Is This a Fair Interest Rate on Auto Loan

[Anonymous]

I have a dealership that pulled a 600 score and I was looking to buy a 2008 Toyota Rav4.  I don't have a lot of credit - I've been repairing my credit for the past 6 years after a horrible divorce.  So I only have 2 tradelines on my report which are both credit cards.  Each of them has a 30 day late payment from last year.  Otherwise no other baddies - no collections, no public records, no repos, etc.  Toyota financing approved me with a 13.25% rate for 72 months.  I know my score is far from great but 13.25% sounds so high - Is this a fair rate?  Any advice??

[Anonymous]

On my reports from this last weekend, it says the expected rates for 590-619 is 14.114 and 620-659 is 10.773.

I know that's just a guideline, but looks like that might be in line.

Someone else may know better than me, tho.

ETA: That's for a 48-mo. Guess I don't know what to expect for a longer period of time. Sorry.

Message Edited by wiwend on 01-18-2008 04:37 PM

[jj15]

How much are you putting down? Part of it might be that you're asking for 100% financing.

[CreditDrama85]

if your were purchasing a pre-owned car or used car the 13% rate would be fair. since the car is NEW i think your rate should be somewhere around 8%

Message Edited by CreditDrama85 on 01-19-2008 12:02 PM

[fishbjc]

That's a ridiculous rate.  If it were me, I'd hold off a little bit until you get a score improvement so you'll save TONS of interest.

I financed a USED with roadloans for just over 10% and my scores was about the same. 

Do you know if this was the auto-enhanced?  I just don't trust car dealers, make him PROVE to you the score.  If he pulled both, theres always the chance that he is using your lowest score to make more $$$ for themselves.

Try a credit union & call around a few other banks.  Really pizz them off by taking in a blank roadloans check...then they get zero kickbacks.

[smallfry]

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@fishbjc wrote:

That's a ridiculous rate. If it were me, I'd hold off a little bit until you get a score improvement so you'll save TONS of interest.

I financed a USED with roadloans for just over 10% and my scores was about the same.

Do you know if this was the auto-enhanced? I just don't trust car dealers, make him PROVE to you the score. If he pulled both, theres always the chance that he is using your lowest score to make more $$$ for themselves.

Try a credit union & call around a few other banks. Really pizz them off by taking in a blank roadloans check...then they get zero kickbacks.

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I agree. Check out a credit union. Penfed or Navy if you are eligible.

[Anonymous]

I checked out the Penfed website and I think my husband would be able to be a member b/c he is a gov't employee for the Dept. of Defense.  Now if he is a member, can I be on a loan along with him or can I become a member since I'm his spouse?  And we live in Illinois - Does anybody have any idea which credit bureau that they pull from?  Thanks in advance for any additional info.