What kind of new car interest rates can I get with a substantial down payment?
December 31st, 2008 | by admin |
newcarshopper asked:
I have no chargeoffs, and have never been late with any bills, rent, tuition, etc. I’m interested in purchasing a car to replace my gas-guzzling truck now that I’ve landed a great entry-level financial position, and I’m curious as to what to expect from my situation. The car I intend to purchase has an MSRP of $21,000, and I intend to put right around $9,000 down and pay the tax up front (TX 8.25%). I’ve calculated some payment estimates, but since my credit isn’t established, I’m wondering what type of rate I can expect to pay on my loan. I intend to finance the car for 60 months. With a substantial down payment of more than 40% of the car’s value, and net income of $25,000 a year, will I still have a difficult time getting reasonable financing with my young credit history?
CASEY
I have no chargeoffs, and have never been late with any bills, rent, tuition, etc. I’m interested in purchasing a car to replace my gas-guzzling truck now that I’ve landed a great entry-level financial position, and I’m curious as to what to expect from my situation. The car I intend to purchase has an MSRP of $21,000, and I intend to put right around $9,000 down and pay the tax up front (TX 8.25%). I’ve calculated some payment estimates, but since my credit isn’t established, I’m wondering what type of rate I can expect to pay on my loan. I intend to finance the car for 60 months. With a substantial down payment of more than 40% of the car’s value, and net income of $25,000 a year, will I still have a difficult time getting reasonable financing with my young credit history?
CASEY
One Response to “What kind of new car interest rates can I get with a substantial down payment?”
By lcplcadaver on Jan 2, 2009 | Reply
Most credit rates for car loans are based on a credit score. I know most manufacturers have a recent college grad program. Best bet, go to a dealer and see what they say. If you qualify for zero %, then put the least amount down and bank the rest. Then pay the payment from what you would have put down.