Money down doesn't mean much.

10K down on a 30K car means you still need to finance 20K if your debt/income isn't strong enough they'll decline it.

 

Could be lack of car credit or a long term credit history.

620 is not awful w/ 10 grand down if you ask me. As long as your income can support the loan and your other bills.

G/L with your purchase.

 

My GF just bought a car 3 weeks ago and our credit union person told us they cut off loans at 679 or lower.

 

beacon scores dont really tell someones ability to pay

 

not really

 

lol.

sounds like the OP has insufficient credit history. if she's young and just got her credit started, this is probably a reason.

an older person with a credit history of 620 is pretty bad. It takes very little time for a person with new credit to get to 620 if they paid their bills on time.

Like another person said, 10k down when you have 15-20k more to finance a loan isn't going to work. maybe if the car was 15k and you had 10k to put down, it might work depending on income to debt ratio.

 

I see you guy's point about the 620, but 10G is a huge vested interest in the loan.
Depends on what's making putting in the low 600's too. In this economy though, I can see not wanting to make any risky loans. I'm just shocked that the bank wouldn't accept the 10G.

OP. What did they say your note would be on the 20G? or did you get that far?

 

btw, with 10k down, decent income, prior car credit or sufficient high credit there are quite a few banks that would lend money to a 620 beacon. NMAC would usually make that loan

 

Very true. If you are young and going for a 30K car, even with the 10 down, that probably wouldn't work. Go after a used car. You can find plenty of nice 20-30K cars out there.

 

It is depressing when you cant drive a car on someone else's money. This is America!

 

actually most lenders don't like lending small amounts of money since there is very little interest earned.

 

another person that doesnt really understand it

 

I do. I actually agreed w/ you in saying that the 620 w/ 10K down should work. Just in these times, banks might really be raking over loans a lot harder than normal.

 

Take the 10 and buy a car cash that's the way to go. Get a used 350z or s2000 and you'll be all good

 

we have given similar small loans at my previous dealership ranging from 3-7k loans. even though little interest earned, it has a very short financing term with lenders still making a bit profit. Probably in this economy right now, no lenders will bite. It suciks because dealerships needs to start pushing cars out.

 

qft

 

If i was young, making the most out of my money would be buying a used car in full or buying a brand new car with a cosigner for the lowest rate possible. A used 2006-2007 350z with a credit score of 620 = high *** finance rates unless you have a good union bank.

 

i'm not commenting on motorcycle loans, only auto, as that is what I know