Auto Loan Help

[Anonymous]

ok we'll i've been giving this quite some thought and I'm leaning more to buy a new 2008 Scion tC they're about $17,400 thats's around the one I priced the other day, on there site it shows fico score rates
Zone 1+ = Score of 720+
5.85%
Zone 1 = Score of 690 - 719
6.05%
Zone 2 = Score of 670 - 689
6.65%

Now my fico is in my sig but I don't know what my auto enhanced fico would be and that's all that i'm worried about and yea my credit history is only around 2 years

[stpn2me]

Personally, I would say go for the new car. You may lose a little when you drive it off the lot, but it's a Toyota, you wont lose much. Try to put down as much as you can, but I believe the toyota is a good choice. With your scores, I think you probably will get a decent rate with a decent company.

Stpn2me

[sunrise]

bman...glad you have been thinking about this!!  As stpn2me said....go for the new one....Toyotas hold a decent value!  You can always re-fi if you don't get the rate you really want.  I think you will get a decent rate, though. 

Have you tried a local CU for financing?  You seem to have found a great vehicle...now shop for a great rate.  Keep your shopping down to 2 weeks, so your inquiries are bunched together as 1. 

Best of Luck!

[Anonymous]

ok one question left, do auto enhanced ficos change much from normal fico? I have never had a car loan only credit cards on my reports just a little curious and thanks for all the help

[sunrise]

Shop around for an auto loan!  I would start at a CU.  Get pre-approved!  You shouldn't have any problems, you have decent FICO scores. My  (I believe most)   CU's only use standard FICO's, not auto enhanced FICO's.  After getting pre-approved, go to the car dealership that has the vehicle you are interested in.  Then, let them throw their financing offer to you.  Don't tell them ahead of time you have a pre-approval.  If their offer is better, take it, and you will then know you have a decent auto-enhanced score!!  If it isn't better...then tell them you have your own financing...see if they are willing to beat it.

This is what I would do, others may have some more suggestions/ideas!!

Good Luck!

[Anonymous]

sunrise thanks for the advice, I'm going to wait until the end of jan to see if my scores jump or dip from my recent card apping, i'll let you guys know what happens later thanks so much

[willhbauto]

Ok, I'm a dealer, so I think I can help a bit here, with your scores you can get better rates with a CU, cap-one and roadloans typically deal with secondary (less than 680 credit scores) and they will present a higher rate. Right now Chase Bank and Bank of America are buying every loan they can get there hands on and the rates are good, but check your CU's first.

Also, don't listen to anyone on here about a cars, thats a good deal on that car, I just did a Dealer KBB report on it, its the "real" Kelley Blue Book, not the one consumers see online and in books. A base 2006 Scion tC with 50K on it has a Retail Book Value of $16,015 and a wholesale book value (what you would hope to get one for at the auction) of $12,950, if its a Release 2.0 series, its worth even more. So $11,900 is a good deal, and if its the car you want then get it. 50,000 is a bit high, KBB considers 15,000 a year as average.

Pull a Carfax to check for recalls or accidents. And then check to see if its certified, most manufacturers offer "certified vehicles" on the used cars that are the same brand as what they sell new, so if its from a Toyota store they can certify it and the nice thing about that is that you'll usually have a small warranty (like 3 months, 3000 miles) to drive off with for peice of mind in case they forgot to inspect anything. Usually certified vehicles receive 110+ point inspections.

Also consider an extended warranty, but don't buy a off brand, or no-name warranty, like Vehicle One, they dont cover anything and those companies go out of business all the time. By a manufacturers brand warranty, a toyota, GM, Ford, for example, branded warranty so you'll be covered nationwide and it will be more comprehensive. They are a little more expensive but the off brand warranties are even worth your money, even if they're $700. If you have a good warranty you'll be fine with 50K on it.

[Anonymous]

willhbauto, Thanks for your input and fyi the scion I was looking at isn't any Release Series, but my parents think i should just spend a little more and get a new 2008 for like 17-18k

[sunrise]

bman...listen to your parents!!  50K miles is HIGH..even our dealership expert said so!  Going "new"  should give you a warranty...why pay extra for one? 

Keep us posted on what happens w/ the credit scores AND your car decision!

Good Luck with both!

[Anonymous]

Hey guys just thought I would throw in an update to my issue, I decided to buy a 2005 Scion tC has like 22000 miles on it its like $13000 so no biggy anyway I tried to get them to finance it with whatever company they could and it turns out my credit history isn't long enough and since i don't live in there county there credit unions turned me down.

Anyway so the next day I called up my CU which is BCU and I'm a new member so I don't have much cash in my account with them ($5) he he, well I applied for the auto loan and they told me I have a good credit score and good payments but my history just isn't long enough for them to approve me by myself (darn), well they said with a cosigner I should get it no problem and after a year of solid on time payments I could drop the cosigner and have the loan in just my name

So all in all I'm fairly happy and next week I should have a new loan

credit scores are in my sig and i have about 2 years of credit history and i'm 20 years old