upside down

[wiser]

hello,

 

I have been here many times with many ideas to refinance.

 

This is what I am currently thinking.

 

Currently at 13.9%, upside down about 3K.

 

FAKo's in the low 600's.

 

Interest rates are falling down everywhere. Thinking about buying a new car with current lender. They send offers all the time.

 

Is there a chart that I could compare what I am currently paying to see if purchasing a new car with a lower interest rate would be cheaper in the long run?

 

Want to know if to refinance with a lower rate is better than purchasing a new car, since my scores have risen since buying the car.

 

Still have some baddies and an old repo on my credit report from awhile ago.

 

Any ideas, comments are welcome. I want something faster, more luxurious with the same payment amount at a lower interest rate.

 

 

Wiser

[MarvBear]

I want something faster, more luxurious with the same payment amount at a lower interest rate.

 

and so does every other customer we deal with, but alas, none are willing to come up with the down payment necessary to unbury their negative equity.

 

People with a historical pattern of short term auto loans, which are obviously a result of refi's certainly do not do their auto enhanced fico scores any favor, nor do I much imagine their classic flavor of fico is positively impacted.

[Chris in OK]

I want something faster, more luxurious with the same payment amount at a lower interest rate.

 

and so does every other customer we deal with, but alas, none are willing to come up with the down payment necessary to unbury their negative equity.

 

People with a historical pattern of short term auto loans, which are obviously a result of refi's certainly do not do their auto enhanced fico scores any favor, nor do I much imagine their classic flavor of fico is positively impacted.

 

I must be the exception to that rule Marv.

[hurricanesfans27]

IMHO the easiest way to get right side up on a car loan is to pay it off.

 

 

 

 

every other way i know of is ILLEGAL

[Polarhound]

IMHO the easiest way to get right side up on a car loan is to pay it off.

 

every other way i know of is ILLEGAL

 

Outside of winning the lottery, that is.

[hurricanesfans27]

IMHO the easiest way to get right side up on a car loan is to pay it off.

 

every other way i know of is ILLEGAL

 

Outside of winning the lottery, that is.

that would fall under my definition of paying the car off

[jpmusocat]

...People with a historical pattern of short term auto loans, which are obviously a result of refi's certainly do not do their auto enhanced fico scores any favor, nor do I much imagine their classic flavor of fico is positively impacted.

 

 

Hi, Marv,

 

Your post caught my eye as a very important bit of info - I had wondered about this. On my new vehicle loan, I made 8 payments on the loan (originated at the dealership), and then refi'd for $60 less per month. I have made 18 payments on that loan.

 

I've been thinking of trading the car in (and I do know it's going to take a few thousand in cash down to make it work), so could you elaborate a bit on how refi'ing would affect auto scores? In my case, would 24 payments on the current loan look significantly better to the F&I man at the dealer? Do the first 8 payments matter much? No late pays - all were on or before the due date.

 

I'd appreciate any wisdom you could give on this --- Thanks, Mr. Bear

[MarvBear]

Two short term auto loans, obviously would decrease your overall average age of accounts. And lender look at ROI when approving a loan. If it appears that the consumer is in a habit of seeking constant refi's they may be less lenient in the extension of credit.

 

ROI = Return On Investment.

[jpmusocat]

Thanks, Marv.

[marinracer]

also if you get a new car, you'll be in the same boat in two years. if you have a lot of miles on your car that is driving the value down, be sure to let your insurance know. so, maybe they can adjust your premium.