Alternatives?

[stagefoursurvivor]

My sister just applied and was approved thru US Bank for a new car @8.9% for 72 mos or used thru Fifth Third Bank same, 8.9% for 72 mos, both done thru dealers.

In March Honda approved her for 4.9 @ 60 mos with an Experian of 646 according to the Honda dealer.

 

Any chance she could do better than 8.9? Where?

[stroked89coupe]

Try some local credit unions. Navy FCU if she qualify's for membership. DCU is another alternative.

[Jnavarro]

You can try Andrew's FCU Or ServiceCU.

[stagefoursurvivor]

Forgot to mention, she tried a couple local CUs, declined. I don't believe she's eligible for some of the others mentioned here.

[Jnavarro]

How much is she putting down? I used to work in a "dealership" and had to run credit apps all the time.

[stagefoursurvivor]

On the new it's kinda tricky from what I understand, MSRP is $45K, she wants to borrow $35K. Discounted $10K, so, OOP is tax and fees. The used, I'm uncertain

[stagefoursurvivor]

BTW, never heard of US Bank or Fifth Third?

[Jnavarro]

Are they rebates or discounts, rebates count towards downpayments in the dealership that I worked in.

 

She could always take the 60month loan and refinance a year later through a credit union once her credit score is higher.

[stagefoursurvivor]

I believe they're both rebates & discounts. Yes, I suggested that option to refi in a year or two. I simply thought 8.9 was excessive and thought I'd run it by the experts here.

[BRBiz]

Could be higher since it a second auto loan.

[stagefoursurvivor]

Could be higher since it a second auto loan.

Huh?

[BRBiz]

 

Could be higher since it a second auto loan.

Huh?

Am I reading wrong? Did she buy a Honda in March?

[stroked89coupe]

 

 

Could be higher since it a second auto loan.

Huh?

Am I reading wrong? Did she buy a Honda in March?

 

It must have just been an approval and not a purchase of that vehicle.

[stroked89coupe]

I'm just going to throw this out there.

 

 

Toyota is pretty good to work with. They give you 0%. I think there score requirement is 650.

[stagefoursurvivor]

 

 

Could be higher since it a second auto loan.

Huh?

Am I reading wrong? Did she buy a Honda in March?

OOPS, yes, she did buy an Accord for my nephew, her son.

[stagefoursurvivor]

I'm just going to throw this out there.

 

 

Toyota is pretty good to work with. They give you 0%. I think there score requirement is 650.

She looked at Toyotas, didn't like them and Lexus was too pricy

[BRBiz]

Ok.. You people are making me think I'm losing it! LOL... So I will go back to my first thoughts, she is getting a higher rate because its a second auto loan with a average credit score. Down the road she should be able to refinance with a CU. the first maybe to fresh of a loan and thus getting denied on the second by some CU's.

 

Not to mention the term.. Should be able to better with 60 or less months.

Edited May 2, 2013 by Brndnh721

[mk_378]

Actual cash down always looks good to a lender compared to a zero-down deal. And yes if she can afford the higher payments easily, ask for a shorter loan. Can always pay extra on any loan which saves interest and puts you in better position to refinance.