I'm looking to buy a 2002 Toyota Rav4; my car is going to be around $12,000 (for the one I want) and I will put $5,000 down. I am only 18 years old and I will be going to college full time as well as working about 30 hours a week, do you know what my interest rate will be? I work as a nanny/babysitter for 2 different families and make almost $300/week, since I work under the table, should I have my parents borrow it for me? (They already have a car loan and will for the next 4 years.) Thanks!
2007-03-08 02:06:50 · 4 answers · asked by amandamoose 3 in Cars & Transportation ➔ Buying & Selling
how much credit history do you have?
if you make good moeny and have no credit, expect to pay a high interest rate 15-20% if you get the loan at all.
when you don't have sufficient credit history, you will need a co-signer on the loan. if you are going to involve your parents, DO NOT have them take the loan in their name only unless you have to because that doesn't help you on the long run. having them co-sign the loan with you will give you credit history for your next loans.
and if you're buying a 12k car with 5k down payment, you will only be financing 7,000 and capitalone requires that the minimum borrowed be at least $7,500 but your gross income has to be at least $1,500/month
i got approved for the capitalone loan but i didn't have enough time on the job (3 months as least) and needed the car asap. you can always go the dealer. they just said that i was "self-employed" and i got my financing with a high interest rate cuz i have too many credit cards maxed out...that's what college will do to ya.
2007-03-08 02:16:03 · answer #1 · answered by morequestions 5 · 1⤊ 0⤋
1
2016-09-26 19:27:45 · answer #2 · answered by Carroll 3 · 0⤊ 0⤋
Since you don't have a legitimate job, you can't apply at Capitalone.com or Eloan.com since they ask to see pay stubs. The best is to apply through a dealer since they can lie for you and make up fake employment. You're gonna have to lie about your salary also, since $1200/month isn't nearly enough to buy a $12k car. You'll probably end up with 12-15%. Or just ask your parents to finance it for you and you can make the payments and insurance. They'll get a far better rate and better chances of being approved.
2007-03-08 02:14:37 · answer #3 · answered by Anonymous · 0⤊ 1⤋
Your credit score determines what your interest rate will be.Visit this website , it may help in calculating:
www.swapalease.com
good luck......
2007-03-08 04:36:12 · answer #4 · answered by mailbox1024 7 · 0⤊ 1⤋