Loan after repo - DWN payment Question

[payingoffdebt001]

SEE WAY DOWN BELOW FOR MY NEW QUESTION TO THIS THREAD

I'm trying to rebuild my credit and truly take care of things this time around.  I have a repo on my CR from 2009 and the balance is 15,000.  I was wondering if its possible to get a cheap car financed with what I have on my CR???  Is there anyone out there that would give second chance loans? Im wondering if I could find a car out there for about 6,000 to finance. I do need a car and it would be nice to find one that gives chances, but would  want a low loan amount so I dont struggle, this is just so I can eventually have a PAID auto on my records.

Open Accounts:

I have 1 open account showing on my CR

Premier Card - Pays on time

I have a Capital 1 card that i just got bit its not on my CR YET

Closed Accounts:

Negatives: Auto Repo THAT I'm now making payments on and Broken lease from 2007,

2 CA': 1 medical one is paid , and then AT&T that is not mine and has fallen off all reports except TU

Sallary 68,000

FICO scores are listed in my signature

[cdtotten]

It is going to be difficult, but the following may be the best chances and necessary:

1. Find a buy-here, pay-here lot that routinely deals with bad credit. You may not be able to choose the exact car you want (they may pick it for you), but it's a start. They usually will set you up with a decent car though, because if they give you a piece of junk requiring a lot of repairs, they assume you wont make them and just default on the loan again.

2. Save up a LARGE down payment, 20-25% will most likely be necessary (the more the better).

3. A cosigner may be necessary. Although I would never encourage ANYONE to ever co-sign for anything, sometimes it becomes necessary as a borrower.

Good luck!

[payingoffdebt001]

Thanks, I did think of those types (Your job is your credit) but thought i would see if I find a place that does report to the credit bureaus first before going there, since I'm hoping to rebuild credit in the process.  I am on  a payment plan with the auto loan repo, which was a voluntary return and one credit report does state it was voluntary - not that that helps any. 

[cdtotten]

I can understand your desire to get a positive trade line on your report, but because of your current financial status, that is going to be a hard task. Hopefully you can find a dealership that is really looking to make a sale - maybe a kia rio or something? If you could put down like $3-4k and finance the other $5, you could probably get financed through them?

Good luck!

[payingoffdebt001]

Okay thanks, and I'm fine with a gas saver like a Kia or something like that.  I'll post if something comes of this.  But seeing I'm not getting much response saying it is possible,  I may wait it out until I have a few more positives on my CR before trying.   I'll make sure to give a good down payment when I do. 

[payingoffdebt001]

Well I was just contacted today by one of the dealers that I had emailed yesterday inquiring on 2nd chance financing.  They tell me that they do work with folks with repo on credit, i told her it was hard for me to believe...are you SURE??  She said yes, that she knows for sure that they do.  So, I told her i do have a trade in - or if they gave me 2 weeks I could probably sell it for 2,000-2,500  and use that as a down payment if the cash is what would help me at least bring 20-25% down payment to the table. 

So, I do have an appt for 2pm on Saturday to see what they tell me.  Actually I may make it for today because I'm SO curious!  I did tell her I am looking for a vehicle under 10,000.  She said they have plenty and deal with all kinds of lenders.

[payingoffdebt001]

UPATE:  Well I'm beginnig to feel maybe I should wait a few months and try and bring my scores up before I go apply.  It may not make much difference for me since I have a repo on my report, but maybe it will help some.  Plus I'm a bit nervous getting into another bill.  Maybe I should wait and pay off some of the things I'm currently working on and then go try for a vehicle.  Would have been nice to have a New Account but its also a New Bill which can be scary. 

So, I'm going to try and wait maybe until December. 

Thanks for listening!

[guydiver]

Good luck.  You really  need to clean up your reports some and get your scores up into the 600's at least.  Any dealer willing to finance with that credit history is going to take you to the cleaners one way or another.  If you can wait and get by until you clean things up a bit, that is for sure your best option.  I wish you luck.....but cleaning up your reports basically comes down to hard work and dedication.  Best wishes for your success.

[payingoffdebt001]

I CHANGED THE TITLE SINCE i HAVE A NEW QUESTION TO THIS THREAD:

Okay, so my car situation changed a bit..I did apply yesterday for a used car.  I'm currently using my in laws car and I'm sure they would like it back.  Its just not he same using someone elses car, my mother in law cant go anywhere cause i'm not using her car. I just feel she's ready for her car back - I've been using it for a few months.

So I ended up trying my luck yesterday with a dealership. I filled out a short application and I do see they ran my credit, I see the inquiry.  They told me I could get financing but I needed to talk to this other guy..I didnt have the time and needed to get home so I told him to just check around and let me know if someone truly will finance me.  He said..I'm telling you they will, but you need 1995 down for this particular car.  I told him I could come up with that, but for him to just go ahead and take it to whomever and they can call me tomorrow and let me know how its looking.   

So, I was just  called a few mins ago and he told me the same thing, but how they need the down payment to proceed.  I didnt realize that I guess.  I wasnt sure how this works.  I was approved for financing for an 07 Ford Focus 8,500.00 and that my next step is to give them this payment to hold the car and that I need to come in and test drive the car.   I only looked at it yesterday and turned it on. Guess they wanted to pass me throug pre-approval where they also ran my credit.

I told him on the phone just now...this a for sure deal? He said yes..I"m telling you it is, I'm looking at the paper now but I need to pay the down payment to hold the car. now, I'm not worried about holding the car..here's my question.

QUESTION

How does this work, I put a down payment..but I wont know the interest rate yet or the terms - do I get my money back if I dont want what they end up offering?  I thought they draft up a deal and then send it in with my application - guess I really didnt know how this works. Sorry for being so fickle...on again off again!

[elzgarland]

I'm no expert, but something sounds shady to me. I have never had to give the dealer the down payment until I saw the terms of the loan in writing. Be careful!  Maybe some of the experts will chime in with their thoughts. Good luck.