What are my chances of getting approved for car financing?
My current car had already failed me (engine) @ 295k mileage and I am now without transportation which is a major necessity for me going to work and school. Currently I have my eyes on a used car $18,000 with 15k miles on it $15,000 with 60k miles on it $12,000 with 100k miles on it I recently pulled my credit score/history and my current score is 662 I have about 5 credit cards (Visa, Mastercard) I have about 3 retail cards (GE Capital) Yes, I have that many but my credit history has never had any late payments, ever.. Minimum payments for total cards is $175/month I don't pay rent/living expenses as I am living with my parent. My monthly gross is about $1500 My monthly net is about $1250 And I have $5,000 - $6,000 down payment in cash. From the 3 vehicles listed above I'm trying to get the lowest mileage I can which is the $18k car but I'd like to know what you guys think about my current situation? If you were the dealer would you give the car to me? If not, What are my chances of getting approved for financing/auto loan? My bank is Bank of America but I am unsure they will help me with getting a car. What options do I have? Please help. Thanks in advance.
How long does it take for auto loans to be approved at a dealership?
Oh boy...not sure who you are talking to who is putting thoughts of you going to jail in your head. LOL First off, if your credit passes the smell test, they will let you drive off with the car. I am here to tell you: DO NOT DO THAT!!!! NEVER drive off the lot until you have all the paperwork signed, sealed and delivered! That is about the dumbest thing you can do. No, wait, I digress, the dumbest thing you can do is walk into a dealership with your pants around your ankles and put yourself at their mercy to **** **** you by putting you into a freaking loan! Jesus! Do you belong to a credit union? If not, go join one and wait to buy a car. Why? Because, you will get better terms from a credit union than you will from some smarmy *finance manager* at a dealer. (sorry to all those guys, but, they do like to eff you over if they think you are stupid) You are ALWAYS ALWAYS ALWAYS (did that sink in?) better off walking into a dealership with your OWN financing in place. You won't have to deal with sitting in the darn room they put you in for 30 min while the salesperson goes and acts like he is getting you a great deal with the *boss*. LOL You know what that sales guy is doing? He isn't getting you any better deal or even talking to the manager! He is letting you sweat it out in that stupid room!!!! It's all psychological and if you walk in there with your own financing, you beat them at their own game! They don't want to give you the price you want, forget em! Most people walk into dealers and put themselves at their mercy and get screwed!!!! They walk out with longer than they wanted loans and higher than they need interest. They get all sorts of hidden fees added in for good measure..it's a bleeping mess! Anyways, whatever you do, if you are intent on the dealer finding you financing, do NOT drive the car home. If they cannot finalize the deal that day, tell them you will come back when they can.
Will I get approved for a new auto loan?
I was wondering if anyone knew my chances of getting approved for a new car loan. Here's my situation: Car price: $27,000 Down payment: $4,000 Loan wanted: $23,000 (I will be able to pay for TTL) Income: I am currently a medical student who's tuition and "stipend" are paid for by the military. My "stipend" is $25,000/year which equates to roughly $500/week. I spend $1200/month on (apartment, phone, electricity, water, insurance, bills, food... all bills, etc). Before you say "Oh man, you can't afford that car" realize that I make an extra 500-600/month tutoring for exams and don't want to count that as "income" since I don't want to be taxed on it and I have no "proof" that it's income so I can't add that when applying. Also, in May I will be getting paid much more because I am graduating (about 100K). Some say..."just wait" but my car is dead and I don't want to spend money on a junker, just to buy a new one in less than a year. Credit score: 703- assuming it is low because I'm young and don't have a large credit history, as well as low income. I've never missed a payment on anything and have a credit card that I use for $300/month just to "build credit," which I immediately pay off every month. Anyways: Saw a nice used car I liked for 24K (1 year old) and applied to 5 different banks online (USAA, BOA, Midfirst, and 2 credit unions). Denied by all of them due to "insufficient income" and "short credit history"...toward the end I got "too many inquiries in the last 12 months" (which those inquiries were from the previous banks I triedd. Little did I know, applying for a loan actually drops your credit :( I was previously a 720. I heard that a new car is easier to get approved for due to the dealership working things for you because they want a sale. Is this true? Is it worth the risk of lowering my credit score by applying at the dealership? Sorry for long post and thank you so much in advance for reading!
Will i get approved get for a 10,000 auto loan?
