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Auto Loan Help

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New Member

Auto Loan Help

Hey guys. Looking at getting an auto loan between $35k-$40k. I am currently 20 years old and live with my GF. We split rent at $350 a piece and her mom pays some more for her. Other than that I dont have any other bills besides groceries. I make about $50k a year. I had one car loan when I was 18 for $13k, and a $23k loan when I was 19. I am currently right side up on my car due to good payments on it. My FICO score is about 780 right now. I have 30k availible for credit card use, and only have 2500 used out of it (which is for my father because he has awful credit and needed some emergency money). Never been late on a payment or anything like that. What are my chances of getting a loan for that amount? Looking at putting down at least $3000. Been employed at the same place for 3 years just in different positions, and will be making $70k in the next year or so. Thank you! Any questions feel free to ask. 

7 REPLIES 7
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New Member

Re: Auto Loan Help

Forgot to throw in that the car is going to be a brand new Subaru WRX STI. 0 Miles. Don't worry about insurance, I have a perfect record, as well as really good rates. 

Message 2 of 8
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Re: Auto Loan Help


@NWGeno wrote:

Hey guys. Looking at getting an auto loan between $35k-$40k. I am currently 20 years old and live with my GF. We split rent at $350 a piece and her mom pays some more for her. Other than that I dont have any other bills besides groceries. I make about $50k a year. I had one car loan when I was 18 for $13k, and a $23k loan when I was 19. I am currently right side up on my car due to good payments on it. My FICO score is about 780 right now. I have 30k availible for credit card use, and only have 2500 used out of it (which is for my father because he has awful credit and needed some emergency money). Never been late on a payment or anything like that. What are my chances of getting a loan for that amount? Looking at putting down at least $3000. Been employed at the same place for 3 years just in different positions, and will be making $70k in the next year or so. Thank you! Any questions feel free to ask. 


 http://www.consumerreports.org/cro/2012/04/how-much-can-you-afford-to-spend/index.htm

 

 1) STi uses the older engine design than the current WRX and gets TERRIBLE gas mileage, only the last EVO X is worse. WRX is a better daily driver if you have to have AWD.

 

 2) 2016 Focus RS is a better car than the current STi, so is the Mk7 Golf R.

 

 

Message 3 of 8
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Re: Auto Loan Help

That wasn't the question. Thanks for your useless input!

Message 4 of 8
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Re: Auto Loan Help

I am far from an expert but it sounds like your chances are pretty good. The one thing I would recommend is perhaprs obtaining a pre approval from your bank or CC company. You can even try Cap 1 since that's a soft pull and won't impact your credit rating. I just purchased this evening and the best bargaining chip I had was my Cap 1 pre-approval. I used the autonavigator on their website and figured out exactly what my interest rate and payments would be. Once I narrowed down the cars I was interested in I emailed a few dealors using a letter I got off this site. I made sure they knew my range and that I had pre-approval. Haviing that preapproval proved invaluable because they told me that when they ran the numbers they got a pyment that was $40 higher and at an apr of 3.02%. Autonavigator allows you to save the car info so I was able to show them that. I was getting and APR of 2.04% and wasn't going over that.  I ended up with a 2015 Mitsubushi Mirage, under $200 and 1.99%. Knowing what was on my credit report and having that pre-approval gave me bargaining power I wouldn't have otherwise had. Since I am a long time CC customer with Cap 1 I didnt have to provide additional info.

 

TLSmiley Very HappyR - get a pre-approval

Message 5 of 8
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Re: Auto Loan Help

I agree that I think your chances are good.  Get preapproval from local CU to have in your back pocket when you go to the dealer.  You can let them try to beat that rate if you want but have that to fall back on.  Also soak up as much reading material as you can about the car buying process.  Dealers try to operate from a position of power because they know all the tricks of the trade to sell cars.  If you don't come prepared they will eat you alive.  The truth is that the buyer holds all of the power because you can buy from any dealer you want to. 

 

As far as useless input, welcome to the internet! On a forum such as this one if you post that you are 18-20 years old or so people are going to assume you have no idea what you are doing because it has been proven to be the case over and over.  We were also all 18-20 years old at one point.  You will get alot of input that you may think is useless (some of it of course will be) but remember that people are just trying to help. 

Message 6 of 8
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Re: Auto Loan Help


@NWGeno wrote:

That wasn't the question. Thanks for your useless input!


 

  Aren't we hostile....

 

 Look dude, the STi is a great car but has caveats if you don't want to acknowledge those great ignorance is bliss right?

 

 The WRX is a better daily driver, day in and day out. It won't punish you when the pavement gets rutted, cracked and wavy and as I said gas mileage is stellar for a AWD performance car.

 

 

 If your going to do track days, amateur rallying, etc then the STi is a better choice. Since most people DON'T do those things for fear of warranty issues or ruining resale value, I still say the WRX is better for the average enthusiast.

 

 

Message 7 of 8
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Re: Auto Loan Help


@Dj4Money wrote:

@NWGeno wrote:

That wasn't the question. Thanks for your useless input!


 

  Aren't we hostile....

 

 Look dude, the STi is a great car but has caveats if you don't want to acknowledge those great ignorance is bliss right?

 

 The WRX is a better daily driver, day in and day out. It won't punish you when the pavement gets rutted, cracked and wavy and as I said gas mileage is stellar for a AWD performance car.

 

 

 If your going to do track days, amateur rallying, etc then the STi is a better choice. Since most people DON'T do those things for fear of warranty issues or ruining resale value, I still say the WRX is better for the average enthusiast.

 

 


I get what you are saying but remember this is credit forum. You would get the same type of response if you were on a car forum and someone were asking whether to buy a STi or WRX and someone jumped in giving credit advise.

 

OP, chill out we are all here to help each other.

 

To the OP question. I think its going to hard to get approved for the amount you are asking but you seem to be off to a good start credit wise. Chances are very high that they will want you out of that $23k auto loan before they approve you for a bigger loan. Be sure to let them know that you are trading in your vehicle. If you were planning on keeping that vehicle you won't get approved as your income will not support both loan in the eyes of the lender. If it was me I would apply to a CU. Worst case is that you are denied but at least they will give you a reason and you will have a place to start working on.

In the garden until June 2018

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