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Used Car loan with bad credit but 50% down??

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Got into an accident and my car (2012 Honda Civic EX 79K miles) will likely be totaled by my insurance company - I got sideswiped which badly dented and scraped the doors on the passenger side and ripped the front bumper off. I brought the car to several body shops which now even don't even discuss or give estimates if you have insurance - finally I just dropped it off to one near my house in the insurance companies network

I have an $800 deductible and I figure insurance company will likely declare it a total loss and give me $5,000, I have another $5,000 which I can put into so I walk into a dealership with $10,000 cash to put down. My credit is horrible - I don't want to discuss the details here but it has been a really bad year for me and now I am without a car.. My question is that assuming I can find something for around $20,000 at a used car lot, can I get a loan for $10,000 with $10,000 down ????

Edited by MarvBear
So I can actually see the written words.

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You don't indicate what part of the country you are in, but looking for a serviceable used vehicle says you SHOULD have plenty of options that don't require plunking down $20K total on a vehicle.  Hell, locally, $20K can get you one of several NEW Nissans (as one manufacturer example).  

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4 hours ago, centex said:

You don't indicate what part of the country you are in, but looking for a serviceable used vehicle says you SHOULD have plenty of options that don't require plunking down $20K total on a vehicle.  Hell, locally, $20K can get you one of several NEW Nissans (as one manufacturer example).  

No I said $10,000 down (meaning $8500 after deductible which I am getting from insurance plus $1500 cash out of pocket = $10,000....

Note: I am just rounding using rough back of hand calculations

 

So I figure a car for $15,000 purchase price (plus another $2100 for taxes & reg fees)... 

 

I will be putting DOWN over 50% if the transactions total but my credit sucks but I cannot pay full cash out the door.

 

so what are my options here (if any).   I find that I am told I have plenty of options but then the deal falls thru because I can't get financed with any amount down.  

 

I read that the subprime market (less than 580 credit score) are just 3% of loans now

 

The last loan I took thru Honda Financial was similar but I wish I could share in the optimism -- I am honestly scared shi*tle*SS -  finding any car at all for $15,000 or less( just the purchase price) and financing $5000 - $8000 on something that won't require thousands of dollars in repairs in the first few days / months driving off the lot. 

As I will mention below I paid off that loan with Honda Financial just this last March and never missed or was late on a payment.

 

As course I discussed my situation with Honda Financial and was told literally "no chance" -- they look at overall credit and (yes they really said this) there underwriters wouldn't approve loaning me a wooden nickel with my credit profile

 

As people here can probably agree with the used car, new car, car repair, home ,,  home repair, rental markets are all FIRMLY sellers markets now..  

 

 

 

I have a paid off car loan thru Honda Financial from earlier this year so I have that positive trade but only two open credit lines on my credit report BUT for reasons I don't want to discuss here many charged off credit cards in the past five years. 

 

My credit scores are 516 - 548 from Transunion and Equifax

Edited by NickL

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Go to a Ford or Toyota store.   Those captive lenders are the most flexible.  Buy the cheapest thing you can find if you must finance.  The pickier you become; well your chances go down.  Sounds like a deal to me where the F&I person is going to have to do some favor pulling.

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2 hours ago, NickL said:

No I said $10,000 down (meaning $8500 after deductible which I am getting from insurance plus $1500 cash out of pocket = $10,000....

Note: I am just rounding using rough back of hand calculations

 

So I figure a car for $15,000 purchase price (plus another $2100 for taxes & reg fees)... 

 

I will be putting DOWN over 50% if the transactions total but my credit sucks but I cannot pay full cash out the door.

 

so what are my options here (if any).   I find that I am told I have plenty of options but then the deal falls thru because I can't get financed with any amount down.  

 

I read that the subprime market (less than 580 credit score) are just 3% of loans now

 

The last loan I took thru Honda Financial was similar but I wish I could share in the optimism -- I am honestly scared shi*tle*SS -  finding any car at all for $15,000 or less( just the purchase price) and financing $5000 - $8000 on something that won't require thousands of dollars in repairs in the first few days / months driving off the lot. 

