Gettin new (to me) car - financing questions

[BigRedRage]

Likely going after work today but then a wrench gets thrown in with a conversation to desert schools. First of all their rates on a 4 yr 15k loan are above 8% which seems crazy to me.

Then she said that year, make, model and more affect my interest and etc.

I do not know what kind of car we are getting, I just want to get approved so I can shop lots until I find the deal I want and technically pay cash so I dont deal with the hassles of dealer financing.

Our credit is in the 700s and income is good, approval should be aproblem.

Just curious if bankers are here or people who have lots of info on how a pre approval situation works? Thank you much.

Bankrate.com shows chase and Bofa are giving the best auto loans right now...

 

[BigRedRage]

ps details - looking to get used, under 100k prefer under 75k vehicle hoping closer to 10k but willing to do 15k want NOTHING over 300 a mo if possible. Not a big fan of financing and buy my stuff cash but this is for the fiance and she wants a pretty well maintained vehicle.

 

[82CardsGrad]

Obviously, I have no idea what your fiance's preference is in terms of the make/model, etc... However, you can find MANY brand new cars with a monthly payment of $300 or less, with very low to zero % interest... Why are you looking for a used car??

 

[BigRedRage]

I dunno, I figure I cant get anything worth a damn for under 300 a month and under 15k. I am not interested in kia and etc am fine with american, toyota and honda. She wants a convertable but we shall see about that and in second she was looking at SUVs. I have 2 kids and shell have one once we get married so need room for growth. Dont think I can find a single SUV for under 300 brand new.

Plus, i dont know anything about financing vehicles so maybe thats why? I have always bought used with cash.

 

[82CardsGrad]

I dunno, I figure I cant get anything worth a damn for under 300 a month and under 15k. I am not interested in kia and etc am fine with american, toyota and honda. She wants a convertable but we shall see about that and in second she was looking at SUVs. I have 2 kids and shell have one once we get married so need room for growth. Dont think I can find a single SUV for under 300 brand new.

Plus, i dont know anything about financing vehicles so maybe thats why? I have always bought used with cash.

I know some folks who have had tremedous success with Kia's so I wouldn't right them off entirely!
Convertables won't fit too well if you're trying to accommodate 2/3 kids...
As for SUV's - I'm pretty sure if you shop around, you might have some luck in finding new models for $300 a month or less... Might not be a Caddy Escalade of course, but, I'm pretty sure there are some to be had at that price... Definitely worth the look!

 

[BigRedRage]

using calculators at 2.5% interest on 16k car 48 month is 300. Anything more expensive is over 300 a month. any brand new ride worth a **** isnt really available at 16k.

Im trying to keep the convertable thing at bay unless she goes wrangler.

I buy American. I can handle honda and toyota but im not having a kia in my driveway.

 

[Linderbee]

Likely going after work today but then a wrench gets thrown in with a conversation to desert schools. First of all their rates on a 4 yr 15k loan are above 8% which seems crazy to me.

Then she said that year, make, model and more affect my interest and etc.

Dunno where she got her numbers from, but I just took this off their website right now:

You must be registered for see images attach

Here's what the asterisk has: *APR range: Rates listed are the lowest and highest annual percentage rates available. Actual APRs and term depend on credit history, type of product and our internal loan policy. Maximum APR for a variable rate loan: 18%.

 

[MigratingOsprey]

If you are going to have 3 kids and do not have a car that can comfortably & safely accomodate them currently then that needs to be the focus

convertables are fun

jeeps are fun

hauling around kids, their stuff, etc is definitely not fun

look for a vehicle that fits your needs

also, don't discount dealer financing - it's often the best game in town and with the way big dealerships make money they definitely want you to use their financing

we went through this about 18 months ago .... the credit union in MN that my wife has a long term history with quoted us about 5.5% ...... I too liked that because you have a number to go to the dealers with, can do private party, etc ..... number finalize based on LTV, make/model, etc - but you have a good baseline

my wife new a couple different models she liked and found 1 at a dealership ... she went, test drove it and mentioned that we had financing arranged ..... they ran us through their system and for that vehicle they offered 1.8% ...... much better for us

we ended up going mini-van as it was cheaper (a lot) than an SUV ..... we ended up with a 2007 Toyota Sienna with 26k miles on it for under $20k ..... have been very happy with the car so far, including trips to durango and albuquerque ....... fits the kids (currently still in car seats), rides nicely, handled crazy snow in durango ..... just very comfortable

not sexy, not fun - but a good value that gets the job done for what we needed the car for ........ I think we chose the right tool for the task so to speak

