Best car purchasing strategy?

[RVD26]

OK, my wife needs a new car b/c her last one was totaled in an 18 wheeler accident that was the truck driver's fault.
The thing is her credit is bad, mine is good.
She makes about the same as I do in terms of salary.
So when applying for a car loan should I just have it under my name, both our names, etc?

[damnyou]

You can try getting under both of your names and see. In that way her credit history might improve due to timely payments.

Do you have in mind which car you want to buy?

[RVD26]

You can try getting under both of your names and see. In that way her credit history might improve due to timely payments.

Do you have in mind which car you want to buy?

I just don't want to tip off the dealership that my wife has bad credit.
Then they could try jacking up the rates.
Of course, we would like to improve her credit but we also don't want to end up paying more because of it.
We want to get a Honda Civic or CRV, BTW.

[LockStock]

http://forums.slickdeals.net/showthread.php?sduid=115428&t=726296

Post your question in this thread or ask the OP (CBondHonda) for advice. He works at a Honda Dealership (in San Antonio, TX) and is very helpful.

[RVD26]

http://forums.slickdeals.net/showthread.php?sduid=115428&t=726296

Post your question in this thread or ask the OP (CBondHonda) for advice. He works at a Honda Dealership (in San Antonio, TX) and is very helpful.

Thanks
I've actually been chatting with him lately.
I just wasn't sure if he could help me with this or not.
I'll give it a try.

[damnyou]

Thanks
I've actually been chatting with him lately.
I just wasn't sure if he could help me with this or not.
I'll give it a try.

I would suggest getting a loan from local Credit Union instead of Dealer itself

The dealers are generally giving the cash back or 0% apr

getting the cashback there and loan from someone else will leave room for more bargaining on the price

[bzhayes]

:iagree: Before you negotiate the price of a car, get pre-approved for a loan. Dealerships like to haggle loan payments, because it conceals the true cost of the vehicle. Don't let them do that. Once you have agreed on the price of the car, you can give them an oportunity to beat your interest rate that you have been pre-approved for.

Also, the dealership will usually run your credit score before they negotiate the price of a car with you. They will probably already know your credit score, so you won't have any hand to tip.

[nmbenson]

EDUCATION IS THE KEY!!!!

Start with educating yourself here:

http://www.carbuyingtips.com/carintro.html

Then goto:

http://fightingchance.com/& get the package and follow the directions.

I got my mazda3 $5800 below invoice out the door with tax & license & delivery fee. My coworker also used this approach (email/fax attack) and got her Lexus is250 for $2200 below invoice out the door with tax & license & delivery fee. Highly recommended for all SlickDeal seekers.

[RVD26]

I've already got a set price from CBondHonda on the vehicle I want.
He has given me an upfront price with all taxes, etc incuded.
There will be little to no negotiating on the price.
So should I still get a loan from somewhere else?

[RVD26]

Also, the dealership will usually run your credit score before they negotiate the price of a car with you. They will probably already know your credit score, so you won't have any hand to tip.

I'm not trying to conceal my credit. My credit is good.
It's my wife's credit that I don't want them to know about (she's going to be the one driving the car).

[bzhayes]

I've already got a set price from CBondHonda on the vehicle I want.
He has given me an upfront price with all taxes, etc incuded.
There will be little to no negotiating on the price.
So should I still get a loan from somewhere else?

I am not saying you have to get a loan from somewhere else... but think about it this way, you would be walking in to his dealership with a set price for the car (that you have in principle agreed to buy) with the only way to pay for it being a loan from them. Now I am sure CBHonda is a great guy, but fixed price dealerships make the bulk of their money after the car has been sold (financing, extended warrenties, add-ons, carjack, alarms, etc...). I think you would be nuts to walk in there with only one option to pay for the car. If he can beat the financing you already have set-up.... great, at the very least you will know what a good rate is.

[RVD26]

I am not saying you have to get a loan from somewhere else... but think about it this way, you would be walking in to his dealership with a set price for the car (that you have in principle agreed to buy) with the only way to pay for it being a loan from them. Now I am sure CBHonda is a great guy, but fixed price dealerships make the bulk of their money after the car has been sold (financing, extended warrenties, add-ons, carjack, alarms, etc...). I think you would be nuts to walk in there with only one option to pay for the car. If he can beat the financing you already have set-up.... great, at the very least you will know what a good rate is.

So where should I go to to get the best rate on an auto loan?
My bank?

[KennyS2006]

Or credit union.. or better yet your savings account! ;)

Just kidding.. hmmm yeah your bank. Do you have a mortgage? If so, try with that same bank.

[RVD26]

Or credit union.. or better yet your savings account! ;)

Just kidding.. hmmm yeah your bank. Do you have a mortgage? If so, try with that same bank.

I don't have a mortgage.
I guess I could try my bank, but I kind of need a car now.
Won't the whole loan process from a bank or credit union take a while?

[bzhayes]

I don't have a mortgage.
I guess I could try my bank, but I kind of need a car now.
Won't the whole loan process from a bank or credit union take a while?

No, it shouldn't take more than an hour. You can call around to a few places and ask for their rates. Most banks and almost all credit unions post their car loan rates up front. The question then is, how much are they willing to loan you (if anything at all). They typically do not negotiate the rate.

It will take longer to get the money, but you can get a loan at the dealership with no financing charges if you pay it off within a week (or some similair amount of time). As long as you are pre-approved for the loan this is very easy to accomplish.

[damnyou]

I don't have a mortgage.
I guess I could try my bank, but I kind of need a car now.
Won't the whole loan process from a bank or credit union take a while?

Generally some companies also have their own credit union

maybe the one you work for has one

[RVD26]

OK, I still need to know if I should co-sign with my wife on the loan or just sign up under my name?

[bzhayes]

OK, I still need to know if I should co-sign with my wife on the loan or just sign up under my name?

ask at the credit union