Used Car Loan

[busyone1]

Happy Easter all.  

       I'm currently at 640 score, 4 CO'S and 4 Collection accounts. Working on paying

on two of them.    These CO'S and Collections are at least 2 years old.   I'm fully employed

at roughly $60K per year.   All my CC's are up to date and paid on time for the last year.

    So my question can I get a used car loan say $18-20K with $1500 down?

[Traveler101]

Pretty much all car lots have a finance dept for folks with troubled credit. People can loose 1 to a repo and be financed the next day for another. Biggest part of it will be your intrest rate to get the loan. They know they have you and you are limited. Tray and look for one well under market value if at all possible. That way you will not be so upside down. That, and be sure to add gap insurance. You could be potentially way upside-down and if something were to happen to it, you are responsible for the balance owing beyond insurance. Gap covers that. Best of luck.

[Shooting-For-800]

They want to sell you a car.

The question is what terms you are willing to accept.

Look at prices and APRs before worrying about monthly payment amounts.

GL!

[Gollum]

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@busyone1 wrote:

Happy Easter all.  

       I'm currently at 640 score, 4 CO'S and 4 Collection accounts. Working on paying

on two of them.    These CO'S and Collections are at least 2 years old.   I'm fully employed

at roughly $60K per year.   All my CC's are up to date and paid on time for the last year.

    So my question can I get a used car loan say $18-20K with $1500 down?

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Yes, you can, but you may not like the interest rate. A car loan is secured by the car itself. If the borrower does not make the monthly payments: the car can be repossessed, then sold to the next buyer. The interest rate is probably the most important thing.

[dunn2500]

I bought a Brand new truck with no credit score and financed it

like the guy above said its all about the interest rate

[busyone1]

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@Gollum wrote:

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@busyone1 wrote:

Happy Easter all.  

       I'm currently at 640 score, 4 CO'S and 4 Collection accounts. Working on paying

on two of them.    These CO'S and Collections are at least 2 years old.   I'm fully employed

at roughly $60K per year.   All my CC's are up to date and paid on time for the last year.

    So my question can I get a used car loan say $18-20K with $1500 down?

---

Yes, you can, but you may not like the interest rate. A car loan is secured by the car itself. If the borrower does not make the monthly payments: the car can be repossessed, then sold to the next buyer. The interest rate is probably the most important thing.

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I understand that and agree but unfortunately I was turned down today by a CU who stated

I had too many collections ( 4 ) on my report.  Albeit I have paid down some and all bills paid on

time for the past year and a half.  Pretty disheartening.

[Gollum]

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@busyone1 wrote:

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@Gollum wrote:

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@busyone1 wrote:

Happy Easter all.  

       I'm currently at 640 score, 4 CO'S and 4 Collection accounts. Working on paying

on two of them.    These CO'S and Collections are at least 2 years old.   I'm fully employed

at roughly $60K per year.   All my CC's are up to date and paid on time for the last year.

    So my question can I get a used car loan say $18-20K with $1500 down?

---

Yes, you can, but you may not like the interest rate. A car loan is secured by the car itself. If the borrower does not make the monthly payments: the car can be repossessed, then sold to the next buyer. The interest rate is probably the most important thing.

---

I understand that and agree but unfortunately I was turned down today by a CU who stated

I had too many collections ( 4 ) on my report.  Albeit I have paid down some and all bills paid on

time for the past year and a half.  Pretty disheartening.

---

Even people with bad credit (someone with bad credit might have to buy from a used car dealer who is accustomed to repossessing etc.) are able to buy a used car because the car secures the loan, so the car can be repossessed, then sold to the next buyer.

There are many used car dealers who essentially treat prospective buyers with low credit essentially as prey people who have few choices regarding financing.

Each person must make his/her own decision as to how desperate he/she is for a car. If he/she is able to make payments on the used card for a while (I don't know how long), he/she may be able to refinance the loan through a different lender (maybe a credit union) at a lower interest rate.

[busyone1]

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@Gollum wrote:

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@busyone1 wrote:

---

@Gollum wrote:

---

@busyone1 wrote:

Happy Easter all.  

       I'm currently at 640 score, 4 CO'S and 4 Collection accounts. Working on paying

on two of them.    These CO'S and Collections are at least 2 years old.   I'm fully employed

at roughly $60K per year.   All my CC's are up to date and paid on time for the last year.

    So my question can I get a used car loan say $18-20K with $1500 down?

---

Yes, you can, but you may not like the interest rate. A car loan is secured by the car itself. If the borrower does not make the monthly payments: the car can be repossessed, then sold to the next buyer. The interest rate is probably the most important thing.

---

I understand that and agree but unfortunately I was turned down today by a CU who stated

I had too many collections ( 4 ) on my report.  Albeit I have paid down some and all bills paid on

time for the past year and a half.  Pretty disheartening.

---

Even people with bad credit (someone with bad credit might have to buy from a used car dealer who is accustomed to repossessing etc.) are able to buy a used car because the car secures the loan, so the car can be repossessed, then sold to the next buyer.

There are many used car dealers who essentially treat prospective buyers with low credit essentially as prey people who have few choices regarding financing.

Each person must make his/her own decision as to how desperate he/she is for a car. If he/she is able to make payments on the used card for a while (I don't know how long), he/she may be able to refinance the loan through a different lender (maybe a credit union) at a lower interest rate.

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I understand that.   I may go through Carvana albeit the interest rate is exorbitant .  I'm paying everything on time

so maybe I can do as you suggest and later refinance.  Hopefully I can purchase through Carvana.