My recommendation would be to take the Cap 1 offer and run with it, as that is honestly a decent APR given your scores.
My second recommendation which is my personal opinion, is that a 30k auto loan is just too much given the information you've provided. If your income listed is gross income, you are looking at a $525/mo payment on 30k at 8%. Why not look at a late model, low mileage, possibly CPO version of the new car you are looking at?
1. What state are you in? (Different credit unions are available)
2. When do your collections fall off exactly? Asking because it might be possible to call for an early exclusion.
3. Is your collection on all 3 reports?
4. Who is your credit card with? Have you checked to see if they will give you a soft pull CLI?
5. When you pulled your credit scores, what was your credit card balance reported as? They were your FICO scores, correct?
A big +1 to the suggestion of a CPO car. Get one that’s a lease turn-in 1-2 years old, miles in the 20k range and it’s probably $7-8k less with full warranty, sometimes even extended beyond the new car warranty. You can save a bundle and still have a nearly-new car in excellent condition.
Welcome to the forum grimywaifu
Add another +1 (CPO), I did this on a two year old, still have it, 12 years old now. I love it esp. since there aren't anymore pymts. They are not Lemons, just a very smart way to purchase a vehicle that has had all or most kinks worked out in those first couple of years. I'll never buy new again just cuz of the maintenance and tweaking things that chew up your time.
Get that PRA off your report (falling anyday now, right?) or do EE as suggested upthread, then when you do re-fi with a CU, that derog gone will really help on terms. Establishing with Cap1 is a win; then with a local CU perhaps in half a year, as suggested upthread also, you're building that credit and lowering your interest rate even more, in most cases. So if you need the car now 8 percent isn't a bad temp. rate; just gets the ball rolling; wheels turning, ya know.... GL!
Thank you all for your great advice,
I waited for the collection From PRA to fall off(its still on my TU report though as a closed collection account and payment status says"unknown", ill have to see whats going on with that)
The $3200 a month was a conservitive net number not gross.
I ended up putting 2k down and financing about 27k at 7.6 APR through cap1 auto nav(whom I also have my credit card with). . I thought about Going CPO but the car Im buying (Mazda6) features are trim locked and only on the new models ,and I didnt want to pass them up, all in all id say I got a good deal for the car and a decent rate for the financing I will refinance after 6 months with DCU most likely to get a better rate.
Loving my new car And thanks for all the help guys.
Well Congrats! Enjoy it and remember, "Seatbelt!"