Car Loan Question

[gluck]

Where should I get it ? Should I get it from the Toyota Finance or try before hand from my Bank. My credit score is around 745.

Went to a couple of dealers and they never tell me the APR. They are just in a hurry to run the credit.

What should I do ?

 

[huesmann]

Get it from the place that will give you the lowest APR, duh.

 

[saxophonoia]

I got mine from a credit union. They usually have some of the cheapest APR's around.

 

[nakedfrog]

Start with your bank or credit union.

 

[jcovercash]

Originally posted by: saxophonoia
I got mine from a credit union. They usually have some of the cheapest APR's around.

 

[franksta]

We got our loan through Volvo Financing as we were recent graduates and they had a promotion for 1.9% and $500. The credit union would have been our 2nd choice. Make the dealers tell you the APR, they shouldn't withhold that from you.

 

[austin316]

I just asked a similar question.


Look Here

 

[gluck]

I just checked Toyota has 1.9% for 36 months. Now will they give me the same deal ? They are known to back off and change things all the time.

 

[Vic]

Manufacturers often have promotional discounted financing for preferred new car buyers that is better than anything else anywhere. Sometimes as low as 0%. Before letting any dealers check your credit, ask about the availability of such financing offers. Bear in mind, these kinds of offers are typically for new cars and 720+ credit score buyers only, and terms are often limited to 36 or 48 months. If it is available, and you can qualify for it, then you should get it.
Otherwise, credit unions typically having the best interest rates and financing offers. Typical preferred auto rates at credit unions at this time are in the 4% range.

A couple tips:
- If you are looking to buy a new car and know what you want, do not shop by actually going to the dealer lots. Shop by phone and internet first. Actually going to the dealership should be only for doing test drives (and of course, picking up the car when you're ready to buy). I know it can be fun to go to dealerships to get involved in the whole car buying process, but only suckers buy cars that way.
- Dealers do not need to pull your credit to quote you the best rate. So don't let them until you've finally settled on a particular car, dealership, and offer. Call a local dealership and ask a salesperson -- "Hi, I'm interested in buying <blank>, is there any promotional financing available for that model at this time and, if so, what is it?" If the salesperson won't tell you right away, then hang up. This is not like getting a mortgage with a ton of complicating factors that can affect the rate. The promotional rate is either available or it is not. If not, go to the credit union and skip dealer financing altogether.

 

[Drakkon]

1.9 for 36 is most likely based off a credit score of something crazy like 780 or higher...better to go through the loal credit union as suggested already no matter what

 

[olds]

Get pre-approved form a Credit Union or Bank. Then see what the dealer offers you. Choose from there.
With a 745 you will have no trouble

 

[Vic]

Originally posted by: gluck
I just checked Toyota has 1.9% for 36 months. Now will they give me the same deal ? They are known to back off and change things all the time.

Didn't see this post before my post above.

Provided you have the income and are willing to do the 36 month term, you should qualify easily based on the 745 score.
There is a simple way to deal with dishonest dealerships that "are known to back off and change things all the time" -- tell them NO. If they won't give you the 1.9%, then get the financing through your credit union. The best way to avoid dealer games is not to play.

 

[Vic]

Originally posted by: Drakkon
1.9 for 36 is most likely based off a credit score of something crazy like 780 or higher...better to go through the loal credit union as suggested already no matter what

780? :roll:

Please shut up.


The qualifying is probably 680 and a 50% total DTI, max LTV of 100% MSRP.

edit: at 720 and above they'll probably do it with a single paystub, maybe even no-doc.

 

[gluck]

Agreed Dealers are like leachers and want to suck every drop of cash

 

[randomlinh]

my bank flat out said "try the dealer first. they got the hook up" I went w/ a pretty long financing period.. and my credit history is short.. and i refused to get a co-signer.... so I didn't get a nice 4, got just under 6.

 

[NateD]

I got the 1.9% through toyota last year without any problem. My credit is good but not perfect. However, they had the option of 1k cash back instead of using their financing.. so it may have been a specific promotion.

 

[JulesMaximus]

Originally posted by: Drakkon
1.9 for 36 is most likely based off a credit score of something crazy like 780 or higher...better to go through the loal credit union as suggested already no matter what

Not true. I got 1.9% on my Maxima for 60 months with a credit score of 740.

I'd go through your local credit union and then see if dealer financing can beat it after you agree on a price. It is always best to have another financing option prior to going in to the dealership though.

 

[kranky]

One reason the dealer won't quote an APR before running your credit is that they don't want to quote a low rate and then find out you don't qualify for it (not you specifically, but the average customer). Everyone always says they have excellent credit, but many do not.

And a minor nitpick with Vic's statement that "Actually going to the dealership should be only for doing test drives (and of course, picking up the car when you're ready to buy). I know it can be fun to go to dealerships to get involved in the whole car buying process, but only suckers buy cars that way." I think it's important to visit in person if you think you might want to get your car serviced there. I want to see what the service area looks like in case it's a low-rent operation. I once sat in a dealer's service waiting area for about a half-hour just listening to the techs and staff - and that was enough to convince me to buy elsewhere.

 

[Drakkon]

ohkay maybe 780 is a bit high but i said something crazy like it...I was just saying that i havent scene a rate like 1.9 from a dealer unless it was a pretty high sore up in the 700's...

and 1.9 for 60 months is a LOT different than 1.9 for 36...i mean for that extra 24 months your accuring even MORE interest...

 

[Vic]

Originally posted by: kranky
One reason the dealer won't quote an APR before running your credit is that they don't want to quote a low rate and then find out you don't qualify for it (not you specifically, but the average customer). Everyone always says they have excellent credit, but many do not.

And a minor nitpick with Vic's statement that "Actually going to the dealership should be only for doing test drives (and of course, picking up the car when you're ready to buy). I know it can be fun to go to dealerships to get involved in the whole car buying process, but only suckers buy cars that way." I think it's important to visit in person if you think you might want to get your car serviced there. I want to see what the service area looks like in case it's a low-rent operation. I once sat in a dealer's service waiting area for about a half-hour just listening to the techs and staff - and that was enough to convince me to buy elsewhere.

They advertise those rates on TV, so I don't see the issue with quoting. Obviously, it is O.A.C.

You do not have to get the vehicle serviced at the same dealership you bought it from. I don't with mine. You can easily buy from one dealership and get it serviced at another.

 

[kranky]

Vic, it's easy to advertise the rates on TV, but who gets to deliver the news in person when the customer doesn't qualify for the best rate? The sales guy is trying not to aggravate the customer (especially before the deal is done - there's plenty of time for that later ).

I didn't mean to imply that you have to get your car serviced at the place of purchase, but from my experience it works out a lot better. I have a salesperson to go to bat for me if I need something, and they may decide to bend on something hoping it will get me to buy another car down the road.