Jump to content

Please consider disabling your adblocker for CreditBoards if you have not already done so.  This site depends on advertising revenue to stay online.


Sign in to follow this  

Buying my first car: App for Marv from new member

The last post in this topic was posted 2366 days ago. 

 

We strongly encourage you to start a new post instead of replying to this one.

Recommended Posts


Your Age? 19

Your Equifax 683 MyFICO
Your Experian 690 MyFICO

Your TransUnion ? 650 FAKO

How many years have you been on file with Equifax? 1+
How many years have you been on file with Experian? 1+
How many years have you been on file with Transunion 1+

YOUR PREVIOUS AUTOMOTIVE

Do you have an open auto loan? No

Rate your payment history on this open auto loan from 1-10 (1=poor:10=Best) N/A


YOUR REVOLVING

Total number of revolving account(s) you have? 2
Total percentage utilized overall? 10%
How many of your revolving accounts are store cards? 0
How many of your revolving accounts are major credit cards? (i.e. Amex, MC, Visa) 2

How many of your revolving accounts are known subprime credit cards (i.e. Aspire, 1st Premier) 0

YOUR PERSONAL INFORMATION


How long at your current residence? 1 year

Do you Rent or have a Mortgage, or Live w/Relative or Other? Rent

Your Monthly Rent or Mortgage payment? $695

How long have you held your current job? 2 years
Your total provable monthly gross income is? $1600

Your provable monthly gross income is provable via what method? (i.e. computerized paycheck stub, or tax return) online paystubs

Is there additional monthly income? Yes: I am contracted by a local state senator, I receive hand-written checks, which won't be "provable" until taxes. Total income is over $2200.


YOUR DOWNPAYMENT
Please tell me your exact down payment in cash? Hoping for zero, can do $1k-2k
Does any credit repository contain any Public Record? no
If yes, please very briefly describe.

Does any credit repository contain any Collection Account(s)?
If yes, please very briefly describe.

Please rate your overall CREDITWORTHINESS on a scale of 1-10 (1=poor, 10= best) 7 (used too much on my cards when I first got them, using responsibly now)
Please rate your Installment CREDIT HISTORY on a scale of 1-10 (1=poor, 10=best) N/A

Please rate your Revolving CREDIT HISTORY on a scale of 1-10 (1=poor, 10=best) 10 (every payment has been made on time)

New or Used vehicle you are considering: Please very briefly describe. I want to buy a 2011 Chevy Malibu LS, 41K miles for $9400. The car is a steal, and has been checked by my mechanic. I recently moved, so I have yet to visit any credit unions, but I was hoping to develop a relationship with one of the locals. Is this a possible loan for a kid my age? I'm in the military and am working full time.

Share this post


Link to post
Share on other sites

The biggest problem you will have is your income is below the min. Of most banks.

 

Is this car from a dealer or private seller?

Share this post


Link to post
Share on other sites

It varies by lender but usually around $2400..

 

So since it's private sale you will have to go though a bank or CU. I think most banks are out of the question.. So you will need to find a CU that will work with first time buyers and your lower income.

Share this post


Link to post
Share on other sites

I am going to strongly advise against this. With $1600 in gross income you are taking home around $1350 a month. After your rent that leaves you $665 for electric, groceries, insurance, gas, car payment, medical costs, a cell phone...the list goes on and on. Even if we consider the $2200 a month (gross) that still means you're only taking home $1870 or $1175 after rent. Your car payment alone is going to be around $300. Add on insurance, gas, repair expenses, groceries, electric, medical costs, a cell phone and you are very quickly living paycheck to paycheck.

 

You should take that $1-2,000 you have and use that to buy a decent (maybe not pretty) used car until your income is higher or your expenses are lower.

Share this post


Link to post
Share on other sites

I am going to strongly advise against this. With $1600 in gross income you are taking home around $1350 a month. After your rent that leaves you $665 for electric, groceries, insurance, gas, car payment, medical costs, a cell phone...the list goes on and on. Even if we consider the $2200 a month (gross) that still means you're only taking home $1870 or $1175 after rent. Your car payment alone is going to be around $300. Add on insurance, gas, repair expenses, groceries, electric, medical costs, a cell phone and you are very quickly living paycheck to paycheck.

 

You should take that $1-2,000 you have and use that to buy a decent (maybe not pretty) used car until your income is higher or your expenses are lower.

If he put even 1k down, that would be financing 8400, a 5 year loan @ 6% would only about $163. Even with insurance he shouldn't be at $300.. (Not saying this is the best choice, just those numbers are a bit off) even 4 years would be under $200. :)

Share this post


Link to post
Share on other sites

I am going to strongly advise against this. With $1600 in gross income you are taking home around $1350 a month. After your rent that leaves you $665 for electric, groceries, insurance, gas, car payment, medical costs, a cell phone...the list goes on and on. Even if we consider the $2200 a month (gross) that still means you're only taking home $1870 or $1175 after rent. Your car payment alone is going to be around $300. Add on insurance, gas, repair expenses, groceries, electric, medical costs, a cell phone and you are very quickly living paycheck to paycheck.

