OT: car loan help

Do you have any credit history ? credit card, payments on any other loan ? At your age with zero credit history in this economic crisis you will need luck to get a loan even with a co signer.

It sucks and it's unfair. When I was 19 I tried to get a small loan for 1500 just to build credit and even with a co signer they didn't' want to loan me the money. The reason they always gave- not enough credit history/score. Unless I had collateral to cover the entire loan it was no deal and they didn't care if I had a co signer that had well over 100,000 in savings to back me. It's like the world is against you sometimes like that, no one wants to give you a chance.

As for the loan if you do get it. If you buy from a car dealership YES the loan covers everything there is, they always include it. Tax, license is usually always included in the loan amount. If you buy from a private owner "which will make even harder to get the loan", You will have to ask the bank for a few hundred more to cover your taxes and license, they usually don't have a problem with this. That's the way to go  bud, get it all done in the loan, so you can use your money for gas and anything else u need to get started. Good luck!  
---Raising hell in ND---

Thanks. That was definitely the answer I was looking for. My dad was trying to tell me that the loan wouldn't cover all that, because I will be buying off a dealership. Now I can sleep comfortably tonight. lol  

great thread elk, lots of good questions and opinions. i work at a new car dealer, financing is very difficult right now, very difficult for the buyer and very frustrating for the dealer as well. in my area banks are declining loans on people with very good credit and income as well as large down payments.

used bike prices are in the toilet right now as well, i've been shopping for a kx65 for a year, found a perfect one for 800 bucks (its an 04 even)
just dont have the money to buy it. if you are able to sell your 80, my advise would be to buy an old beater truck (like mine) and save for something better in the future.

good luck.  

Autismspeaks.org
Gilbert AZ
06yz144,05yz85,02yz85

I got lucky because I just got my new car last spring, I didn't have the best credit but I had it rebuilt enough to get a loan. Now It would be harder for me to get the loan I think but maybe not. My area of country not as effected by this economy slow down as other parts.

THe other great thing about this situation is the cheap ass gas prices right now and there are a lot of people that are falling victim to this crisis and selling things they own such as dirt bikes for dirt cheap prices because they need fast cash. I also have been finding some awesome deals on bikes lately. I look everyday just for the hell of it. 04 2 strokes that look like new and low hours on them for $1500. That was why I was considering buying one of these 2 strokes. For that price I could have another "like new" bike for peanuts, just handem cash and its all paid for. I think I may still do this as I'm curious about trying out one of these suckers. I still may trade the 230 for a 250x also. I for one have been taking advantage of this crisis LOL. I hope it don't get any worse for people then this though.  
---Raising hell in ND---

Hey Elk, when I was 18 I took out a loan to get a car as well.  But due to my age I absolutely had to have a co-signer.  It simply wouldn't have happened with out it, even though at the time I had a full time job. Although I'm sure the banking system in the states is different than here, I would be surprised if you could get a loan without one at your age.  When you take out a loan, the bank is only concerned with how they get their money back and less than what it's for... so if you want a 5k car plus taxes, and insurance etc, then you take out the loan for the amount that is necessary to cover it... like Court said.  The bank will not view the car as collateral on the loan as they are not going into business with you on the purchase of the car. They will lend the money only if they're convinced they will get it back.  Without a job, and without a co-signer I think you're going to be SOL.

As far as buying and re-selling that cheap cr... who are you going to sell it to for $1000 more than you paid for it? It hasn't even sold at the price he's asking for it! Everyone on this forum seems to be having trouble selling bikes right now, so I wouldn't bank on that as a viable way to make some cash.

My suggestion would be to listen to Blue and the others... don't be concerned about what people say about your bike at a track... you're always telling people on this forum that the rider has a bigger impact than the bike does anyway. It's a great point, and besides, do you have less fun when you ride because your bike is little older?  Somehow I doubt it.

If there is absolutely no way to get a job without a car, then buy a cheap car. Get the job, save your money, drive the beater car off a cliff and get a nicer one.  Besides, it's a right of passage.  Every adult has stories of their first car... and they were more than likely pieces of crap!

The best analogy I can make is that you didn't hop on a new yz250 the first time you rode a bike... you started smaller and worked your way up.  It's the same thing.  Your first job (other than helping your Dad) isn't going to be your last... it's a step towards where you want to go.  Same thing with whatever car you want... start small ($$$, not actual vehicle size!) work hard, and build your way up. You'll get there.

In my opinion the best way to build a good credit rating is with a loan that is co-signed.  Credit card companies like people who DON'T pay on time, not the ones who do, because they don't make money off of them.  

I hope this helps, and also doesn't sound too parental...

