks!

[Anonymous]

FYI: You have to make over $1,800 per month to qualify for an auto loan with Cap1. I just wasted an inquiry... I do not think I will be able to get an auto loan, unfortunately. Oh well.

[Takunda1]

---

esfour wrote:
Hello all- I am looking to purchase a new car, as my current lease is now expiring. When I leased my previous car my credit was in much better shape, which made the process much easier. Now my FAKO scores range from 650-665, I have relatively high CC debt, and 2 30+ day late payments that are approx. 2 years old. Additionally, I recently left my career to return to school. My only [documented]income is my 20hr per week gig at Starbucks making $8.00 per hour. The past two years my income has been ~$50k, but now it will be substantially less. Will I have difficulty getting a car loan? Where should I look to find reasonable terms? I used to be in the car business, so I would prefer to have the financing arranged before going into the dealership, I just do not know the best avenues to explore. I have searched the board and found that Capital One and www.roadloans.com seem to come up frequently. Should I try these two? Where else should I look? Can I even get approved? Thanks!

---

If there is nothing wrong with your lease why not release the car are buy it from the same company that financed the lease. They already have your payment records and if you've paid well over the life of the lease, I'm sure they finance you. That way you won't have to put a downpayment. Just a thought.

[CreditDrama85]

with the situation you are in, i think you should research dealerships that can finance subprime carloans....(since you used to be in the car business you should know where to go).....i think accepting a loan that way even if you are not crazy about the terms and then refinancing in a year is better than being asked to explain auto loan inquries from online sources like cap1 , roadloans, wells fargo .........especially if they deny you..

when dealing with bad credit, better to have the dealership run your credit and have their financing connections hook you up and close the deal.....it is harder from them to make you appear like a disirable auto loan canidate who has fell on hard times if you apply for online loans ahead of time.

[Anonymous]

---

@CreditDrama85 wrote:

with the situation you are in, i think you should research dealerships that can finance subprime carloans....(since you used to be in the car business you should know where to go).....i think accepting a loan that way even if you are not crazy about the terms and then refinancing in a year is better than being asked to explain auto loan inquries from online sources like cap1 , roadloans, wells fargo .........especially if they deny you..

when dealing with bad credit, better to have the dealership run your credit and have their financing connections hook you up and close the deal.....it is harder from them to make you appear like a disirable auto loan canidate who has fell on hard times if you apply for online loans ahead of time.

---

Thank you for the advice. My major issue is the inability to prove income. According to my paychecks I make $1,000 monthly with a $1,350 per month lease on an apartment. Go figure... I have decided to avoid the loan process all together. I'm just going to buy a cheaper car for cash. Thanks for the advice.

[CreditDrama85]

buying a cheaper car for cash is a good way to go and sometimes it may be better to show 1 or 2 bank statements if you need to vs. a paycheck