MrNizzles

iTrader: (5)

I'm weighing my options for financing an FD as I would like to keep my $15K or so in the bank... I'm not posting to ask whether it's a good idea for me or not (I work for Microsoft, very steady career and so forth).

My question is, who gives auto loans to buy a 15 year old car? Also, assuming I qualify (with my 730 credit score), can I ask for more than what I actually pay for the car? For example, can I ask for $20K even if I go buy a roller and then use the rest of the funds to build it how I want?

This seems pie in the sky to me, can't be this easy... but I dunno, anyone have experience with this? I've heard Capital One is pretty good for auto loans but will they dictate what the price of my FD must be?

Thanks for not flamin' me for working for the Dark Lord of the Siths!

NTIMD8

iTrader: (1)

I doub't you will be able to get a "car loan" for the car. I think most people get a line of credit and use that. I could be wrong though.

norbak1258

My friend bought his fd and financed it with usaa for I think 48 or 60 months. His car is a 94.

MADDSLOW

iTrader: (11)

My bank let me take a 60 month loan for $15,450(120% of NADA value) at 5.45%, and the other $3,000 I put on my credit card (surprisingly lower interest than a personal loan at 9%). I was only 20 at the time, but had already established a decent credit score.

Archie

iTrader: (-1)

Capital One should be able to finance it. A line of credit is another option.

TK7

iTrader: (6)

bought my FD in september. I used a credit union to finance the whole thing. They offered like $16,500 ,or close to that ,for my 95. no problem financing the traditional way with banks, as long as you find one who will loan a decent amount.

however, capital one's blank check would be what you're wanting. YOU write in the amount. up to what your approved for. they do not base it on car value. you could pay $40,000 for a civic ,if you were stupid enough, and got approved for that much.

the only issue you would run into there is that when they cut the check for the amount you decide, i highly doubt YOU can cash it. it will be made out to the pre-established sellers name. So to use extra money for building a roller, you would have to buy the car from someone you trust enough, to give you back whatever money you decide on.

MrNizzles

iTrader: (5)

Hmm, interesting. I was thinking that if I could get a straight check that if would have to be made out to the seller (or small private dealer if I go that route, cough/hack, and find an FD with a decent engine/turbos), which would make getting the excess amount of $$$ back from the seller a bit of a reach. I would probably need some type of contract or collateral until I got the remaining funds.


How does the line of credit work? Is that just a straight check to ME?

Thanks for the info fellas!

4thtry

i would definitely NOT get a line of credit. yes it is an option, however the downside to a line of credit is that the interest rates are going to be VERY high.

if you're a home owner, take out a home equity loan. Interest rate is low & there are many different payment plans/options that will make it work for you.

1QWIK7

iTrader: (33)

Capital one looks at your credit history, not so much of the car you're buying (like some others) so if you do have a 730, you should qualify. Thats a tier 1.

But if i were you, id use part of your saved money, say 25-50% and then going to a credit union and borrowing a loan from them since most CU's offer low interest rates.

That way, you're guaranteed low interest and you wont have to borrow so much, and you still have money in the bank for your other necessities in life and/or the car because when get this car, you will have a craving to spend on unnecessary things. Not to mention the maintenance this car brings, but im sure you knew that otherwise you wont be looking at purchasing an FD.

Archie

iTrader: (-1)

Quoted for the truth!! It's mod mania!!!!!!! Beware...

matty

60 month loan....thats smart.

Monkman33

iTrader: (28)

If you have a good credit score, eloan.com will let you take out as much as you want on the car. Up to 100% of nada I believe. plus, as long as they get payments, they dont ever bug you or mess with you about the cars age.

MADDSLOW

iTrader: (11)

Umm... thanks?

I did it so I could build my credit (which is having an even better effect than I thought it would), and because it was the smartest decision for me to make as far as monthly payments. At 22, I have a credit score that is surprisingly higher than many other people that I know. So thanks for the , but take into consideration that perhaps my situation *might* be different than yours.

FearNoPiston

iTrader: (17)

I was 20 with no previous car loans and I got approved on the spot without a co-app. I got it at becu and got an interest rate of 7.5%. Some banks wont finance a car that is that old and some dont care how old as long as its mileage is under a 100k. good luck

LoneCorp

hmmM! this makes me want too

matty

good...i am ahppy for you. i didnt mean to come at you....just saying seems u will end up paying $30k for the car.

1QWIK7

iTrader: (33)

Nah you did the right thing.

Build credit, you had a low interest rate and at the same time your monthly payment is low.