As I will mention below I paid off that loan with Honda Financial just this last March and never missed or was late on a payment.

 

As course I discussed my situation with Honda Financial and was told literally "no chance" -- they look at overall credit and (yes they really said this) there underwriters wouldn't approve loaning me a wooden nickel with my credit profile

 

As people here can probably agree with the used car, new car, car repair, home ,,  home repair, rental markets are all FIRMLY sellers markets now..  

 

 

 

I have a paid off car loan thru Honda Financial from earlier this year so I have that positive trade but only two open credit lines on my credit report BUT for reasons I don't want to discuss here many charged off credit cards in the past five years. 

 

My credit scores are 516 - 548 from Transunion and Equifax

I know what you said about down payment.  My 'plunking down' is an all-in figure.  The reality is that your $20K number on a used vehicle doesn't pass the sniff test.  You have $10K to work with and can find a GOOD used vehicle for less than THAT and still have money in your pocket.

 

What you don't want to do is burn bridges on the phone.  Let the dealership F&I people do their jobs if you are that deadset on going through a dealership.

 

We STILL don't know what part of the country you are in, but I have YET to ever have a purchase I made require 15% for taxes and fees (which is roughly what your estimate of $2100 works out to on a $15K purchase).  But then again, I live somewhere that sees the tax set at roughly 6.25% of the net price and where the fees for the dealership to do title paperwork are often more than the registration since we only pay about $85 a year at most for the registration.  Better guidance could likely have been offered if we knew WHAT area you were looking to buy from...

 

While used car prices have gone up somewhat, they are still reasonable.  New cars still have a number of discounts.  Car repair prices are stable.  So again, you are either in a very remote part of Alaska or the Florida Keys or you have not actually put boots on the ground and done research on what is really out there. 

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To the OP,   I just looked up your car's value using my zip code. You should be able to replace your vehicle with similar for $10,000.00.   that is roughly what a 2012 Honda civic ex with 79 clicks on the odometer is worth on the retail market ~.   You also have almost a $1.000.00 add for the miles.   You need to bargain better with the insurance company.

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Two of our three vehicles are worth right at $10k each.  

 

For the one that's worth more, Vroom just offered me $10,352.  

 

I'm only thinking about selling it because I bought it new and I'm tired of it after 9 years.  At 84,000 miles, it still has a lot of useful life left in it.

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Used car prices might be up but can still get a nice reliable used car for 3 - 5k, keep the other 5 - 7k for an emergency fund. It'll help you on the journey of repairing your credit and financial situation. Instead of digging you deeper with another high interest loan robbing you of your income and potential savings.

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Not sure if this works for the OP but I would be going down to a dealer auto auction and get a car.  You need to know someone that has a dealers license to help you out.  $10K cash can get you a good used auto.   

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The OP is unfortunately afraid of a used car. She needs to put in a little more effort to see what 10k would buy.


Sent from my iPhone using Tapatalk

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If you go new?  Depending on wants:  https://www.ford.com/suvs-crossovers/ecosport/models/ecosport-s/

https://www.nissanusa.com/shopping-tools/build-price/cars/versa/2020/5-speed-manual-transmission/28862:BABW_:Ap4H4Jw/exterior

 

https://www.toyota.com/yaris/

Solid options under $20k after taxes and tags.  (Again, without knowing your location it's harder to pin down)

 

This search offers a wide variety that can come to you in used format, and their financing I've heard good about, though never used them myself.

https://www.carvana.com/cars/filters/?cvnaid=eyJwcmljZSI6eyJtaW4iOjY5OTAsIm1heCI6ODAwMH0sImZpbmFuY2UiOnsiZG93blBheW1lbnQiOjUwMDAsIm1vbnRobHlQYXltZW50IjoxMTV9fQ==

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