Here's the question...

Say I get approved for an auto loan for 16000 from the bank. The car i want is 13000 is there anyway to get cash back from the dealer or a private seller?!

 

Well i think that means your approved a max of 16k, meaning that you could buy anything under 16, so you would only finace 13k for the car you want and that would be it. Just because i'm approved for 50k lets say, and i want a 30k car, doesn't mean i get to keep the 20k difference, just that 50k is my max.

Dunno if that helps...

 

Nope. Like Fireguy said... you'll get an approval number. That's the max amount you qualify for... so you can purchase a vehicle for that amount, or less. If you're approved for $16k and the car you buy is $13k... then your loan is for $13k.

Why would you want to borrow more then you need anyway? You're already going to be paying interest on a depreciating asset... why would you want to borrow money against a car or off of an auto loan? Have you been paying attention to what has been going on with the economy the last couple years?

 

if the car is only 13k, then thats all your bank is going to cut you the check for.

 

What these guys said. Now some credit unions are a little different. If the car is worth 16 and you are paying 13, they will technically loan you the 16k.

 

fuck that!
I dont want to have to pay BACK that extra 3k, if its not in use.

 

The only reason is i owe on my truck and rather than picking up the neg. eq. i would rather just pay it off you know rather than raising the interest rate and doing it that way.

So the reason is if i could go to a dealer or private and be like here's a check for 16 give me back the difference you know. then use whats left of that to go ahead and sell an pay my truck off.

 

I think you should probably figure out how to get the $3k in cash to pay off the truck and then get the new vehicle.

Getting cash back is fraud and you'll end up with much bigger problems than negative equity and a high interest rate.

 

If you're using money from one loan to pay off another vehicle, technically the bank giving you the loan has a lien on both vehicles (the one you bought and the one you paid off with the extra money). And since you cannot have two vehicles on one loan without committing fraud, you'll need to figure out a better solution.

I think the one above is best... get $3k, pay off the truck, then get the new car. If you can't pay off $3k, you shouldn't be buying another car for 4-5 times that amount just yet...

 

This makes no sense, chewbacca is a wookie

 

Don't forget that you will need to pay tax and registration as well, so add about another $1200-$1500 to that $13k, but the only way the bank will give you a check for more is if the car is worth more. Even then, Juniorbean is right. You should wait until the time is right before you add to your debt.

 

And this is why we're in this mess.... people borrowing money to buy things they can't or shouldn't be buying in the first place.

 

agreed, at least he learned a thing or two.

or i hope he did

 

 

I agree with the sentiment, but $3000 loans didn't get us here. People making $80k per year buying million dollar homes set it up, but walking away virtually unscathed hit it home. Uh-oh... should we move this to the politics section?

 

It all starts somewhere...

A bad financial choice is bad matter no matter what the denomination.

 

I agree to a point because it can set a precedent for decisions later in life. However, if you realize that you made a mistake, the damage from a small blunder in your twenties is an invaluable life lesson. I don't know... I guess I feel like there is a lot of gray area here.

 

I dont. I see people who make these mistakes and never get that they are making them, even when it bites them in the ass. And they make another one, and then another one, etc.

But yes...this is a direction better suited for ramblings. On with the thread.