If the total amount of money you owe to your auto lender is more than the value of your vehicle, you have what auto finance people call “negative equity.” This is also known as owning a car that’s “underwater” or “upside down.” This is a pretty common circumstance. CJ Pony Parts put together a nice […]
Category: Credit and Financing
Ask AAA: Do First-Time Buyers Have To Pay High Interest Rates AND Provide Big Down Payments?
Question: I’m a first-time buyer trying to borrow $16,000 for a car, and most of the lenders are telling me that I’ll pay 14-21% interest rate as well as providing a big down payment. One lender even told me that I’d pay a high interest rate AND have to put $6,000 down. Is there anything […]
I’ve Got an Old Bankruptcy – Will I Need a Down Payment To Buy A Car?
Dawn wrote in and asked: I want to but a new car, but I filed for bankruptcy about 7 years ago. Will I have a problem getting a loan? Will I need to make a down payment? My credit score is 730. Dawn, here’s the answer to your question: 1. Typically, auto lenders will ignore […]
As Automotive Creditors Loosen Lending Restrictions, America Loses
Without being boastful, I’ve looked at thousands of credit bureaus in my 7+ years as a dealership manager. I’ve interviewed hundreds of people with less-than-perfect credit, and I can tell you that people with bad credit scores fall into one of the following categories: 1. The genuinely down-on-their-luck. Financial problems like the death of a […]
Do I Need To Ask My Bank For Permission To Paint My Car? – Ask AccurateAutoAdvice.com
A reader asked if they had to get permission from their bank to re-paint their car: I own an older car with a bad paint job, and I’ve still got another year of payments left before I own it free and clear. I took the car to the body shop to see about getting some […]
Is It Possible to Buy a Car with Bad or ‘Inexperienced’ Credit?
Q. Is it still possible to be able to buy a car even with bad or ‘inexperienced’ credit? The simple answer is yes. There are many lenders who specialize in lending to people with poor or bad credit scores. There are even banks that will finance a new or used car for you before an open […]
Thumbprints To Buy Cars?! Absurd.
Thumbprints may help deter thieves, but the truth is that dealers and lenders have more than enough information to stop false vehicle purchases. The problem is that a lot of dealerships are so desperate for a sale they throw caution to the wind.
7 Credit Crisis Bad Credit Car Buying Tips
If you’re like a lot of Americans, the current financial crisis has come as a bit of a surprise. While the government works out a plan to solve the credit problem, many consumers are finding it difficult (sometimes even impossible) to buy a car. It’s not that cars are too expensive – far from it […]
Ask AAA: First-time Car Buyer With Great Credit Score But No History
Here’s a question we received recently: I am looking to buy a new car and am a little scared about financing. I was turned down by Bank of America because they don’t accept anyone for financing with less than three years of credit. I am 26, my credit score is 745, and I have 5 […]
A Little Counsel on Credit Counseling
Recently I was asked what I thought about using a credit counseling service. Although I’ve never used a credit counseling service (no matter how many times it was suggested by my significant other) I have a pretty good understanding of the process – and some strong opinions too. At first glance, the idea behind credit […]