Who offers the best sub prime auto loan?

First, let me clarify about making an impression at work. We're not high society folks. We don't see autos as a status symbol, and couldn't care less about what people think about the cars that we drive. What I meant is that my gf is a nurse and with her new job, she will be visiting patients in their homes. I'm sure that her new employer wouldn't want her rolling up to a customer's house in a beater. It doesn't make a very positive reflection on the company in my opinion, even though the only thing that really matters is the quality of care that the patient receives.

Since gas prices are so high, used cars with good mpgs are fetching a premium, so finding a deal on a cream puff is a little challenging. Plus the inherent risks associated with buying used, and the maintenance costs that might be required to make it dependable and safe.

I understand your logic, and I am in total agreement with your approach. However, the more I ponder on it, I tend to lean more towards the new car as the smarter route to take.

The new car will be paid for in 19 months. The interest we will pay is approximately $1400 over the term of the loan, even less if we are able to refinance fairly early into the 19 months. This seems like a bargain since this repairs her credit, and we get to realize the gas savings from the beginning, which is a substantial amount with 17 mpg compared to up to 47 when driving up to 500 miles a week. The gas savings alone is over $200/mo, which is 20 % of our $1000 monthly payment, and that's using a conservative mpg of 34 for the new car. Plus, the mileage reimbursement for 500 miles/wk would be $200/mo. Throw in the 100k warranty, 5 yr FREE roadside assistance, Bluetooth and audio controls on the steering wheel for safety, the positive reflection on the company, and the excellent resale value of the elantra and that adds up to a lot of pros.

I keep trying to convince myself that I need to stick with my usual logic, which is very similar to yours, but when I crunch the numbers, and weigh the pros and cons, the new car seems like a smarter business decision. The $4 price of gas really factors into the equation when you start crunching the numbers.

She should have just discharged the mortgage. That huge mortgage will be lingering over her head and since she already filed for bankruptcy she cannot do it again. If she becomes insolvent then her credit will be the last thing she should be worried about.

Also avoid Hyundai at all costs! The newer cars are great for 1 year but after that the maintenance and the hassle of constantly repairing it will be costly.



You are basically buying the warranty and not the car. The car looks really nice and has a really nice MPG but there are car makers that offer the same car with a quality build (eg low maintenance and high reliability). One year from now (probably earlier since you mention your GF drives 500 miles per week), your brand new Hyundai will spend more time in the shop than actual driving time.