Vehicle help please

[Mr. Bloom]

Chick:

I am a banker, albeit, a commercial one, not consumer. What you've described sounds like good potential for a great credit rating...but there are other factors (it's a top secret black box that is more protected than the secret formula for Coca Cola).

Be Self Aware: If you're interested in getting your credit bureau, you can go to www.freecreditreport.com but beware, I don't think that it's "Free" to get your actual credit score.

Don't Just Compare on Rate: The two week lag in getting the 'best rate' from the credit union can wind up costing you more...say you save 1/2% on the rate (about $150 over four years on a $15,000 loan)...you could save considerably more than that by being able to negotiate a better price by having the loan "locked up" or getting it through the dealer. In other words, the dealer will not negotiate the best price if they have to wait two weeks to close the deal. Use www.edmunds.com to help determine fair value of the car you're considering.

My bank doesn't do many car loans primarily because we can't compete with the rates that are offered through the dealer. SO, I recommend you pay a few $ to get your actual credit score...if it's over 750, then you'll be able to get the best deal possible with a low/no down payment. If it's over 700 or 720, you'll still get a good deal, no matter where the money comes from.

Strategy: Also, you might consider working with a male salesman. WHile they've gotten more 'sensitive', Silver and I learned long ago that many don't know how to negotiate with a strong-willed woman...and this tends to accrue in your favor.

Beware: If you know your credit score and the dealer asks for your name/address/ssn BEFORE you've picked out a car, give them your credit score instead...otherwise, they may be running a credit bureau report on you and every time someone (not you) pulls one, it's about 18 points off the score. SO, save them the trouble in 'prequalifying' you by giving them the score and making them wait to pull the credit bureau once you've settled on the car and the price.

Sorry to be so long. Good Luck

[snowtulip]

I have an XTERRA and I love it! It does get horrible gas mileage compared to everything nowadays, but I bought it primarily for my recreational activites (camping, hiking, biking) and try to make up environmentally in other ways (less driving). When I went shopping I was looking for a vehicle with good clearance and this has it. Apparently 2003 and 2004 models are good, the newer models have some issues I've heard.

[chickwhorips]

mr silver thank you for your insight! i appreciate it.

i will have to pull my credit report and see what my score is. i've been on edmunds.com a bunch looking at their advice. i also found out my friend use to work as a new/used sales girl, and she also worked in the financial department. i'm taking her along for ammo.

this next vehicle i get, i'm going to be well armed! watch out sales man! you have a wild one who is well armed coming your way!!!!!

[Hub]

Remember to check Kelly Blue Book online to get pricing when shopping for used.

Happy Shopping

[roguedog]

Hey CWR,

I agree with Mr Silver...

Other info for you for what it's worth...

Two of the largest auto lenders are Citi and Capital One. I'm not sure if you're going to run into problems with other lenders because you're in Alaska.

I know our auto division didn't lend in some states.. and I *think* Alaska was one of them. Only telling you this in case you run into issues.

I'd follow Mr. S's advice and definitely shop for a loan. Also, I believe it's very powerful to come to the table prequalified. At the place I worked, once you applied, we fed ex'd you a check basically so you can buy on the spot.

And lastly, as you know.. I'm a Toyota person

[Tuckervill]

i did call my credit union. they said they could do it, but it would take 2 weeks for everything to go through.

I have had to buy a couple of cars recently that I didn't intend to buy, but because they were unplanned, I had to use credit. I used Capital One's instant check program....The check is FedExed to you after you've picked out your car. You can go to the dealer or wherever you get your car and it's just like buying with cash. Sellers love that.

Karen

[Tuckervill]

Beware: If you know your credit score and the dealer asks for your name/address/ssn BEFORE you've picked out a car, give them your credit score instead...otherwise, they may be running a credit bureau report on you and every time someone (not you) pulls one, it's about 18 points off the score. SO, save them the trouble in 'prequalifying' you by giving them the score and making them wait to pull the credit bureau once you've settled on the car and the price.

Yes. Absolutely do NOT give them your identifying information that they could use to pull a credit report. That would just be giving them the advantage. Any dealer that would even ASK before negotiating on the car is the dealer I would walk right out of.

Just go in with your own financing and then you don't have to negotiate on anything but price and features.

Karen

[chickwhorips]

i went to freecreditreport.com and checked my score.

its 774. i've had one auto loan (and only loan besides credit cards) i had it for 3 years. does this mean i have a good chance of getting the loan by myself with no one to co-sign and at a low rate?

[Mr. Bloom]

i also found out my friend use to work as a new/used sales girl, and she also worked in the financial department. i'm taking her along for ammo.

this next vehicle i get, i'm going to be well armed! watch out sales man! you have a wild one who is well armed coming your way!!!!!

A BIG THUMBS UP from Mister S!!!!

One more thing, keep in mind that the salesman has an incentive to get the best price...then the finance manager has a totally separate incentive to get the highest rate and to sell high margin products like warranties. The finance manager will be the slickest one...better educated and much more highly paid.