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Agreed, or atleast put down a down payment. 72 month loans are not a good look, if you gotta stretch it out that far its not worth it.
Car loan adive....
- Thread in 'General' Thread starter Started by jetlife johnny,
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Really wish I woulda took care of my credit when I was younger. I've paid for it the last 2 vehicles I've purchased SMH. interest rates were/are just absurd for me.
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I'll help too. I've been in the automotive industry for damn near 20 years. All aspects~ sales, finance, mgmt, wholesale, fleet, parts, etc.
Currently one of the best ways to get the lowest price is to go through the internet dept of any dealership. Most dealership's internet depts are cutting each other's throats to poach customers from one another.
Used cars are not cheaper than new. APR is usually higher on a used vehicle. Used cars also usually don't have dealer incentives/manufacturers rebates.
Invoice means NOTHING. Most brands have thousands of dollars between invoice and their actual bottom line.
What brand are you interested in? Are you trading anything in?
DONT BUY ANYTHING FROM THE FINANCE GUY. EVEN WHEN THEY SAY "it will only change your payment 3 dollars a month."
If the finance guy says "I'll give you (whatever) and it won't change your payment." What he means is you overpaid that much for your car.
USE THE INTERNET AND FIND OUT WHAT INCENTIVES ARE AVAILABLE.
Currently one of the best ways to get the lowest price is to go through the internet dept of any dealership. Most dealership's internet depts are cutting each other's throats to poach customers from one another.
Used cars are not cheaper than new. APR is usually higher on a used vehicle. Used cars also usually don't have dealer incentives/manufacturers rebates.
Invoice means NOTHING. Most brands have thousands of dollars between invoice and their actual bottom line.
What brand are you interested in? Are you trading anything in?
DONT BUY ANYTHING FROM THE FINANCE GUY. EVEN WHEN THEY SAY "it will only change your payment 3 dollars a month."
If the finance guy says "I'll give you (whatever) and it won't change your payment." What he means is you overpaid that much for your car.
USE THE INTERNET AND FIND OUT WHAT INCENTIVES ARE AVAILABLE.
superblytrife
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^ Co-sign the internet department route. MUCH easier than going from dealership to dealership, trying to haggle. If you're not a great negotiator or just hate the process like I do, this is the path to take. Also, the ability to create silence between you and the dealer is a great advantage to this route....leave them hanging for a day or so if their offer isn't what you want and watch them contact you to work things out.
I was able to negotiate EVERYTHING through email. All I had to do was show up, sign a few papers and I was off the lot in an hour or so.
I was able to negotiate EVERYTHING through email. All I had to do was show up, sign a few papers and I was off the lot in an hour or so.
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Dang so much good info!! Really appreciate everyone's input!!
I do have a trade in that I am trying to sell private party but having no luck!! It's a 2006 Impala SS and owe about $8500 on it and trade in value on it is like $6000 so I'm up side down about $2500- I've heard dealerships paying off existing loans regardless of what they owe just to get you in one of there cars is that true??
The cars I'm currently looking at is a 2013 Dodge Charger SRT8 for $34901 (I'm trying to get it for $32000) also a 2013 Audi A5 same price range as the Charger.
Could I get a loan on-line still having an existing loan out there with my CU and just handle that when I purchase my car?
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To be honest, you looking for a 5-6 year loan basically tells me you can't afford the vehicle you're looking for. You should never finance a vehicle for more than 48months...
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What does "ADIVE" mean??
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what kind of used car are you trying to buy for $30k?
why not just get a new one...
why not just get a new one...
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OR tells you that I am purchasing a car that I see myself in 5 years that HOLDS value.
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making $4200 a month w/ rent under $800 I don't know how he couldn't be able to afford it...
i don't know anyone making that much money with rent that cheap unless they live at home or have roommates
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I could easily afford it and am not on here to flaunt just genuine advice.