Auto finance is what I do for a living there are 10 things that go into making up a car deal weather it's a purchase or a lease. 1. Term of loan. Shorter the better. 2. Age of vehicle. Newer the better. 3. Miles on vehicle. Lower the better. 4. Amount to finance compared to book value. Lower the better. 5. Credit score. Higher the better. 6. Credit profile. Deeper the better. 7. Down payment. More the better. 8. Monthly income. Higher the better. 9. Time on job. Longer the better. 10. Time at residence. Longer the better. As long as all of the above are in line with the lender guide lines and you make enough income to budget for the payment you should be approved. Good luck.
Does USAA online auto loans require proof of income?
I applied for a USAA auto loan and I got approved. (I'm only 18 so I've never done this before) I filled out the online paperwork and it says I'm all set to buy a car. I'm the beginning it asked me how much I made but never asked for a verification. Will I be asked at the dealership or do they just go by word of mouth. If I do need to bring proof of income what do I bring? Two pay stubs or is one fine?
Getting a $40,000 car loan at the age of 20?
you can try but i can almost guarantee you with absolute certainty that no bank or financing company will approve you for that amount. Your 20 years old strike one most banks won't approve anything over 20k unless your 25 (show your responsible) Im assuming since your 20 you have only had your credit cards for 2 years thats strike two. You haven't had credit long enough to approve a 40k car loan. Unless you have a credit score of 715 + most banks can't approve, not they won't but they can't approve you for anything (except student loans) above 10k. I'm assuming since you didn't put it in your not paying rent, not paying phone bills, basically it will look like your still dependent on your parents. On the very slim chance that you do get approved they will make you have one if not two co signers. Your best bet would be apply for the loan under your dads name.
Could I Be Accepted For A 60k Car Loan?
In your other question, you stated: "Can I Get Accepted For A 60k Car Loan? I make 13k a year I have been working for this company for 3 years and have no debt . I plan in saving $ to put as a down payment of 5k? Is it possible ? Or do I have to wait until I have a better paying job?" Four weeks ago, you were "a 18 year old guy still a virgin and about to lose it tomorrow" However, I'll bite. Assuming the $25,000 you make is your net (take home) pay, you make $2,083.33. Banks lend money based on your "debt to net" ratio, which is how much you get paid versus how much you pay out. They will not approve you for a loan in which your payment exceeds 25% of your net pay. In this case, you max payment would be $520.83. A $58,000 car, minus your $5,000 down, comes out to $53,000. Plus tax ($4,240 - estimated at 8%), title and license ($1,060 - estimated at 2%), gives you a total amount financed of $58,300. Assuming you had the credit to get approved for this car (you don't, not with this income), your payments would be $1,127.10 (60 months at 60%). The payments alone are more than half your income. Now, because you're financing, you need to carry full coverage insurance. Being 20, expect a premium of no less that $800 per month on this car. You need to put gas in it, so let's go with the national average, which is $250 per month. You also need to save for incidentals (oil changes, tires, maintenance, and upkeep), and, considering this is a Bentley, you'll need to save quite a bit ($300 oil change, $2,000 for a set of tires), so let's save $200 a month. Just the payment, insurance, and gas puts you up to $2,177.10. Since this is more than you make, somehow, you're going to need to pay for your first oil change when it's due. Sorry, as I stated before, the math just doesn't work.
What is the best way to finance a car purchase?
The best way to finance a car purchase, whether new or used, is with the seller dealership. Unlike a bank, they have less visibility into your finances and usually rely on your general score with credit agencies, without nitpicking your regular income or your debt. Of course outstanding debt will factor into your score, but if you make regular payments and have decent wages you should qualify either way. When applying through your existing financial institution/bank, the approval process appears to go more in-depth and your banking history may come into scrutiny if you have weaker finances.When setting up your payments you should provide an account on which you have no transaction fees, especially if you will be paying once a week or once every two weeks.You can choose whether to set up the automatic payments on your main chequing account or a secondary one; if you have stable finances and always keep a positive balance, you can use the main account. If you are struggling paycheck-to-paycheck, you should use a secondary account to allow you to plan your budget around the payments and only leave in the account what is required for the payment, so that every dollar is put to work.Finally, outside of a payment plan, the cash-down payment from your savings (if you have any) is the very best way to pay for a car, as it accrues no interest and does not complicate your financial history. Cash-down also does not accumulate any credit data, so if you're a young person with little credit history, but good finances, getting a car with a 0% interest payment plan may be a good idea after all.