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Originally Posted by MommyBook  Unfortunately, this is DH's car and there isn't anyone for him to carpool with and I take public transportation for 90% of my commute.
Our preapproval for the loan expires on the 10th. I'm scared that if we don't get it now, we're going to have a harder time getting financed because our credit will be FUBAR (although, I do have a 90-day reporting hold for the mortgage).
My dad would never put the car in his name, so unfortunately that's not an option.
I've already called the credit union to get an extention on the preapproval since it's been hard to find a car that the dealerships aren't trying to rape us on. Not sure if they'd do a 2nd extention without rerunning our credit...although it's tempting.
GAAH! This is not something I want to deal with! |
Mommy dearest,
I think you have to prioritize your priority. What good will a new loan for a new car is, if your loan modification will be disapprove because of that loan. I have read a problem similar to this where one of the loansafe members was denied because they have borrowed money from their 401k to pay off their other bills, their lender denied their Loan Modification for that reason. My suggestion is for you to wait until your loan modification request is approve, and don't worry about the preapproval offer expires in 10 days.
The good months to buy a car is from July through 0ctober and December, don't buy in November, January to June. I just bought a brand new car because my 2002 Toyota that my husband and I gave to our daughter needs a $1400 repair. She will not qualify for a new loan due to her school loans and other bills. So my husband and I drove from San Diego to Los Angeles and gave her our 2006 Toyota Corolla and drove that car back to San Diego. The car still drives ok. But needs to replace a bulb to pass a smog test which caused about $1400. I searched online and I found this website on how to buy a car and negotiate with your dealer;
New Car Buying Tips: Dealer fees, haggling tips, scams to avoid.;
car buyer spreadsheet and calculations
http://www.carbuyingtips.com/camry_offer.xls
compare car loans spreadsheet
http://www.carbuyingtips.com/Car_Loan_Calc_CE.xls
I checked this website and carefully read all the tips and instuctions. I checked edmunds.com and look for a car that I can afford
One of their tips is the best time to buy a car is the months of:
July to 0ctober and December, don't buy a car without incentives or rebates, don't tell your car dealer how much you can afford to pay by monthly payments, instead negotiate the selling price and interest. When buying a car make sure that you know the dealer's cost or the invoice cost and the msrp cost, the msrp is higher than the invoice cost.
When you negotiate the selling price negotiate with the invoice cost however you have to deduct at least 3% of the selling price for hold back because the dealer gets paid 3% of the factory hold back when the car gets sold, deduct the floor plan fees about $200. Actually the only thing you pay when buying a car is the selling price, the sales tax, dmv fees, warranty or your options, destination fees about $720, the rest can be negotiated.
Don't buy a used car, why are you going to spend an X amount of dollar for someone's headache. The previous owner got rid of that old car because of the problems they were having so why buy it. They also said to be careful buying a used car because some of them was sold to the dealer without the title, the dealer just got the registration and not the title but it costs a lot of headaches to the new owner.
I checked
New Cars, Used Cars, Car Reviews and Pricing - Edmunds.com and put my zip code and checked the car that I wanted. Following the instuctions they gave me. When my husband and I got to the dealer, they only have msrp but they didn't have the invoice costs. I already know how to negotiate thanks to the website above. I used to be a monthly payment buyer, when I go the dealer I used to tell them I can only afford to pay this amount of money a month. I also know that there's a rebate of $2000 and the interest is 6.39%. We were back and forth negotiating the price. They told me because of my short sale experian still shows I still owe $93k I was ready for that because the site recommended to bring your credit report, a print out from Kelly Blue book of how much is the value of my car and the printout from edmunds.com of actually how much I need to pay for the car I wanted.,
We agreed to the amount that I've compared from edmunds.com, actually I only overpaid $67, not bad. When we went to the finance office, the guy wants us to sell warranty, alarm, gap coverage. I said no, he negotiated and we negotiated back and forth, until he gave us the lo jack and the gap, lower our payments and gave us a 60 months financing with ZERO INTEREST, and the rebate of $1500 instead of $2000. We took it since the interest is ZERO, no down payment but just the trade in. Kelly blue book was closed to the amount they gave us for my 2002 Toyota.
So dont worry about the preapproval expiring, car dealers are desperate to sell you a car as long as you have the means to do it and a credit score of 600.My husband's credit score went down from 750 to 698 but we still got approved.
Thank God, hope this helps.
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Just kidding. Your supposed to be selling everything you own, not buying. I just dumped my wifes explorer to reduce my debt, shes on foot now but we dropped a $400. monthly payment. We have to share my car and I'm not so happy about that, but when the going gets tough, the tough get going. 
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