I'm just wondering if any of you FD owners here in Ontario could suggest a financial institution that provides auto loans for cars 14+ years old? I was approved for the amount however TD does not finance cars over 7 years old! I'm sure there has to be some places without trying to bend you over with 13+% interest rates... Any information would be greatly appreciated

Thanks
Andrew

 

Have you tried other banks? Cibc? scotia bank?

 

I don't think any of the major banks will accept a 15 year old car as security. You are probably going to have to find an unsecured instrument. Personal loan or a line of credit etc.

 

I figure the other banks will be the same... does anyone offer a line of credit around the 10% interest mark?

 

Unsecured loans are harder to get but all the banks offer them. Your interest rate will depend on your debt ratio and credit rating. Under 10% is quite possible.

 

Thanks Charn I'll look into it. Any other people with previous experience please drop a suggestion. Thanks

 

Personally I think if you need a loan on a 15yo car you can't afford it...

 

FD's in good shape aren't cheep!

 

Your only choice is unsecured paying high interest rate. No financial institution will lend you money with a 15 year old car as security.

thewird

 

I asked CIBC before, they won't do it for a 15 yrs old car...........

 

Get a line of credit, then you can spend that money on anything.

 

As they said above. Your only option is either a line of credit, or save you pennies and pay cash.
As for under 10%, depending on your credit rating etc. it's very possible to get a line of credit at a point or two over prime.

 

line of credit is lower than 10%

 

I like your guys options on the line of credit! I'll look into it Thanks

 

You might also want to consider a line of credit which is higher than the value of the car....considering the money pits FDs can become with repairs and/or upgrades. The approach that people normally take is either saving for a nice, clean one and they do pop up from time to time, or buying one which is in need of repair, which eases you into FD ownership and allows you to pace yourself as you build up a nice car.

 

Another good thought, I'm a technician so fixing the car isn't really a $$$ issue it's more a time thing.

 

Any chance you own a property? You can get a line of credit for a something like a point and a half over your mortgage.

While I'm not the sort of person who likes to borrow money (never owed anything other than the mortgage and hoping to pay it off within 10 years total), the overwelming majority of people don't pay for $20k cars in cash. In a past life I sold cars and I can only think of two occations where someone actually paid cash.

 

Andrew you need to start saving your $$ I'm surprised you still dont have one yet...

 

I know. all my money is sunk into my business!!!

 

i bought mine with my line of credit and i just pay into that just like a car payment each month. I would definitely budget in the $25k range to start. That way you've got your car, an engine rebuild, and repairs factored in for the near future. There will always be something to fix

 

How much are you looking to spend on buying a FD?

 

What would you say if I told you I took out a loan for my 25 year old car?