I really need some advice

[B65]

We were discharged CH 7 feb 09. We both got car loans from Cap 1 at around 12%. Hubby drives 3 hours a day, Well thursday he got in an accident and his car is totalled. the check from insurance is a grand out... oh well anyhow Cap one will not give him another loan till that loan is off his credit report and even then they may not... His score with equifax is 642 not sure about the others.... any suggestions on who to go to to get a car and quick??

B

[blessed]

Not sure. But ask about gap insurance for your next car so you don't have to do that again. GL!

[B65]

yes

yes i wanted that but Cap one wont do it and they were the only ones who would approve us at the time.

[blessed]

I'm sorry. I wasn't thinking and forgot that the gap comes on the loan, not the car insurance because our car is financed with the insurance company's bank. doh

[nerves]

B - I am a little confused about your post. Are you saying the amount the insurance paid is a $1000 less than what you owe on the vehicle? If that is the issue, you may be able to work with a dealership to roll that balance into a new loan. It definately is not the ideal situation as you would be starting out with negative equity and more debt but it sounds like your husband has to have transportation to make a living. They will work with you on the purchase price to roll this in and have the other loan paid off. Have you received the proceeds from the accident? I am assuming the insurance company paid Cap 1 directly if the car was totalled.

Best of luck to you.

[B65]

hi

yes Ins company will send check to cap one next week..... we will pay the 1000 extra.... Thta is not an issue, the issue is now getting a new loan.

[oneluckylady]

When Capital One denies they normally automatically forward your information to Roadloans. Maybe you can apply with Roadloans directly or apply at www.myautoloan.com. This site sends your information to four lenders. Good Luck.

[LSUTiger32]

If you can pay the $1,000 difference, can you also afford to buy a car with cash? You aren't obligated to get a loan when you buy a car!

[nerves]

You may want to call Cap 1 again and ask if you pay the $1000 remaining balance - will they finance a new vehicle for you. If you have been current and a good customer and nothing has changed with your financial situation or credit rating - I would think they would finance a new purchase for you. Now if any of the above has changed, that may create another outcome.

LSU is right - you don't have to finance to get a vehicle if you have cash. But if you are on a very limited budget, you probably won't get something very dependable and if neither of you are mechanically inclined, you may end up paying more in the long run for an ole beater that continues to breakdown. There are no guarantees with any vehicle, new or used it will be dependable. It is really the luck of the draw.

Keep us posted on your situation.

[B65]

really

$1000 will not buy a reliable car that includes taxes and tags that my husband can drive 130 miles round trip a day to work 5 days a week..... wish that were the case but been down that road before and got badly burned.

[nerves]

I totally understand. If I had to travel that much, I would want something that would be more trustworthy than an ole clunker. My thought process is if someone is getting rid of it - there is probably a mechanical reason. It isn't always the case but I would guess it is the majority. Myself, I drive an old car but I bought new 14 years ago and still runs good. My drive to work and back is less than 10 miles a day. If I was driving as much as your husband, I am sure I would be re-evaluating my vehicle situation.

[oneluckylady]

B65 hope everything works out. Keep us posted.

[LSUTiger32]

$1000 will not buy a reliable car that includes taxes and tags that my husband can drive 130 miles round trip a day to work 5 days a week..... wish that were the case but been down that road before and got badly burned.

Have you looked? And maybe it takes $2,000 but you can find something. I drive 80-90 miles a day round trip and I drive a Taurus that I bought for $2,500. That was 14 months and 21,000 miles ago. It can be done.