RX7withNitrous

Ok so i am getting a third gen soon. Now my thing is i'll be taking out a loan or buying from a dealership. I don't know if i will be able to get a loan because of it being an older used car. So do you guys think the dealership is a good thing or not? Anyone know of any companies that do give loans for used cars?

chaste94

You'll probably pay more if you buy from a dealer, but you may get a warranty. You shouldn't have too much trouble with financing. I think people run into financing problems when they are buying a modified car that is priced well over blue blook. Banks just don't want to finance for too much over book, they don't take into account mods or anything like that. I think if you find one that's priced around book you should be able to finance through a regular bank.
I haven't tried them, but I've heard www.peoplefirst.com is a good place to get a loan if your credit is decent. When I bought mine I just got a loan from my credit union.

novadan67

I really don't think it should be that hard as long as your credit is good. I bought my FD from a private party and got a loan from Washington Mutual Bank. It was not a problem. I got a good deal on a stock FD, but if you are buying a heavily modded car for much higher than book value it may be a little more difficult.

FormerPorscheGuy

Welcome to the third gen section. Here are two posts that can help you with your financing question.

https://www.rx7club.com/showthread.p...highlight=loan

https://www.rx7club.com/forum/showth...hreadid=199420

As for the dealership question, thats a matter of what you want. The only benifit with a dealership is if you want a warranty and are able to get one out of them. Otherwise don't touch them. You will pay more at a dealer and most dealers in the US have third gens that none of us would touch with a ten foot pole and gloves on.

Look around and try to find one in good condition for a reasonable price.

RX7withNitrous

no im looking for something just clean stock or close to it. between 15-17k. Im 18 turning 19 in january i just have limited credit history i mean i have a checking account, and a credit card but i have never really had a car payment or anything because i have always just saved up and payed car for everything.

Kento

Hope you're able to get financing, but with your age and almost non-existent credit history, I think you're probably going to have to get someone to cosign for you in order to get a loan.

FormerPorscheGuy

A dealer will charge you an obscene price for what you want, that is if they even have what you are looking for. I have scene cars outside of dealerships with 15K miles have sales prices around $30K. Most lending institutes will only loan you the blue book value of the car which is much less then that.

RX7withNitrous

ya my parents co-signed on my 2003 montero sport but my dad needs a new car so he is going to take over the payments on that and im going to sell my second gen and give him some money for just wear and tear on my car ya know. Can Someone co-sign on a loan? I know they can on the actual car if it's at a dealership.

revsteve

iTrader: (6)

Having just gone through this recently, as I just acquired my 1993 RX a few weeks ago, and also having done business with PeopleFirst.com, I can give you the scoop on pretty much whatever you want to know.

Firstly, about the loan. If you go through a flesh and blood bank you will definitely have problems. Your primary concern should be the age of your vehicle. Most banks will not cut a used car loan for a vehicle that is over 5 years old. The reason for this is obvious enough - that the car will not be around for the life of the loan, so they fear people defaulting and not paying once the car dies.

Second concern is your age. Unless you have a miracle in your pocket or a really good job, no bank will loan you 20k to **** away on a car (esp one thats 10 years old). Your parents will have to cosign for it.

As for peoplefirst.com - they got me the loan on my last car and they were great - comeptitive interest rates and they even cut me a .25% break for automatically debiting the payment out of my account every month. Best of all - they dont care how old the car is and you can term your loan over 72 months instead of 36 or 60. If you plan on keeping your 7 forever, then what does it matter that you pay over 6 years instead of 5? Just a little more in interest is all.

Third - as I am experiencing now - the price of the car is only the first step. You must first understand exactly what it is you are getting into. By that I mean that this car in particular, because of its sensitivity, has the potential to cost you a lot of money. By buying a heavily tuned car, you run the risk of inheriting all the previous owners hard driving, misfortunes, and tuning mistakes. You are looking at a minimum of an additional 3k to pay the state tax, register it, tag it, title it, inspect it, repair it, and then finally - making those first few mods that will make your FD last forever (new AST, tie wrap job, downpipe, catback exhaust, boost gauge, and oil temp gauge are all necessary first steps). Top all that off with the labor it will take for a SPECIALIZED shop to do all those things (about 85 an hour), plus the cost of gas and insurance adds up to a lot.

Fourth is the dealership. I know a lot of people in this forum are a little finnicky about buying from a dealer. If you read past threads, you will understand that NEVER take this car to a dealer means NEVER. I can't even imagine what a dealer would do to an FD in the course of its "normal repair" when getting the car ready to sell.

The last thing you need to worry about is your insurance company. I am 23 years old, have a perfect driving record and my company almost didnt insure me on this car. It is on their "List" of cars that they do not insure for who are under the age of 24. Take 5 minutes to make the call before you go shopping.

The 2 best peices of advice I can give you - first - find a car out there that someone has babied. I had to wait 2 years searching for mine but I ended up getting a red 1993 RX with 30k orignal miles - The car sat under a cover for 11 years and the original factory paint (which oxidizes like a ****) was as shiny as the day it rolled off the assmebly line. I was lucky and got mine for $15,000. After $2,000 in tax, titles, registration, alarm, CD player, I am fixing to put in another $1500 for the aforementioned reliability mods.

Second - plan out all the money you need to put into the car to make it a good investment (alarm, reliability mods, cd player - minne came w/o one - tax, tags, title, extra costs for insurance/gas, etc) and take out a loan for that amount. Your monthly payments will be higher but it is better to make those payments with money you have saved then to shoot our wad and have to struggle to make the payments every 30 days. (if you are confused here is an example. 15k for the car, 4k for mods, DMV fees etc, and 500 additional dollars a year in gas, 500 more in ins. = 20,000. If you have 5k in the bank, use the 5k to pay the 20,000 every month - you dont have to earn any money for about a year. Also, you have the money in case an emergency with the car comes up (and it usually does).