 

You should take that $1-2,000 you have and use that to buy a decent (maybe not pretty) used car until your income is higher or your expenses are lower.

I believe I misspoke. $1600 (reportable) is what I'm working with after taxes, not that it makes a massive difference. I don't have a massive amount of expenses; my rent is split three ways, I pay 1/3 of $695. I can get a co-signer, that's not a problem, I would just rather not to.

I am aware of the costs that I have to be prepared for monthly, I do know how to make a budget. I appreciate the advice.

Share this post


Link to post
Share on other sites

 

 

I am going to strongly advise against this. With $1600 in gross income you are taking home around $1350 a month. After your rent that leaves you $665 for electric, groceries, insurance, gas, car payment, medical costs, a cell phone...the list goes on and on. Even if we consider the $2200 a month (gross) that still means you're only taking home $1870 or $1175 after rent. Your car payment alone is going to be around $300. Add on insurance, gas, repair expenses, groceries, electric, medical costs, a cell phone and you are very quickly living paycheck to paycheck.

 

You should take that $1-2,000 you have and use that to buy a decent (maybe not pretty) used car until your income is higher or your expenses are lower.

I believe I misspoke. $1600 (reportable) is what I'm working with after taxes, not that it makes a massive difference. I don't have a massive amount of expenses; my rent is split three ways, I pay 1/3 of $695. I can get a co-signer, that's not a problem, I would just rather not to.

I am aware of the costs that I have to be prepared for monthly, I do know how to make a budget. I appreciate the advice.

Generally most apps ask for pre tax amounts so you want to make sure you use that amount. It make a difference. Edited by BRBiz

Share this post


Link to post
Share on other sites

 

I am going to strongly advise against this. With $1600 in gross income you are taking home around $1350 a month. After your rent that leaves you $665 for electric, groceries, insurance, gas, car payment, medical costs, a cell phone...the list goes on and on. Even if we consider the $2200 a month (gross) that still means you're only taking home $1870 or $1175 after rent. Your car payment alone is going to be around $300. Add on insurance, gas, repair expenses, groceries, electric, medical costs, a cell phone and you are very quickly living paycheck to paycheck.

 

You should take that $1-2,000 you have and use that to buy a decent (maybe not pretty) used car until your income is higher or your expenses are lower.

If he put even 1k down, that would be financing 8400, a 5 year loan @ 6% would only about $163. Even with insurance he shouldn't be at $300.. (Not saying this is the best choice, just those numbers are a bit off) even 4 years would be under $200. :)

 

And his interest rate is unlikely to be 6% given his credit profile, age and income. My calculations are indicative of a subprime interest rate and a 3-4 year loan (unlikely to go longer due to the small amount of the loan).

Share this post


Link to post
Share on other sites

 

I am going to strongly advise against this. With $1600 in gross income you are taking home around $1350 a month. After your rent that leaves you $665 for electric, groceries, insurance, gas, car payment, medical costs, a cell phone...the list goes on and on. Even if we consider the $2200 a month (gross) that still means you're only taking home $1870 or $1175 after rent. Your car payment alone is going to be around $300. Add on insurance, gas, repair expenses, groceries, electric, medical costs, a cell phone and you are very quickly living paycheck to paycheck.

 

You should take that $1-2,000 you have and use that to buy a decent (maybe not pretty) used car until your income is higher or your expenses are lower.

I believe I misspoke. $1600 (reportable) is what I'm working with after taxes, not that it makes a massive difference. I don't have a massive amount of expenses; my rent is split three ways, I pay 1/3 of $695. I can get a co-signer, that's not a problem, I would just rather not to.

I am aware of the costs that I have to be prepared for monthly, I do know how to make a budget. I appreciate the advice.

 

I get that you are aware and your expenses are low but think about it from a bank's perspective. In their mind your situation could change tomorrow and you might be paying that rent and utilities all on your own. It is a bad risk and will be reflected in the terms (if even approved).

Share this post


Link to post
Share on other sites

Update:

Went to my local credit union with a cosigner, put 1k down, they offered 2.79% for 60 months with the cosigner, 5.9% without the cosigner. I obviously took the lower rate.

Thanks for your advice everyone, I'm still learning here and CB is really helping; I'm doing my darnedest to be responsible with the credit I'm given.

Any tips for a first time car owner now?

Share this post


Link to post
Share on other sites

Update:

Went to my local credit union with a cosigner, put 1k down, they offered 2.79% for 60 months with the cosigner, 5.9% without the cosigner. I obviously took the lower rate.

Thanks for your advice everyone, I'm still learning here and CB is really helping; I'm doing my darnedest to be responsible with the credit I'm given.

Any tips for a first time car owner now?

 

Congrats! Tips depend on if youre looking for more street or track use...

Share this post


Link to post
Share on other sites

The last post in this topic was posted 2366 days ago. 

 

We strongly encourage you to start a new post instead of replying to this one.