 

[Shane]

If you are going to have 3 kids and do not have a car that can comfortably & safely accomodate them currently then that needs to be the focus

convertables are fun

jeeps are fun

hauling around kids, their stuff, etc is definitely not fun

look for a vehicle that fits your needs

also, don't discount dealer financing - it's often the best game in town and with the way big dealerships make money they definitely want you to use their financing

we went through this about 18 months ago .... the credit union in MN that my wife has a long term history with quoted us about 5.5% ...... I too liked that because you have a number to go to the dealers with, can do private party, etc ..... number finalize based on LTV, make/model, etc - but you have a good baseline

my wife new a couple different models she liked and found 1 at a dealership ... she went, test drove it and mentioned that we had financing arranged ..... they ran us through their system and for that vehicle they offered 1.8% ...... much better for us

we ended up going mini-van as it was cheaper (a lot) than an SUV ..... we ended up with a 2007 Toyota Sienna with 26k miles on it for under $20k ..... have been very happy with the car so far, including trips to durango and albuquerque ....... fits the kids (currently still in car seats), rides nicely, handled crazy snow in durango ..... just very comfortable

not sexy, not fun - but a good value that gets the job done for what we needed the car for ........ I think we chose the right tool for the task so to speak

ahhh the loser cruiser

 

[MigratingOsprey]

Heh ..... I think I need you to take a close up look at the tires ..... just kneel there as I step inside and turn on the engine for a minute ..... there might be some knocking............

Then again, I'm not sure if I could ask such serious advice (even in a vieled effort to run the person over) from someone who owns the mini-vans ugly little cousin - the box car

 

[Shane]

Heh ..... I think I need you to take a close up look at the tires ..... just kneel there as I step inside and turn on the engine for a minute ..... there might be some knocking............

Then again, I'm not sure if I could ask such serious advice (even in a vieled effort to run the person over) from someone who owns the mini-vans ugly little cousin - the box car

Damnit! Don't forget about my scooter too

See I can totally talk junk.

 

[MigratingOsprey]

Yes - the scooter

then again, scooters are a like big girls ......... a lot of fun to ride, but you wouldn't want your friends to see you on one..........

 

[BigRedRage]

Dunno where she got her numbers from, but I just took this off their website right now:

You must be registered for see images attach

Here's what the asterisk has: *APR range: Rates listed are the lowest and highest annual percentage rates available. Actual APRs and term depend on credit history, type of product and our internal loan policy. Maximum APR for a variable rate loan: 18%.

must be the used 04-06 highest was 8%

 

[LVG]

ahhh the loser cruiser

You must be registered for see images attach

 

[BigRedRage]

If you are going to have 3 kids and do not have a car that can comfortably & safely accomodate them currently then that needs to be the focus

convertables are fun

jeeps are fun

hauling around kids, their stuff, etc is definitely not fun

look for a vehicle that fits your needs

also, don't discount dealer financing - it's often the best game in town and with the way big dealerships make money they definitely want you to use their financing

we went through this about 18 months ago .... the credit union in MN that my wife has a long term history with quoted us about 5.5% ...... I too liked that because you have a number to go to the dealers with, can do private party, etc ..... number finalize based on LTV, make/model, etc - but you have a good baseline

my wife new a couple different models she liked and found 1 at a dealership ... she went, test drove it and mentioned that we had financing arranged ..... they ran us through their system and for that vehicle they offered 1.8% ...... much better for us

we ended up going mini-van as it was cheaper (a lot) than an SUV ..... we ended up with a 2007 Toyota Sienna with 26k miles on it for under $20k ..... have been very happy with the car so far, including trips to durango and albuquerque ....... fits the kids (currently still in car seats), rides nicely, handled crazy snow in durango ..... just very comfortable

not sexy, not fun - but a good value that gets the job done for what we needed the car for ........ I think we chose the right tool for the task so to speak

I have a 01 camry with 155k miles and plenty of room that was in an accident but runs and I have my 1994 Jeep Cherokee rock crawler that fits everyone great it just sucks at gas mileage.

shes not going minivan. Shes 26 and hasnt popped out her own baby yet so our viewpoints and mindsets still differ. Ill fix that soon.

so maybe I should just give arange to my bank, get the approval and if I buy out of the range, go back to them and modify the loan.

