long story short my career change is taking longer than expected and i want to take a loan out on my Z to cover expenses. I have never gotten a loan before(i dont like owing money) but i know my credit score is over 700. i went to my bank today to see about a loan and they said no problem but its going to be 10%. that seems really high to me so i just wanted to know what i should be expecting to pay? or is that about right?

sorry if its the wrong forum couldnt decide if this belonged here or the lounge

 

Just do a title loan.


lone star title loan!

 

How old are you? 700 could be high or low depending on your age. With the current economy, it's hard to just take out a loan.

and this might be better in the Buying&Leasing forum.

In case people call me out, I work as a loan processor. but usually for refinancing homes.

 

What you have is a collateral loan. I assume that the lender will put a lien on the car. 10 percent is what it is. You may be able to find a better rate. Maybe not. The terms are negotiable. 12, 24, 36 months.

 

titlemax is your friend

 

im 27 and i forgot we had that section

 

the Z in for a boat!

 

Take the title in to any bank. A credit union may be cheaper, give them a call and just tell them you need a loan on a car. Our local credit union just gave me 4.5% on a new one but u should be a be able to get used car loan for about 5.5% Is your credit score700 flat though? If it is 740 or better you can get a loan easy, if it is lower add about 1% to thosenumbers.

 

its well above 700 i have never had a late payment on anything and i have had two of my credit cards for almost 10 years and the other one for close to 5

anyone had any experience with shopping for a loan on-line?

 

I can give you a bit of insight as I used to be and F&I manager at a dealer right after college a few years back. Credit unions are your friend, but can be a real pita right now. Your credit is good, but they are going to treat your loan as if you were buying the car for the first time. They will probably offer to loan you up to nada retail value, and your fico score should get you the best rate. A year ago you could have walked in and left with a check in about 15 mins. HOWEVER, if you are changing jobs you may have an issue. When I bought my Z a month ago (new 08) I could not get a credit union to loan me money despite 780+ FICO and proof of income becuase I am self employed. Try citizens bank, they offered me a rate that matched the credit unions (4.59) on 60 and were easier to deal with. Hope this helps. Also, avoid any title loan places.
http://www.citizensbank.com/tools/re...2fdefault.aspx

 

I was in a lender/lending trainer for 10 years and can tell you that banks looks closely at the big three; collateral, income and credit.

1. Your collateral is a used depreciating asset in a tough economy where not as many people are buying cars, especially sports cars.

2. I don't know what your income is, but if I looked at your loan I would have to assume it's not enough if you are having to come in looking to borrow money against a car you already own.

3. Your credit is ok. Not bad, but not great. The fact that you have not had a loan hurts you when you are going to apply for a loan. You do not have a track record with the product you are asking them to provide you. Your credit card history is not very relevant to an auto loan because a loan forces you to make scheduled principle and interest payments where a credit cards justs asks for a nominal payment that barely covers the interest.

Based off of what you have said, your loan is of a higher risk to the bank. So 10% is not unexpected for your situation. First time loan applicants just have to bite the bullet sometimes on the first loan or two.

And yes credit unions are your friend. If you have one you can use give it a shot. Good luck!

 

I work in da bank.. I would say the rate now is pretty low... get a personal loan.. the lowest i seen was 5.9% and do it either 36 months or more.. depend how much u need.. Check out Chase.. i have my loan with them.. i pay about 610 a month .. hope it help!