That way, you can overlap your monthly by giving more a month, reducing timed payments in the process thus finalizing the loan term shorter than 60 months, almost beating the interest as a whole. Phew, you got that right?? lol

Either way, you did the right thing.

NTIMD8

iTrader: (1)

My line of credit is sitting at around 6%. That's not "that" high. Although I didnt use it to buy a car it would be an option if he couldnt get a car loan. Some banks will make the interest rate very high on an older car.

MrNizzles

iTrader: (5)

My first FD was with eloan.com actually and they didn't mind the age of the car, but the amount was low and they were especially happy because I paid them off in 3 months and it helped my credit score ALLOT! So, if you ARE in a reasonably financial situation of steady income, taking a loan or using manageable credit cards helps build credit, but be responsible and reasonable, mmmk?

Anyhow, aside from the "how to improve your credit score" show, I would really, really like to just keep the $15K I have saved for getting the laundry list of things I want to do once I get it, within the first 3 months. One really, really important thing for me after the reliability stuff and engine and turbos (stock/twins/non-seq/pfc, koyo, etc, etc) are done, is to have the entire interior removed and have some quality sound deadening material applied, I'm talking both the spray AND tape kind from the firewall all the way back to the taillights. And underneath in the wheel wells and everywhere I can. Then I want JDM rear seats, re-upholsterer leather front seats and a bitchin sound system installed. Last, would be the bumper I want and some seriously bad a$$$ Mon$y rims. So, after financing, that $15K (and hopefully $20 after Christmas!! ) is completely accounted for, no questions. A paint job? would be nice, mabye on a credit card... yah baby, BORROW AND SPEND!!! And I have a list of tools I'm getting too, so if you recommend something, hey, lets start a FAQ for tools... beyond just the FSM and a vacuum gauge

So, what I'm thinking and this gonna be tricky, is to first find the FD I want... *not easy... then figure out a way to get the seller to gimme the difference on the check I will give him from Capital One (gawd I hope their not reading this) which will be considerably more than what he sells it to me for, i.e. I buy a decent FD, but needs new engine/turbos - this way I KNOW my where she's at. Sound crazy?

I'm just trying to put together about $30K combined and see if that can get me the FD I want. This one has to be luxury, like she is one day gonna be a candidate for those Jackson auto actions on TV. "And here is a beautifully and elegantly restored original US produced VR on black FD!" Of course I know the spirit R will probably be the only FD that truly becomes a classic, but I can dream right? And dreams cost $$$ just the same that other necessity

SLOASFK

iTrader: (5)

+1. My friend financed his 94 through USAA too.

WE3RX7

iTrader: (8)

Credit scores aren't always the best thing. My sister has 60 points higher than myself, but I make twice the income and usually get approved for more things than her. She is also 1.5 years older.

Your score helps a bank look at you and decide a rate, but the income has to be there too to actually get approved.

Doesn't speed4sale.com finance FDs?

1QWIK7

iTrader: (33)

Thats true but he's applying for a loan for a used car, not a house.

With an over 700+ credit score, he established enough history.

His income can be 25k a year right now, he'll still get approved with a good interest rate.

Upgrayedd

iTrader: (1)

Shouldn't be a problem getting a loan for that car, just the loan term will be affected by the cars age. For instance, you probly won't be able to go any longer than 48 months for your loan term... That's what I experienced in 2003 when I bought mine... But it did't really matter cuz I paid it off after 26 months.

Try your personal bank. They'll usually offer you the best interest rate and possibly even discount your payment or APR if you use auto draft payments

MrNizzles

iTrader: (5)

I bank with Washington Mutual and they said they would not approve any vehicle older than 1999 and now this year coming up, 2008, so no vehicle older than 2000. Capitol One or eloan.com seems more reasonably.

I want a bank check for $20K (financed) to go buy a $10K - $12K FD (needs engine and or turbos). Then put my $15K saved with the extra $10K left over from the bank check and build it how I want. If I'm gonna spend the money and work my butt off to pay it back and save up again, I wanna do what I want.

So who will sell me a decent FD for a fair price and pay me back the difference on a $20K check?? {bends down on knees and prays to God}

I just had an idea! I will talk to my local rotary shop, who is known for doing good work on FD's, they are attributed to the forum here .. and ask if they might *help me out* ... I would be a life long customer for SURE.

1QWIK7

iTrader: (33)

Credit union or capital one are your best bets right now.

730 credit score, 15k in the bank IN CASE you dont get approved for your desired amount...

What are you waiting for??