 

[MigratingOsprey]

SUV is out at that range

You are probably looking used mid-size to maybe full-size sedan

I would honestly probably try to find a couple makes/models that fit your needs and then worry about the financing - let the dealer and bank fight it out and if you do the loan requests within a small period of time it will only count as 1 hard inquiry on your credit report

It sounds like you've looked at the loan calculators and know different price ranges based on different interest rates which will give you a total dollar amount

Find a vehicle type that works - then scour for good deals ...... if you find a match of vehicle type and price then go test drive it, check it out and see what they can do for financing as well

It's nice to have a pre-approval in your back pocket - but I wouldn't be married to it - if someone else offers a better deal, then run with it

I would highly recommend finding a few vehicles that work for your needs, research them and have an idea that the price point could work

as opposed to just going out and trying to find a price point that works without really digging into the vehicle itself ....... that can cost you much more in the long run

 

[JS22]

Obviously, I have no idea what your fiance's preference is in terms of the make/model, etc... However, you can find MANY brand new cars with a monthly payment of $300 or less, with very low to zero % interest... Why are you looking for a used car??

Because used cars a generally a MUCH better value.

 

[Brian in Mesa]

Because used cars a generally a MUCH better value.

Exactly. Why get new and have the value drop like a rock when you leave the lot?

 

[Jersey Girl]

Exactly. Why get new and have the value drop like a rock when you leave the lot?

Yup.

I am going used car shopping tomorrow. I know my budget and am prepared to haggle. Even though my car is dead, I have a little time to shop (though my carpooling buddy Sanders may disagree with that, lol).

 

[Brian in Mesa]

Yup.

I am going used car shopping tomorrow. I know my budget and am prepared to haggle. Even though my car is dead, I have a little time to shop (though my carpooling buddy Sanders may disagree with that, lol).

Wife and I carpool (I call it truckpool) every day. Neither of us has ever had a vehicle payment. We've always driven affordable vehicles that we paid cash for...then saved for the next one...even going back to before we met (1993).

 

[BigRedRage]

Wife and I carpool (I call it truckpool) every day. Neither of us has ever had a vehicle payment. We've always driven affordable vehicles that we paid cash for...then saved for the next one...even going back to before we met (1993).

as have I but she deserves a good car and we can afford 300 a month without blinking. I did look at new cars and found that if they are under 17,500 its 300 or less a month at a 3% rate.

If we go 12k used at 6% its a wash so it seems worth it. I am going to show her the new cars she can afford and if she doesnt love any of them im going to give her a 12k max on used and find something that way. The problem is with the cars she wants at 12k used we are looking at over 75k miles and 5 grand is worth cutting off 17k miles :shrugs:

 

[Jersey Girl]

Wife and I carpool (I call it truckpool) every day. Neither of us has ever had a vehicle payment. We've always driven affordable vehicles that we paid cash for...then saved for the next one...even going back to before we met (1993).

That's great if you can make it work.

 

[desertdawg]

I'm still looking as well, narrowed it down to 2 hehicle types. I have a good friend that has been helping me, he's one of the head mechanics at one of the Honda dealerships. After listening to me, we've knocked it down to a Honda car or a Toyoya pickup we plan to score off Craigslist. He checks the motor/ride, I do the haggle.

If it's a Honda we are looking for something around 150,000 miles, AC, proof of a timing belt change and good paperwork in the car's history.

Toyota pickup, I want the 22R motor, hopefully extended cab, AC, and a campershell would rule.

Planning on dropping $2,500 to $3,000 and I feel good with a picky ass mechanic on my side.

 

[Matt L]

I'm still looking as well, narrowed it down to 2 hehicle types. I have a good friend that has been helping me, he's one of the head mechanics at one of the Honda dealerships. After listening to me, we've knocked it down to a Honda car or a Toyoya pickup we plan to score off Craigslist. He checks the motor/ride, I do the haggle.

If it's a Honda we are looking for something around 150,000 miles, AC, proof of a timing belt change and good paperwork in the car's history.

Toyota pickup, I want the 22R motor, hopefully extended cab, AC, and a campershell would rule.

Planning on dropping $2,500 to $3,000 and I feel good with a picky ass mechanic on my side.

I would do that in a heartbeat. Car payments are the worst.

 

[Matt L]

I have a 01 camry with 155k miles and plenty of room that was in an accident but runs and I have my 1994 Jeep Cherokee rock crawler that fits everyone great it just sucks at gas mileage.

shes not going minivan. Shes 26 and hasnt popped out her own baby yet so our viewpoints and mindsets still differ. Ill fix that soon.

so maybe I should just give arange to my bank, get the approval and if I buy out of the range, go back to them and modify the loan.

Lucky lady.