Would I get approved for an IS350?
07-24-06, 06:40 AM
#16
Guest
Posts: n/a
For Tier 1 at Lexus, you need a 700 score.
With 10k down, trust me, some company will finance you.
The other thing is they might stretch your payments from the usual 60 months (5 years) to 72 (6 years).
Don't worry, you will have a higher interest rate (near 20%) but pay on time for a year and you will have a lot of leverage to refinance or switch to another lender at a lower rate.
Buying this car can HELP your credit once you make the payments on time.
With 10k down, trust me, some company will finance you.
The other thing is they might stretch your payments from the usual 60 months (5 years) to 72 (6 years).
Don't worry, you will have a higher interest rate (near 20%) but pay on time for a year and you will have a lot of leverage to refinance or switch to another lender at a lower rate.
Buying this car can HELP your credit once you make the payments on time.
07-24-06, 08:53 AM
#17
Originally Posted by 1SICKLEX
For Tier 1 at Lexus, you need a 700 score.
With 10k down, trust me, some company will finance you.
The other thing is they might stretch your payments from the usual 60 months (5 years) to 72 (6 years).
Don't worry, you will have a higher interest rate (near 20%) but pay on time for a year and you will have a lot of leverage to refinance or switch to another lender at a lower rate.
Buying this car can HELP your credit once you make the payments on time.
With 10k down, trust me, some company will finance you.
The other thing is they might stretch your payments from the usual 60 months (5 years) to 72 (6 years).
Don't worry, you will have a higher interest rate (near 20%) but pay on time for a year and you will have a lot of leverage to refinance or switch to another lender at a lower rate.
Buying this car can HELP your credit once you make the payments on time.
07-24-06, 11:01 AM
#18
Pole Position
Join Date: Jul 2003
Location: Louisiana
Posts: 334
Likes: 0
Received 0 Likes
on
0 Posts
I agree with Sick, with 10k as a down payment someone will finance you, as well as purchasing the car helping your credit score. The good thing that I see here is that you have very little overall debt. Your debt to income ratio may save you a few percentage points. Nevertheless there are several things you can do to help yourself:
1) pay off the small amount of debt that you still owe as quickly as possible
2) find out exactly how much the vehicle + ttl and insurance will cost, once you have this number figure out your monthly payments then pay yourself the note (faithfully) for six months to a year to see if you can truely afford the car.
3) keep the money you paid yourself for future maintenance cost
4) refinance after one year (a 60 point increase in your score could cut your rate in half)
With your credit score there is no doubt that your rate will be very high but you can also offset the high rate by paying down the principle.
Loan amount = $25,000 finance rate = 16% years financed = 6 total interest = $12,395.25 (that's insane!) note = $ 656.59
Loan amount = $25,000 finance rate = 16% years financed = 6 extra monthly payment = $100
total interest = $9896.91 (you save $2,500) note = $ 656.59 (obligated) + $100 = $756.59
If you have excel on your pc you can play with the loan amortization template. It's a good tool that can help you figure out what type of payment strategy is right for your budget.
One more thing, try talking to your banker face to face. There's a good chance that he/she may be sympathetic to your plight especially if your debt to income ratio is low.
1) pay off the small amount of debt that you still owe as quickly as possible
2) find out exactly how much the vehicle + ttl and insurance will cost, once you have this number figure out your monthly payments then pay yourself the note (faithfully) for six months to a year to see if you can truely afford the car.
3) keep the money you paid yourself for future maintenance cost
4) refinance after one year (a 60 point increase in your score could cut your rate in half)
With your credit score there is no doubt that your rate will be very high but you can also offset the high rate by paying down the principle.
Loan amount = $25,000 finance rate = 16% years financed = 6 total interest = $12,395.25 (that's insane!) note = $ 656.59
Loan amount = $25,000 finance rate = 16% years financed = 6 extra monthly payment = $100
total interest = $9896.91 (you save $2,500) note = $ 656.59 (obligated) + $100 = $756.59
If you have excel on your pc you can play with the loan amortization template. It's a good tool that can help you figure out what type of payment strategy is right for your budget.
One more thing, try talking to your banker face to face. There's a good chance that he/she may be sympathetic to your plight especially if your debt to income ratio is low.
Thread
Thread Starter
Forum
Replies
Last Post
