Cupcake asked:
I just pulled my yearly credit report and my score is 648. A year ago I think it was 540, so it’s jumped up quite a bit. I’m considering getting a newer used car (Mini Cooper or VW Bug) next spring once I have enough saved up for a small down payment.
I just pulled my yearly credit report and my score is 648. A year ago I think it was 540, so it’s jumped up quite a bit. I’m considering getting a newer used car (Mini Cooper or VW Bug) next spring once I have enough saved up for a small down payment.
I’m curious as to what kind of an interest rate I might be looking at and how much of a loan I could receive. Granted I’d rather get a new car, but getting a loan on a $19,000 car with mediocre credit probably isn’t the smartest bet. 
This will be my first car and I want something that’ll last me for a bit.
Carlos
Kathy
Suprisingly enough, if you have mediocre credit — and 648 isn’t too shabby, a NEWER car is your best bet– banks hate loaning on very old cars on scary credit.
You could probably get in the 12% range with your score. By getting the car sooner, you will start building your credit now- -and maybe in a year if your score is higher you could refi and lower your interst rate.
Comment by Amanda H — July 10, 2010 @ 4:55 am
Ethel
Newer cars are usually easier to get financed. Especially of you can get a rebate to help with your down payment. Ford recently ran a 0% program even for substandard credit borrowers.
Comment by Jim R — July 10, 2010 @ 12:30 pm
Javier
Use your head and buy something that will still last be be a little more conservative! A used Honda or Toyota will give you more good miles at a much lower cost per mile and there are more bargains available because there are many more for sale.
Comment by plr2win — July 12, 2010 @ 7:26 pm
Anna
I hope this helps you:
Credit Score Explained
Comment by men t — July 13, 2010 @ 3:43 am