Spider  
~~~~~~~~~~~~~~~~~~~~

WAFNIA!

BC
01 YZ 125
02 RM 85
99 KX 80
87 DR 200

Ok first of all your not gonna get a loan by yourself... With the economy the way it is gettin a loan isnt the right thing to do.. When I was in high skool which wasnt too long ago (05) we had an Economics class and what not... With credit all it takes is one late payment and they can screw you in the ass for years... I can tell you that personally I went out and got a credit card and went outrageous when I knew I didnt have no money.. Now I owe like 5 grand and I dont even have a REAL job, but I make somethin happen out of nothing just to make a payment a month.. And different creditors give different rates due to your score and fee's and other lil rates kick in every month so say if you total amount you ow is $2500 and you pay 100 a month, the longer it takes you to pay the debt off the more the debt weighs down on you.. Where do you live..?? Is there public transportation like buses and trains..?? Also how long have you had your drivers license cause that will affect your insurance rate also..  

Spider...you're spot on.  Same stuff in the states.

you don't open a credit card to go into debt...IF you are opening it to build credit, you do it in increments:  spend $100 a month on it MAX and pay it off IN FULL on each deadline.  that builds your credit score...but credit cards are only one line of credit and you need multiple lines to get a good score...it's really circular reasoning, because the best way to build credit is by paying off a loan on time, but you can't get the loan if you don't have credit...it's frustrating...haha.

like was said though elk, if your dad co-signs, you're probably good to go, except for the economic crisis we're having.  it's harder to get that stuff to go through now a days...

i think spider is right about getting the car first....it's gunna be a better financial investment in the long run.  
.................................

"Only the desert has a fascination to ride alone in the sun in the forever unpossessed country away from man. That is a great temptation."
--D.H. Lawrence

The insurance companies rape you too when your young. Thats the other thing that sucked. Until 25 just liability was as much as full coverage on a new car for me now lol. It basically doubled the payment for the car. Now I have good credit and a perfectly clean driving record and I still pay 100 a month for insurance.  
---Raising hell in ND---

One other quick thing Elk which I'm guessing you are not aware of... If you are late on a credit card payment, the interest is calculated from the date of the purchase, not the due date of the bill.... at an interest rate of 18% or more, which is a way higher rate of interest that you would pay on a loan, or a mortgage.  IMO credit cards are legalized loan sharking... just with out the greasy mob guy showing up at your door for payment.

Credit cards serve there purpose, but they are set up for the benefit of the card company, not the card holder.  
~~~~~~~~~~~~~~~~~~~~

WAFNIA!

BC
01 YZ 125
02 RM 85
99 KX 80
87 DR 200

true...but most companies do "good student" discounts...if you get good grades, it's cheaper.  also, idk about PA, elk, but in CA you can get an assigned risk policy...it's cheaper than a full policy, but it ONLY insures YOU to drive YOUR car.  no one else's insurance will cover you even if you are driving their car, and anyone driving your car is not insured by your insurance...so you really have to keep it to only you driving your car....  
.................................

"Only the desert has a fascination to ride alone in the sun in the forever unpossessed country away from man. That is a great temptation."
--D.H. Lawrence

elk i dont see what the big deal is about getting a used car/truck. if you look at the mid to late 90's you can get trucks in farily good shape for decent prices. right now in the nickle add (local want/sell add) there are a half dozen 3/4 ton trucks for around 2-4 k & 4 are diesels
DavidS  
i take a lot of pride in what i am

___________________
ride: 02yz426
local: north east Oregon

terrain type woods with lots of roots & rocks

hahaah I don't think he wants to pay the bill of buying diesel for a truck man. He'll have to work 2 jobs lol.  
---Raising hell in ND---

I got my truck as a sophmore, my 78 ford. I paid 4000 and got what I wanted in really good Shape. Thats was my first loan, with a cosignor. Its much eaiser to get a loan with a cosignor, but another important thing is having a provable steady income. I just took out a signator loan to help pay travel and beer money on leave, and because I have decent credit, and a steady income that they know is there every month, I was able to get 4000 at a fairly low intrest rate. Just build your credit slowly, you'll work up there. Id start with an older cheaper car or truck, an 05 is fairly new, and will cost more as well as insurance being more. And you can wait on the bike, ride your best, and dont worry about having older equipment.  
____________________________________________________________



The Idle of a 500 2 stroke is Akin to the Devils Heartbeat


I'm not afraid of the dark, I own the NITEMARE that lurks within.

Truthfully I'm not worried that much about taking a 98 to the track but I thought it would be a smart financial move to spend the 400 now to get a bike that is 7 years newer.

The guy actually just put it on craigslist and through email says he is selling it so cheap because he needs it gone asap for school payments. He says he had it rebuilt by a mechanic and had everything checked out and everything is good on it.

The only problem with buying a beater is that a running beater costs 2-3k and I don't have that much to buy a car unless I sell both my bikes. Which if it really comes down to it, I will sell them but I would like to find a way to not sell both my bikes.  

I really wish I could be working right now, but there is absolutely no way for me to get to work. I live on the very outskirts of my township and there is nothing at all around me. No public transport or anything like that.  

I put up a thread Buying a bike from the dealer 101.  
-------------------


DIABETES SUX!