MTHLY PAYMNT RECONSIDERATION..HELP

[Glex25]

Honestly I wouldn't even consider a V6 I would look into a EB but with 19% interest I wouldn't even be looking to finance/lease a car I would get my credit fixed as others have said

Sponsored

 

[S550Ace]

I personally wouldn't pay over $400/mo for a $20,000 car

That is exactly where i want to be thats with me & a co-signer, i can be there in 12 months refinacing the car again. I have a chance, but like everyone above said, i need to get my credit up.

 

[MaskedRacerX]

OP, how old are you?

 

[blakbearddelite]

Something tells me that if your credit is that bad, you shouldn't even be spending $23k on a car. I'd look for something in the $5k range.

 

[S550Ace]

OP, how old are you?

Going on 26 in couple days...December 4th

 

[daltron]

I was going to say that's not a bad price at all but then I realized it's not a fully loaded 5.0.

OP, do what everyone says, rebuild your credit and see what a CU says. Also, don't fall into the trap of "i'll buy it now with this horrendous APR and rebuild my credit down the line and refinance". Even IF that happens, you'd lose a ton of money.

Consider this: That APR is 5-10x more (not considering 0% promotions etc) than what anyone should be paying.

 

[MustangMatt]

I'd recommend checking out https://www.reddit.com/r/personalfinance/ for general financial advice to help get your finances in order and credit score up. I'll say this much though: if you're living month to month, you absolutely should not buy a new car.

 

[olla]

19% interest rate due to credit reasons....

NOOOOOOOOOOOOOOOOOOOOOOOOOO. NOOOODOOOOOOOOOOOOOOOOO

That is just ridiculous. Rebuild your credit first. Don't know get a small loan and pay it off, get a credit card and charge something like a 100 bucks and pay it off. There are many ways to fix your credit. And payoff whatever dragged you there. Assuming you are in the 450-550 range its not that hard to bring it up to the 650.

Ideally you should just get hold of your finances and credit score and once you get to the 700s then consider buying a new vehicle at near 0% interest.

Once you get an OK credit then consider buying. Don't make a mistake on buying at such high interest.

If you were a client and come to me for an opinion/advice I would seriously slap you in the head. JK OP. but yeah, don't do it.

 

[plc268]

Even good credit doesn't necessarily guarantee a good interest rate, especially if you're financing through the dealer.

It's definitely in your best interest to finance the car using a credit union or bank.

 

[olla]

What can work for you OP is a budget. There are many resources even online. There are good websites were you can create budgets for yourself and shave what you don't need. Maybe you are doing it already. And fix your credit, only you know what happened but in this country without credit you get bent backwards such as 19%

Consider a loan for 21k for 60 months

At 0% (Perfect credit 830+) = $350 a month
At 3% (Excellent 700+) = $368 a month
At 19% (Poor credit) = $544 a month

To put it into perspective if you had a perfect score you could have the same payment of the 19% or $544 BUT instead of 21k you could get a car that cost $32680

So you are gifting away $200 a month to the CEO of your financial institution just to drive a new car.

 

[daltron]

Even good credit doesn't necessarily guarantee a good interest rate, especially if you're financing through the dealer.

It's definitely in your best interest to finance the car using a credit union or bank.

I'll add: "It's definitely in your best interest to finance the car using a credit union or bank." - and then have the dealer try to beat it.

 

[olla]

It's definitely in your best interest to finance the car using a credit union or bank.

This ^^. Getting a pre-appoval first is the best way to avoid all the hassle that comes with buying a car and getting a good rate.

 

[S550Ace]

What can work for you OP is a budget. There are many resources even online. There are good websites were you can create budgets for yourself and shave what you don't need. Maybe you are doing it already. And fix your credit, only you know what happened but in this country without credit you get bent backwards such as 19%

Consider a loan for 21k for 60 months

At 0% (Perfect credit 830+) = $350 a month
At 3% (Excellent 700+) = $368 a month
At 19% (Poor credit) = $544 a month

To put it into perspective if you had a perfect score you could have the same payment of the 19% or $544 BUT instead of 21k you could get a car that cost $32680

So you are gifting away $200 a month to the CEO of your financial institution just to drive a new car.

Thumbs up, what if i were to get a co-signer with a good credit score & pay no more than 430? Even tho my credit is not so good i can pay my depth off in the mean time, I am just in a rush because i want a new S550... Not that i don't have a car, but everyone is tellin my not to jump & i am still on the edge....

 

[wproctor411]

http://www.daveramsey.com

Good advice. Debt is slavery.

 

[olla]

Thumbs up, what if i were to get a co-signer with a good credit score & pay no more than 430? Even tho my credit is not so good i can pay my depth off in the mean time, I am just in a rush because i want a new S550... Not that i don't have a car, but everyone is tellin my not to jump & i am still on the edge....

I would say pay your debt first specially if you own a car. Then when you pay it off you can buy the car with the cosigner which is the best option. That's what I would do personally.

When you buy with a cosigner you risk their credit as well. But the good thing about it is that you get the lower payment and build up your credit again.

Sponsored