Need a little advice on my situation

[Therealbigrich]

Here's the situation I went to my credit union and applied for a loan in which I got a 72 month at 12.99% up to 26 k but at that rate I'm trying to stay as low as possible. I know my credit isn't the best right now but I think the main problem is I already have 2 loans out on my avalanche and z28 Camaro so the third loan is hurting my debt to income ratio. I could either buy a V6 Camaro for under 20k while I trade in my z28 and refinance in a couple months or I could just keep waiting until next year and save then decide. Just wanted to get some opinions on what would other people do in my situation.

[Revster]

Wait my friend get caught up on your loans and build up your credit score, that interest rate is way to high.

[nyrfan]

Originally Posted by Therealbigrich

Here's the situation I went to my credit union and applied for a loan in which I got a 72 month at 12.99% up to 26 k but at that rate I'm trying to stay as low as possible. I know my credit isn't the best right now but I think the main problem is I already have 2 loans out on my avalanche and z28 Camaro so the third loan is hurting my debt to income ratio. I could either buy a V6 Camaro for under 20k while I trade in my z28 and refinance in a couple months or I could just keep waiting until next year and save then decide. Just wanted to get some opinions on what would other people do in my situation.

You'd be out of you mind to take a loan like that. And if you got a 12.99% rate from a CU, you have more wrong with your credit report then DTI as DTI is not factored in on your credit score. As for doing a refi, well assuming you qualify in the future and that's risky given your currently credit situation.

Here is what the loan would look like at 20K:

Principal borrowed:
$20,000.00
Regular Payment amount:
$401.48


*Total Repaid:
$28,906.56
*Total Interest Paid:
$8,906.56

[hidden_dragon]

Agree with Revster...12.99 is horrible!

[Therealbigrich]

Well with my current cars I bought them at higher interest rates and then refinanced to lower rates and I don't think my credit dropped that much. When I wen to apply she said it was at 586 I don't remember it being way higher before so I really don't know.

[nyrfan]

Originally Posted by Therealbigrich

Well with my current cars I bought them at higher interest rates and then refinanced to lower rates and I don't think my credit dropped that much. When I wen to apply she said it was at 586 I don't remember it being way higher before so I really don't know.

586 is pretty bad these days and DTI has NO impact on that. You need to get your reports and find out what is dragging it down because it's NOT DTI.

[JTruck]

You would be insane to take out another loan... If you already have an avalanche and a Z28, is there really a necessity for a new camaro?

Honestly think you should save and let some time pass to figure out why you are getting such a high interest rate.

[littlereed89]

That interest rate is crazy. I applied for my sscamaro from usaa and they quoted me 14% then I went to hanscom credit union and they hooked me up with a 2%. If I were I would apply at a few places and compare the rates. Alot of people dont know this but when you apply for credit, u can apply ten times and it only hits your credit score once if its for one scenaria, i.e. car house ect. If it does whack it more just call the credit report company and theyll fix it. But if u cant find one with reasonable apr id hold off personally. But all depends on what you can afford and what works best with you. Best of luck, hope you can get it!

[jake2212]

Originally Posted by Therealbigrich

Here's the situation I went to my credit union and applied for a loan in which I got a 72 month at 12.99% up to 26 k but at that rate I'm trying to stay as low as possible. I know my credit isn't the best right now but I think the main problem is I already have 2 loans out on my avalanche and z28 Camaro so the third loan is hurting my debt to income ratio. I could either buy a V6 Camaro for under 20k while I trade in my z28 and refinance in a couple months or I could just keep waiting until next year and save then decide. Just wanted to get some opinions on what would other people do in my situation.

just wait until you build your credit and can get a better APR. trust me its way better in the long run. you'll be doing yourself a major favor, and it will be that much sweeter when you get the car.

[jake2212]

Originally Posted by nyrfan

One hundred percent FALSE!

i was under the impression you can hit it as many times within a certain time period, i.e. one month

[JR 1]

That interest rate is crazy. My advice is not to buy cars you can't afford. You already have two nice cars. If you really need a third you should consider something used and cheap.

[jewel25]

Originally Posted by jake2212

i was under the impression you can hit it as many times within a certain time period, i.e. one month

My credit score was pulled 8 times this year and every one of those times showed up on my credit report.

[Therealbigrich]

I was under the impression that you could apply for loans many times as well in a short time within a short time as well but I could be wrong. I was trading in my z28 for the newer Camaro so I wasn't going to keep all three but I think everyone is right that I should wait I just had my hopes up until I heard that interest rate. I could afford it but the fact that its almost 100 dollars more than I would have to pay just because of the interest rate really puts me off

[jake2212]

Originally Posted by jewel25

My credit score was pulled 8 times this year and every one of those times showed up on my credit report.

i know it would shot up, but i thought you only got dinged once