Honestly it's not that hard to believe, I live in a 1 bed condo in one of the most nicest areas in Orlando (Milennia)
I am blessed I found this place for $795
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Also I am in no CC debt, I have no kids nor school debt. I have a 401k open at my job that has over 10k in it and savings account- It's how you manage your money.
superblytrife
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Whatever you do, don't roll that negative equity into your new car loan. Doing that will only make you even further upside down. Not a good situation to be in.
If I was you, I'd pay down the current loan with the 3k you said you could use as a down payment. That way you could break even on the trade. It sucks to have to essentially pay money to get money, but if you don't, eventually you're going to be REALLY upside down. May as well get it out if the way now while the difference between value and amount owed is manageable.
If I was you, I'd pay down the current loan with the 3k you said you could use as a down payment. That way you could break even on the trade. It sucks to have to essentially pay money to get money, but if you don't, eventually you're going to be REALLY upside down. May as well get it out if the way now while the difference between value and amount owed is manageable.
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Some great advice in this thread. Although i don't get OPs situation either. You pulling in $4200 a month and want a 72 month car loan? Why? Why pay interest on that period of time if you don't have to. I know you can afford a higher payment. I make way less, have close to the same rent, and a ton of college debt and i could swing a $400 a month car note.
I would find a car for around 20k....put 5 down...finance the other 15 for 24/36 months. With a 72 month loan as you can tell by your SS situation a lot of cars won't be worth what you have left on the loan when you want to get rid of it in 4 or so years.
But im not a car guy so buy what makes you happy op and def use the advice in here
I would find a car for around 20k....put 5 down...finance the other 15 for 24/36 months. With a 72 month loan as you can tell by your SS situation a lot of cars won't be worth what you have left on the loan when you want to get rid of it in 4 or so years.
But im not a car guy so buy what makes you happy op and def use the advice in here
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That sounds like the route I'm going to take.
How exactly do I do all of this on line?? You know getting a loan off line from a different bank than the dealership and trading my car in and paying the difference and making all that make sense. Sorry I'm kind of new to this....
Thanks
superblytrife
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As far as new financing goes, just apply at your credit union or online. They don't need to know anything about trade-ins at this point. Also, don't factor in the trade-in value you think you'll get into your loan amount. Always best to be approved for more than you need than too little, obviously.
Once you've secured new financing, start car shopping. Do it online and always get the final, out-the-door, best price from a dealer. And get it in writing. From there you may be able to negotiate via email or phone, although I've run into several dealers that are adamant about you coming into the dealership to haggle. Avoid this--you're new and they'll crush you if you go in and haggle. When contacting dealers, they'll ask you almost off the bat if you have a trade-in. I'd advise to not let them know you're trading something in right away because all they'll do is try to make money off of you elsewhere. Secure their best price, negotiate if you're not comfortable with it and once you're good with the price, THEN start talking trade-in value. This will probably piss them off, but whatever. They're not your friends or family, so don't feel bad--they certainly don't feel bad about taking as much money from you as they can.
The bottom line is to be an informed buyer. Know what the car you want sells for in your area and pinpoint a maximum price you're willing to pay (within reason) and stick to that price. And shop around--don't be afraid to travel a little bit to get a car. And always, always, always pit the dealers in your area against one another with your quotes. If you want a good price, it might take a few weeks of doing this to get it. But trust that eventually you'll find a dealer willing to work with you.
The negative equity thing is what's gonna kill you though bro. Ideally, you should probably keep driving that joint, but if a new car is a must, you gotta do what you gotta do I guess. Like I said though, do NOT roll over that negative equity into a new loan. It really is a vicious cycle of debt.
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CRC must have not seen this...he wont tell you what you want to hear no way...
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I seriously feel like paypaling you some money lol
I really appreciate all the input and specifics!!
I will update with outcome- thanks again!!
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check out truecar.com. it shows how much people are paying for there cars around your area. nice way to compare with other dealers
lightweight champion
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