Personal Loan Options

[Psykopath]

What's the best place in town to get a personal loan (things like interest rates, etc., etc.)? Would it be my bank or elsewhere?

I want to borrow in the neighborhood of $14,000 to purchase a newer vehicle (2003 Subaru Outback, 30,000 miles, $12,500 asking), as well as fix up my current Jeep to sell to my brother so he'll actually have a ride.

[Dogmeat]

I don't think they qualify "personal loans" as vehicle loans. I think you actually get better rates with vehicle loans.

Keep in mind they expect you to have full coverage insurance on a vehicle loan, or even a little quad in my case.

But, I took out a $8,500 loan for 3 years at %8 ... I'm paying like $280.... which isn't that great I know, especially considering I have perfect credit, but it was as good as I could find on short notice and was through wells fargo.

A vehicle loan I'd expect to pay at no more than %6 apr right now, and that might even be high.

Also, NEVER pay the asking price for a vehicle.

Research http://www.kbb.com and http://www.nada.com and http://www.edmunds.com

see what they're going for on there, then make them an offer for LESS than that.

Let them come back with a counter offer, if it's much more than what it's going for on kbb or whatever they want too much.

[James]

Slightly higher than 6% APR on auto loans atm. Person-to-person interest is going to be higher than doing the transaction through a dealer, too.

[GOB]

yeah, if it's through a dealer, just try to finance with them. i'm leasing my car, but had i financed it, it would have been like 5.4% or something through mazda(missed the 3.5% for 60mo by a day!). not too great, but much better than the 8-12% you can expect with a personal loan.

if you could get an unsecured loan through a bank for less than the auto financing (which is probably unlikely), i'd say go for it, unless it would be a ridiculous term like 7 years or something.

if you can't get an auto loan, ask your parents if they would be willing to take out a home equity loan

[Psykopath]

Guess I should have specified more.

The vehicle is for sale by owner.
I'd probably get the full-coverage insurance through my parent's name until I turn 25 (yeah, I'm a cheating ass...), which is less than 2 years.
The kbb value of this is in the neighborhood of 13,500-14,000...but I'd still offer less than 12,500, obviously. Probably start around 10,000ish-11,000ish range, I guess.

So a vehicle loan is seperate from personal loans? I though they were generally regarded as the same thing, but that does make sense. Hey, the more you know amirite!?

[GOB]

meh, well they're both "personal" loans, but the auto loan uses the car as collateral, whereas a regular bank loan (unsecured) is just your word/signature, and they'll sue you and try to destroy your credit to get their money back if you don't pay.


edit: to go along with this, i took a call on friday from some younger dude in the military who had a credit score of 385, so pay your bills!

[James]

CapitalOne - 9-10%
Wells Fargo - 7-8%
Bank of America - 8-9%

There's a few banks for you.

385??? LMAO! It goes that low?!

[Dogmeat]

Yeah, you may or may not have to get a co-signer depending on your credit rating ...

I'm glad I have enough sense to pay my bills ... having good credit helps a lot, because at least then if you ever need a loan you don't have to jump through flaming hoops to get one at a non-flamingly retarded interest rate ...

[Spectatrix]

My car loan (through a NM credit union) was 9%, but that's probably because I had a high-ish balance on my credit card at the time and thus a so-so credit score. But I'm paying off the loan by the end of this year (will be 2 years on a 4 year loan), so no biggie.

[Psykopath]

If I go through Plains Capital, my grandfather has A LOT of money in their system. Everyone there is on a first name basis with him. Might get him to cosign... =P

I'm lazy...what's their interest rate?

This post has been edited by Psykopath: Jul 9 2007, 08:31 PM

[GOB]

385??? LMAO! It goes that low?!

haha yeah, one person had an adjustable-rate mortgage that was up to 13%

auto loans around 16% are pretty common among people with shitty credit




it takes some serious effort to get a 385

[James]

Any tips on how to make the Equifax and the like to recognize the actual credit limit on my credit cards? They think it's a lot lower than it is, so they think I am using a larger percentage of my available credit than I really am.

I doubt Plains Capital lists it on their web site. Those rates I listed were obtained without entering any personal information and were the person-to-person auto loans, so they're probably the best possible and you might expect to see lower if your credit isn't that great. Drop a few points on each if you change your mind and go through a dealer.

[impala454]

just go to your bank. they'll process it and pre-approve you for X amount of money. don't expect better than 8-9% if you have no previous auto-loan experience.

[Spectatrix]

Any tips on how to make the Equifax and the like to recognize the actual credit limit on my credit cards? They think it's a lot lower than it is, so they think I am using a larger percentage of my available credit than I really am.

You have to talk to your card provider about their reporting practices. If they don't report a limit to the bureaus, they'll use your "highest balance charged" as the "limit" for that account. If your card is through Capital One, you're out of luck (their official business policy is not to report card limits), but others you should be able to sway.

[James]

Yeah. CapitalOne was one of the credit cards that's under reporting. I'll just have to max it out one month.