Any advice

[courtney091082]

Hello,

I've been saving to buy a used car, we're looking for a midsize SUV, and most of the ones we like are around the 13-15k range.  Those are the ones with decent mileage and not older than a 2004 model.

Here's my problem, I'm wanting to pay cash, but saving is getting grueling, stressful, thinking I might loan for part of it if possible. 

My credit is bad, everything on my credit that is bad is older than 3-4 yrs.  I think my EQ is around 620, and I should have 10k saved by July 1st. 

Do you think my credit union (pulls EQ only) would loan me another 3-5k with 10k down on a good used SUV.  I'm worried about getting denied.  I make 33k year self employed for almost 3 years now.  I've never had a car loan in my name and all the baddies on my reports are old credit cards from when I was in college.  My only bills are rent: 625.00 mo, and two credit cards with 1k and $500 limits, I don't have much charged on them.

Please help, need some advice on what to do

Thanks

Courtney

[moondog7324]

I think you are in excellent shape with that huge downpayment. You may be able to ge that score up a little if you can get your credit cards to <7%.

Do you have a car now- there are huge deals in the new car market now. I think you could get something new that fits your needs in the 17,000 range. Something that has a new warranty and you could keep for the next 7-10 years.

[Anonymous]

Looks like you would be approved. Ask them if they have repossessed or lease returned SUVs for sell. Some CUs sell them for cheaper than KBB value and offer great financing.

[tonsers]

I agree, approval should be no problem with that huge downpayment.  If for some reason you had to default on the loan, you are low risk to them as they couldn't lose much on you.

Times are different now, I know - but I bought my first used car in 2005.  The price was about $28,000 (BMW roadster) and I put $15,000 down.  With scores comparable to yours now, I received finanacing for 4.9%.

[courtney091082]

I have a Honda Civic but its a 1997 figured I would just sell it on Craigslist or Autotrader.  It's got a few dings, and one crack on the windshield about 120k miles so it won't bring in a lot, but yes I'll be selling that. That's figured into the 10k-12k I should have saved.

My cc's are now down to about 5-9% utilization so cant do much there.

Thank you everyone! I'm going to save what I can, then go to my Credit Union the end of June to see if they'll give me a small loan, I bet that will really help my credit as well.

Courtney

Message Edited by courtney091082 on 05-23-2009 07:06 PM