I to I'm a bit surprised that the rate is "only" 12% (which is horrible, no doubt) however IF as mentioned before IF it really is a step 1 in a true Rebuild
Otherwise...
And honestly, if you don't have a LARGE down payment and I mean LARGE... The high % rate coupled with the immediate depreciation makes it difficult to refi because the car's value vs the loan required becomes very very difficult... Again without a LARGE down.
Many, many ppl get stuck in this situation...Even those with decent credit because cars lose value at a rate much quicker than the debt to loan ratio of what ppl buy.
This has gotten more problematic as car prices increase and Americans fail to put ' token' amounts down....That 1000-1500 barely touched tax and tags, these loans are many times 110-120% LTV + 12% c'mon now....You can't refi THAT mess!
This is why tydawg cringes at even attempting this almost No Win situation and there isn't a WIN available, just degrees of losing, truth be told.
Again, if there are zero other choices...It is what it is
However as mentioned...One needs to really soul search, what the deal is and what the plan of ACTION not talk is gonna be
You said you've had cosigners in the past, so that means you should have built some credit...Which obviously went south if you're sub 500, still.
You've got to think long and HARD...Can you do this, this time are you truly READY....What was the issue before, have you changed or is this just the Next impulsive move you might not need to make...
Just don't bite off more than you can chew, friend
Remember it's a CONTRACT and based upon today's market 12% is a crap rate...Years ago less so but today
Hey wait is this a used car?
If it's used AND taken over a long term like 6 years, then the rate is absolutely much more acceptable, much more
But, if it's brand new, I stand by horrible...
You might want to buy a 'relatively' cheap car...Even a decent 5 to max 8k car could garner a payment in the 100s where you can double up your payments, build credit, drive a decent car but because of the overpay only pay a decent amount in %
*Again, even though the actual % rate number will still be high because you can double and or triple a $140/mo payment you'll eat away at that loan at a rate, not generally possible at $375/mo
Just my 2 cents, as a way to CYA