If, after all that is said and done, you still feel like you want/can afford the car, then just make us all one promise. Dont make stupid posts about how you will go 120 down the highway weaving in and out of traffic putting the lives of others in danger (sorry - too many High School/early College kids post this stupid ish - im sure you are very mature).

Good luck - PM or AIM me if you have any other questions. I'd be more than happy to walk you through the process.

AresB16A2Turbo

Very nice informative post RevSteve.

RX7withNitrous

yea thanks man. Ya im not a crazy highway driver i used to back in the day but kinda matured and got over it. I do go to the 1/4 mile track in g-ville quite often the second gen usually has something wrong with it or isn't running right so im used to the oh wait this is broken now type stuff. I don't plan on going crazy with mods till it is payed off. Which shouldn't be that long cause i will most likely send in two payments at once sometimes. I'll pm you man and we can talk more.

RX7withNitrous

God i can't wait i've never even rode in one. I can't imagine actually driving one i think my head will explode.

Icemastr

iTrader: (2)

Some misinformation has been said, just want to straighten it out. There is no such thing as a "warranty" on a used vehicle, the only warranties on vehicles are the original manufacturers warranty. Often times when you purchase any vehicle new or used at a car dealership you will be presented with the opportunity to buy an Extended Service Contract, which usually theyre are different plans covering just a small number of components or a large amount of components. You can purchase an Extended Service Contract for yourself from the companies direct often times, many of them offer their ESC's for sale online. But be aware that most companies do not offer ESC's for cars over 100,000 miles or 10 years or older. Autogard is the company I have used a lot, but think the car must be under 100,000 miles still. Also their are two differnet types of financing in a dealership, prime and sub-prime. Prime financing is buyers with good credit histories purchasing a faily new vehicle. Depending on qualifying factors, mostly credit score, banks will often advance anywhere from 95% to 130% of the vehicles Kelly Blue Book WHOLESALE Value, or of the cars invoice. However those same banks usually will not finance a car older than 10 years or 100,000 miles at the most, some wont finance cars more than 5 years. You qualify for sub-prime right off the bat since you are a first time buyer, have little credit history, and are trying to buy am older car. Both my girlfriend and I have been sub-prime finance managers( she still is one) and most of the lenders we have dealt with do not lend money directly to people, the deals have to go through dealerships. However for two reasons even if you have a cosigner expect to pay anywhere from 15-30%interest pay 25-60% down and have a very short term. This is because you are young and have little credit history and the car is an older car. The banks dont care about the vaue of a car if it has "mods" or anything, just whatever the cars wholesale blue book value is with its options miles and year. Hope that helps, if you want some information on Extended Service Contract Providers, or financing companies let me know. I dont want to burst your bubble of getting one, but expect to $3000-$7000 down. In my opinion if you have to finance more than just a small bit to get a 3rd gen RX7, you will have a tough time affording one.

adam c

iTrader: (2)

Maybe you should actually drive one before deciding to buy. Be sure to open the windows when you drive one. That way, the cars interior will not "expand" when your head explodes

RX7withNitrous

haha good call on the windows thing.... I should be able swing it the payment can't be anymore than the $540 a month im paying on my montero now.

FD_Newb_1974

Quick Question:

Your purchasing a car for $5K, however it needs $5K in improvements. Is there any harm in writing the peoplefirst blank check to the seller for $10K, having him put $10K on the bill of sale, and returning the difference to you in the form of cash/cashiers check/money order? Other than some additional sales tax, any problems?

vchacon

Good idea, but 1 you need to trust the seller and 2 will the lender approve the higher amount for the vehicle.

FD_Newb_1974

My understanding is PeopleFirst lends based on your credit history and doesn't care what vehicle.

Agreed on the Seller part

sad_astronaut8500

when i was 18 i got a 99 ws6 trans am...and i had hell trying to get it insured...im still paying about 300 a month for insurance....i just turned 23 and im trying to get a 93 rx-7....will it still be hell trying to get this car insured....what kind of rates did you get?

Brad

Back in the day? Dude, you're 18!

Sorry, I just thought it was funny....

njstreetrx7

i had a turbo 2 and i recently decided to seel it bcause i got a high paying job...i went on the look 4 a 3rd gen ...i found alot in my area 4 about 10-13k modified slightly. i was iin the process of getting aloan 2 under my name but all 3 places i want said my credit was good(i only have one credit card and i make my payments on time) they all said i didnt have a sufficent amount of credit to be based on and trhey alll said i will give u the loan if i can get a co signer ...but i couldnt cause my mom said that she was doing refinancing on the house so it wasnt happening...so now ima get my car in march..its kind of good cause i dont have 2 drive my car through the winter but ima b saving all my money till march so i will have money to do wwhat i want to my car..and in march i will b able to have my mother co-sign.....good luck ....just told u what i went through cause it seems as if we both are going throught the same problem...
my suggestion is to wait out if u can get a cosigner and look for a avg fd for no more than 10-13k and take out a loan 4 15-17k so u will have money to straighten out these rotary problem and some cash so u can do a lil somethiong nice 2 the car!!!!! peace and good luck!!!

Kento

i stil think it wuld b kuul if we had a spellcheck program 4 dis 4rum...

fastcarfreak

lol

RX7withNitrous

ya my mom is going tomm to check and see if i can get approved for a 15,000 loan with her co-signing and then the search is on . Now to just figure out what color haha.

FeatherTheClutch

dealership should be fine and dont be picky about a color... get a custom paint job and stand out =)