Can a larger down payment help interest rate?

[Anonymous]

My Husband is looking to buy a new truck, his scores are in the high 580's..BK discharged 2006 and a charge off for cap one w/ DOFD 8/2009...that is all that is bad, no credit cards, 1 car loan with 10,000 bal...Looking at a 2008 chevy silverado 2500hd 16,000miles, asking price $37,999

The question I have is we are putting $15,000 down on the truck , will this help us get a better interest rate?

Also we are paying the Sub-prime car loan 18% interest off also, this loan is only 6 months old, will this help his credit?

[Anonymous]

Does anyone have any opinions, looking to do this next weekend

[Anonymous]

That seems like a LOT for that truck, my father in law just bought a 2008 Chevy 2500 the crew cab long bed 6.0 with 4wd (he didn't go for the 6.6 diesel) and it had only 5000 miles on it in as new condition and he only paid $28000 for it.  The blue book value was $30000.  It had all the standards, tinted windows, a/c, electric windows, locks etc and the hauling package...

Just make sure you aren't overpaying

Does he NEED a truck that big for some reason?

My Chevy Silverado Brand New 1500 off the lot was an extended cab long bed with auto everything and I got it for $13500  you could then buy it with cash and not be paying any interest at all - take the other $1500 and open a secured CC for him that you can keep in good standing. 

[Anonymous]

I agree,, 38-grand sounds high for that truck (even assuming it's a long-bed, super-crew-cab w/leather, 4x4, diesel dually),   That thing should go for less than 27,

Do you really need anything that big?  If he needs a work truck and will use it for towing a 6-ton trailer and a mini-excavator, I'd say he'd be better served with a basic diesel work truck, 

Chevy dealers around the Charlotte area are advertising new 2008 diesel W/T's for under 25-k,  You could step up to a LT package and still stay under 30, that way you can put some of that down payment money on your existing car loan,

As far as interest rates?  I have no idea what a sub-600 score and large down payment would do,  My guess is you'll still be at 10%,  Be carefull shopping around and don't let a dealer run your credit thru thirty-lenders to find one who'll finance you,  I've read enough horror stories where stealer's did that and that many new inq's caused a major score drop,  

Good luck,

[GregB]

I agree with above. If you ignore what they are asking. Ignore what they say is reasonable. Those vehicles are simply not selling. You could likely buy it new for that!