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Sign in to follow this  

  • Similar Content

    • By rounder07
      Has anyone had any luck removing any "lates" from their Auto Installment Loans. I have 2 "30 days late" from Toyota Motor group, one in November 2009, and the other in January 2010. The loan was paid off Early in late 2012. Just wondering if anybody has had experience in this area. Thanks in advance for any help or advice.
    • By lomalindagt
      My Chapter 7 is being filed by an attorney electronically this weekend.
       
      I will not reaffirm my car, but plan on paying to retain with the balance discharged. I'm upside down by about $4,000 on a 2011 Corolla, but have never been late on payments.
       
      My attorney has suggested I not reaffirm, and I can't redeem and a 722 redemption is not in my best interest.
       
      I was referred to a loan broker who specializes in pre-discharge and post-discharge auto loans. I think If I went on my own to a dealership the best I could do is 14 to 18 percent apr on a new car (just want a Honda Civic).
       
      I spoke with this broker. At first, I thought he represented lenders and was paid by them per loan, but he says he is actually paid by dealerships he has a relationship with. I explained the information on my credit reports and income, and he was confident he could get me financed at 11 to 12 percent APR and to submit an application once my petition is filed.
       
      He says he in essence cuts out the sales staff in deals, deals directly with the F and I guys at the dealership, and always gets his customers better financing. He says he handles price negotiating, gets complete terms from the dealership and if I don't like the deal I just walk.
       
      Has anyone had any experience with these type of brokers? I told him I would have $2500 down on a $20,000 purchase, and said it didn't matter, that he routinely finances with zero down. I found that advice somewhat disturbing.
       
      My credit bureau history is more than 25 years and I had stellar credit up until becoming disabled in 2008 and having to resign my $70,000 a year job. I should have filed Chapter 7 in 2010, but became hospitalized and had to pull out and get a refund from my attorney. The benefit of filing so late is that my derogatory trade lines will fall off sometime next year even when listed as IIB.
       
      From 2009 until 2003 I had zero positive trade lines, so when I bought this car I got hit at 24 percent interest. Since then, I have two positive trade lines for credit cards and a 15 month history of paying on time for the present auto loan. I routinely get auto refi offers in the 10 percent range, but didn't refi knowing this Chapter 7 filing was coming up.
       
      Any advice would be greatly appreciated.
       
      And I am very grateful for the experiences shared here on this forum.
       
       
    • By FICOhatesme
      Can long term auto financing lower someone's fico score?
      Does it look bad to other lenders even if you pay it off early?
       
      I want the longest loan term I can get, but I want to pay it off early.
    • By guerdd9
      Credit Application:

      Your Age? 22

      Your Equifax Credit Score? 546
      Your Experian Credit Score? 570
      Your TransUnion Credit Score? 601

      How many years have you been on file with Equifax? 6
      How many years have you been on file with Experian? 6
      How many years have you been on file with TransUnion? 6

      YOUR PREVIOUS AUTOMOTIVE CREDIT HISTORY

      Do you have an open auto loan? No
      Will this open auto loan be a trade-in? No
      How many late pays within the last 12 months on the currently open loan? 0
      How many late pays within the last 13-24 months on the currently open loan? 0
      Your current open auto loan is financed with?
      Your current open auto loan payment is?
      Estimated amount you may be upside down in this vehicle? 0
      Rate your payment history on this open auto loan from 1-10 (1=poor:10=Best)


      YOUR REVOLVING CREDIT HISTORY

      Total number of revolving account(s) you have? 3
      Total percentage utilized overall? 8%
      How many of your revolving accounts are store cards? 3
      How many of your revolving accounts are major credit cards? 2
      How many of your revolving accounts are known subprime credit cards 1

      YOUR PERSONAL INFORMATION

      How long at your current residence? 1 year
      Do you Rent or have a Mortgage, or Live w/Relative or Other? Rent
      Your Monthly Rent or Mortgage payment? $869
      How long have you held your current job? Graduated in May, got job as a teacher in August
      Your total provable monthly gross income is? 3583
      Your provable monthly gross income is provable via what method? (i.e. computerized paycheck stub, or tax return) Paystub
      Is there additional monthly income? What amount monthly? Yes-YMCA-200
      Describe the source. YMCA Camp Director
      Is the additional monthly income provable? Yes
      Spousal income is not applicable.

      YOUR DOWNPAYMENT
      Please tell me your exact down payment in cash? $1500
      Does any credit repository contain any Public Record? No
      If yes, please very briefly describe.

      Does any credit repository contain any Collection Account(s)?
      If yes, please very briefly describe.
      No
       
       
      The vehicle I am looking at is a 2009 Jeep Wrangler. It ranges from 19-24,000
    • By Matti
      Just a PSA -
       
      Dropped to 1.24%. Not sure if there's a thread around here that I missed?



  • Member Statistics

    • Total Members
      179,910
    • Most Online
      2,046

    Newest Member
    CreditGuy804
    Joined

About Us

Since 2003, creditboards.com has helped thousands of people repair their credit, force abusive collection agents to follow the law, ensure proper reporting by credit reporting agencies, and provided financial education to help avoid the pitfalls that can lead to negative tradelines.
×
×
  • Create New...

Important Information

Guidelines