To buy or not to buy? That is the question.

[Mgilbert8605]

The current car that I have, I purchased because it was the only thing that I was qualified to buy at the time with a credit score in the low 500s. Fast forward to 3 years later, my Transunion FICO score is 689. I think I have 2 delinquencies on my report, but they are 5 years old (I'm going to verify this information later today when I pull my credit report). I'd like to get out of this current car and into something better. The problem is that I'm upside down on the car.

According to kbb, based on the zip code of 32806, my 2009 Mitsubishi Galant is worth $6,029 as a trade in. I currently owe $8,880.

My thought is that if I can find a new car, with a decent rebate, that will help with the negative equity of my current car. I plan to do a down payment of $1,000-$1,500. I've always been in love with the Mazda CX-9, but it's been out of my price range. I'd like to keep my monthly payments around $350. Currently, there's a $4,000 manufacturer's rebate on the CX-9. Other cars that I've been considering, should the CX-9 fail, is the Mazda CX-5 or Nissan Rogue.

So what do you guys think, given that information? Should I look into trading in my car for a new one, or should I stay in my current car?

Thanks for reading my post, and for all advice given!

[Mgilbert8605]

So I pulled my credit reports...
My 2 delinquent accounts are scheduled to fall off soon. 1 this month, and the other next month. Hopefully creditors would take this into consideration.
Also, the other SUV/crossovers that I'm considering are:
Nissan Pathfinder
Honda Pilot
Mazda CX-5
Nissan Rogue
I'm just not sure that the rebates on those cars are big enough to help me out with the negative equity on my trade, but their price points may be better suited for my monthly payment range.

[madmann26]

You can always try and call the CRA's and ask for "early exclusion" of the lates since they are so close to falling off. I did that with some old/negative accounts when I was rebuilding.

[sccredit]

---

@Mgilbert8605 wrote:
So I pulled my credit reports...
My 2 delinquent accounts are scheduled to fall off soon. 1 this month, and the other next month. Hopefully creditors would take this into consideration.
Also, the other SUV/crossovers that I'm considering are:
Nissan Pathfinder
Honda Pilot
Mazda CX-5
Nissan Rogue
I'm just not sure that the rebates on those cars are big enough to help me out with the negative equity on my trade, but their price points may be better suited for my monthly payment range.

---

The Rogue or CX-5 may get you near your payment range on a 6-7 year loan.  I don't see how you can get there with the Pathfinder or Pilot.

[Mgilbert8605]

Thanks for the suggestion. I'll give them a call this week.

[Mgilbert8605]

I saw that the manufacturer's rebate on both the CX-5 and Rogue were only $500. I wasn't sure if that'd help me out much. Also, I'm willing to do a 72 month loan, but not more than that. I know that a 60 month loan would land me nowhere near my desired payment plan.

[sccredit]

---

@Mgilbert8605 wrote:

I saw that the manufacturer's rebate on both the CX-5 and Rogue were only $500. I wasn't sure if that'd help me out much. Also, I'm willing to do a 72 month loan, but not more than that. I know that a 60 month loan would land me nowhere near my desired payment plan.

---

At 1.99% APR for 60 months you are looking at financing $20,000.  But there is tax and license on top so you're looking for a $17,500 (5 year) to $20,000 (6 year) car.

[Mgilbert8605]

Do you think my credit score could possibly get me an interest rate that low? I figured I'd get around 5%.

[Anonymous]

With your budget for monthly payment your looking for u can finance a vehicle total cost of about 21000 for around a 350/month payment. Not putting your negative from other car. If including I think all car on ur list is out. You might need to find somewhere that will do 84 months and not many will do 84 months without being in good/excellent credit tier

[ALLevesque]

My local Nissan dealer is running 25% off MSRP on all new nissans.... This might help you on a pathfinder if you can find a local Nissan dealer running a similar promo?