My GF will be a 1st time car buyer probably with out a co-signer. Just curious of what you think her apr will be. I dont think she has anything in her name. I know its easier to get a new car than a used so thats probably the route she will be going.

Also she is looking at tC's, civic ex, and maybe a mazda3.

 

how's her credit? does she have alot of debt? does she have steady income?

 

It will depend on her credit score and the length of the loan, and probably some other factors.

In 2005, I got 3.9% for 60 months as a first time buyer on a used TSX, which I thought was pretty good.

 

I dont think she has anything in her name, so she has no history

 

no credit, none, yes

 

Hmmm, I think it's tough without credit history.

With my 7yr. credit history and income I got 4.9% for 60 mths being a first time buyer of a new 06 TSX.

 

She must have a credit history. Ever paid a reoccuring bill? Cellular? Gas? Electric?

 

nope. she is 19 and just moved out of her parents and lives with me where everything is in my name. cell is in her grandparents contract

 

My credit was shitty when I bought my first car and I ended up with a 12% APR.

 

30 year old with a 19 year old GF...

 

Based on what you say about your g/f, I think she can get a "decent" rate if she puts some serious $$$ down.

 

 

im hoping less than 10 but will see. I know there are some knowlegable people here

 

Try a credit union

 

Will she be putting any money down? or 0 down?

 

not much, less than 1k

 

Help her out. That's what the is for.

 

without credit history, she will be struck hard with high apr. why don't you try cosigning her?

 

To make big purchases, a credit history is a must. Unless she's buying the car outright, she'll want to finance or lease. Why would a financing company want to risk tens of thousands of dollars on someone who has no credit history? Maybe she'll be one who defaults on her loans, or makes late payments, or misses payments. If she really wants the car in her name, she needs to wait a year or so and build up her credit, or else she'll need a co-signer with good credit.

No credit history = no buying power

With nearly no down payment and no credit history, she'll have a high APR and higher monthly payments. Also, I think the lower the credit rating, the higher the down payment will need to be. (On that show King of Cars, the bank won't give certain people loans unless they increase their down payment).

Personally, my TSX was the first car I bought with no co-signer. I only gave in $1k for my down payment, but I have perfect credit. Perfect credit can get you alot of things. I signed up during the Acura's spring APR-promo thing....so I got the 3.9% at 60 months (I could have gone 2.9% for less months, but I didn't want to pay more each month)

 

Have her get a credit card with a small limit, and pay for groceries or something on it each month to build up her credit. I started with a $500 limit on a card while in college just to build my credit. I stayed perfect and had no problem getting a car a few years later (not that she has to wait years, but maybe one year just to show that she has credit history).

 

I miss those ads with 1.9 or 0% financing for 60 months. They do have it still but for only 36 months.

 

get her FICO scores first, then shop around.

 

thanks for the info guys

I would co-sign but I lost everything in 2001, my credit is super shaky.

 

You NEVER cosign for a girlfriend any damn way! It is actually best that she does it on her own so she can establish her credit. Have her get a kia for a year or two build up her credit (probably be a ~10% loan) and then she can trade it in on something better and get a lower interest rate.

 

The money she'd lose on the resale value of the Kia on trade-in would be more than the difference in interest she'll pay on a 10% loan versus a 4-5% loan 2 years later.

 

Does she have to buy the car right now? Might be good to take other's suggestion about her getting a credit card and getting her credit established. Could save her a lot of money in interest.