Auto loan with horrible scores?

[furkidz3]

Thanks everyone for continuing to give me suggestions.

The friend who is trying to work a deal at the Ford dealership is sick today and won't find out anything until tomorrow, Tuesday. UGG!!!

So I am still keeping my fingers crossed. I think he said he has a few Ford Focus cars on the lot for sale. I would like to get some kind of small SUV or wagon because I need to do some heavy duty hauling of stuff around my house over the next 6 months. He asked me if I wanted to see what he had on the lot when I was there on Friday, but I said "no, let's see what I can afford first, before I set my sights on something I can't get".

I also joined my local credit union through work on Friday. Maybe I can try them for either a small loan (to make the down payment) or for a car loan.

I don't know. My options are narrowing.

I went to Enterprise car sales on Saturday  (didn't let them pull my credit report--handed them one I brought with me ) and got shot down. They said I needed a co-signer, or to try Roadloans.

Yep, been there and got rejected.

Sorry, I don't mean to have a "pity me party" , I am just trying my best to get a car and I really appreciate everyone hanging in there and reading through 3 pages and giving me suggestions.

I might look up craigslist. How does that site work? Is it like ebay for cars?

[Anonymous]

ProCar does have limited warranty's on their vehicles been a while since I had one of them but I know that it had at least a 90 day and I never had any problems with my vehicle. And yeah they do report to the CRA's all of the ones I have had threw them have been reported.

ProCar is technically a buy here pay here but there is financing you pay directly to ProCar but you get loan papers so it is reported.

Don't know if that helps but that is what I did to get a car for little down and really bad credit scores

[furkidz3]

How do I find Procar?

Is it on the web?

[atxhunter]

I was in the same boat back in March and was needing a car. I had low 500's across the board and bought a 04 Nissan Altima for 14k with only 1500.00 down through Drive Financial at 21.9%. I turned around about 5 months later and lowered the interested rate to 15.9% (probably could have done a little better on the rate) through a local credit union. I just recently was able to purchase a second vehicle at a ford dealership through HSBC for 25k at 12.9% with scores right at 600 so there is hope. I would recommend getting something that you can afford and look towards what you can do in the future after building your credit up a little bit as to a refinance. I would say that you could probably get financed through Kia for a new car like a spectra maybe with only about 1k down and then trade for something that has really good rebates. The only think to look at is that you will be barried in that car due to the decreased value when you try to trade it. I would try to pick something off their used car lot since they have many lenders that deal with special finance situations. Best thing that you could do is to get a low limit credit card and show that you can make a payment before you try to refinance after your first loan to help show maturity in your payment history. Hope this helps.

Andrew

[furkidz3]

Update!!

Okay, my friend came through at the Ford dealership and was able to get me into an '06 Ford Fusion (one owner and in excellent condition (I checked the Carfax report ), 30k miles, under  the original warranty for an additional 6k miles) for 16k at 17.95% (yeah, right, let's just say 18%) over 60 months. I put down $1500. I bought in to an additional warranty for up to 75k miles for around 2k more. It even covers getting dings taken out of the doors and such. Okay, maybe I didn't need that additional warranty, but again, I have become paranoid when it comes to cars having problems (not that I consider door dings a problem, but you know what I mean, I hope). Anyway, I am planning on doubling up on the payments every other month (making sure that payment goes to principal) and hopefully knocking off at least a few thousand dollars of interest. I mean, those fat cats at the bank sure don't need any more money.

So, do you guys think I did OK, or am I fooling myself?

[Anonymous]

---

furkidz3 wrote:

Update!!

Okay, my friend came through at the Ford dealership and was able to get me into an '06 Ford Fusion (one owner and in excellent condition (I checked the Carfax report ), 30k miles, under  the original warranty for an additional 6k miles) for 16k at 17.95% (yeah, right, let's just say 18%) over 60 months. I put down $1500. I bought in to an additional warranty for up to 75k miles for around 2k more. It even covers getting dings taken out of the doors and such. Okay, maybe I didn't need that additional warranty, but again, I have become paranoid when it comes to cars having problems (not that I consider door dings a problem, but you know what I mean, I hope). Anyway, I am planning on doubling up on the payments every other month (making sure that payment goes to principal) and hopefully knocking off at least a few thousand dollars of interest. I mean, those fat cats at the bank sure don't need any more money.

So, do you guys think I did OK, or am I fooling myself?

---

How much are the payments?  If it's lower than what you were paying for the rental then i think you did the right thing.  Maybe you can do as others have suggested and refinance after a period of time or after your scores go up.

But anyhoo, CONGRATS!

[furkidz3]

My monthly payments are $446/month. I know, ouch!!  But with my income (100k) I plan on doubling up on those payments every other month to pay it off quicker and save some interest. I don't yet own a house. I rent ($790/mth) so I figured, now is the time to pay this car off, get my scores up over the length of the loan (by using all the info on this site)  and then jump in with both feet and get into home ownership. (I will be older then, and hopefully much wiser).

Oh, and the rental car, which I happily (sp ?) turned in today, was costing me $621/mth.

Message Edited by furkidz3 on 10-24-2007 08:25 PM

Message Edited by furkidz3 on 10-24-2007 08:37 PM

[Boswd]

Congratulations.  

[furkidz3]

I have another quick question.

I realize now that I signed up for the optional credit life insurance on my contract at a cost of $471.06.

Was this stupid ?

Can I cancel it before a certain time period is up.?  I live in Texas.

I see on the contract that I could cancel the gap insurance within 10 days of the contract signing, but I'm not clear on if the credit life is the same way.

Thanks in advance for any responses. And thank you to those who have congratulated me on getting a vehicle.

[Anonymous]

Sir,

You are paying over 26K for a 16K car. 26K for a USED car with 30K miles on it. You put 1500 down then bought a warranty that cost 2000 and bought the insurance.  

All I can say. Wow.

saladdin