Ok some back story.
Me and my wife about 2 months prior to bankruptcy (72 days) bought a brand new car. We really didn't want a brand new one because we didn't want high payments or high principal. But we were fairly ignorant to the whole credit system and car buying process.
But we did know we had bad credit so we applied through our bank first, denied.
Then called around to different dealerships and one stuck out the most because they are always advertising bad credit financing...
Well we went there and looked through the used autos and the new autos. We sat down started talking numbers, he seen how much money I make, which for the area is pretty good. I guess he figured they could get a pretty good amount out of me and told me "Well I'll tell you right now you shouldnt get a used auto with bad credit, theres a good chance we won't be able to get you financed for one with bad credit and itll end up hurting your credit even trying" so he talked us into a brand new 2010 hyundai elantra, which was fairly cheap, first one we looked at was like 12,999. So we went with it, we got a contract setup for 15.9% and test drove, i pointed out ac wasnt working he said it must be out of coolant for some reason and he would set us up with a different vehicle just because we didnt trust that one anymore.
We told him that we would be back the next day to sign the contract and have our down payment.
Came back next day and we were told the reason that car didnt have AC was because it wasnt installed and thats why it was so cheap. So they told us the only other car they could probably get us in due to qualifying financing would be another elantra @ about 16,000. We said fine if that was the only thing we could get ok... we didn't know any better. So we went to sign and he said since the vehicle and vin # changed we had to sign a new contract. Well I noticed new contract had 18.9% interest which they made no mention of, I pointed it out and they said no thats what it was yesterday, I argued, and then one of them said "well we had to run it again and this is what they came back with, financing changes on a daily basis"
So we were pretty much just beaten down and needed a car so we had to go with it.
---
We were already planning to file bk and were going to keep the car and keep paying on it so we could build credit, but after researching Bk and everything we learned a LOT to say the least.
We are not going to reaffirm, we were scared at first because family saying that we were gonna get fraud or somethin since it was so close to bk, but we didnt intend for it to be fraudulent, hell we gave up a vehicle for it, why would we do that if we were doing fraud?
We are stopping our payments as of this month, and going to let them come get the car.
We are hoping they'll take their time at coming to get it since we initially told them we PLANNED on reaffirming. So during this time we can build a small down payment and build credit more.
So we are going to start looking around at used car lots, and only plan on financing about 6500 at most. Its not a lot but its perfect for us to start building credit back up and isn't a large amount to where a higher interest rate will kill us.
We have found a very very nice Chrysler Pacifica with only about 60k miles on it for 7900 and we are debating on that, because it should last a while and thats a great deal.
So hopefully we can get approved for a used auto loan, at maybe 12.5-15% interest at the most within the next couple months( discharged this month ) and go from there...
Question though, on Cap One blank check, are there requirements as far as milage / used auto / dealers only no private sellers?
Me and my wife about 2 months prior to bankruptcy (72 days) bought a brand new car. We really didn't want a brand new one because we didn't want high payments or high principal. But we were fairly ignorant to the whole credit system and car buying process.
But we did know we had bad credit so we applied through our bank first, denied.
Then called around to different dealerships and one stuck out the most because they are always advertising bad credit financing...
Well we went there and looked through the used autos and the new autos. We sat down started talking numbers, he seen how much money I make, which for the area is pretty good. I guess he figured they could get a pretty good amount out of me and told me "Well I'll tell you right now you shouldnt get a used auto with bad credit, theres a good chance we won't be able to get you financed for one with bad credit and itll end up hurting your credit even trying" so he talked us into a brand new 2010 hyundai elantra, which was fairly cheap, first one we looked at was like 12,999. So we went with it, we got a contract setup for 15.9% and test drove, i pointed out ac wasnt working he said it must be out of coolant for some reason and he would set us up with a different vehicle just because we didnt trust that one anymore.
We told him that we would be back the next day to sign the contract and have our down payment.
Came back next day and we were told the reason that car didnt have AC was because it wasnt installed and thats why it was so cheap. So they told us the only other car they could probably get us in due to qualifying financing would be another elantra @ about 16,000. We said fine if that was the only thing we could get ok... we didn't know any better. So we went to sign and he said since the vehicle and vin # changed we had to sign a new contract. Well I noticed new contract had 18.9% interest which they made no mention of, I pointed it out and they said no thats what it was yesterday, I argued, and then one of them said "well we had to run it again and this is what they came back with, financing changes on a daily basis"
So we were pretty much just beaten down and needed a car so we had to go with it.
---
We were already planning to file bk and were going to keep the car and keep paying on it so we could build credit, but after researching Bk and everything we learned a LOT to say the least.
We are not going to reaffirm, we were scared at first because family saying that we were gonna get fraud or somethin since it was so close to bk, but we didnt intend for it to be fraudulent, hell we gave up a vehicle for it, why would we do that if we were doing fraud?
We are stopping our payments as of this month, and going to let them come get the car.
We are hoping they'll take their time at coming to get it since we initially told them we PLANNED on reaffirming. So during this time we can build a small down payment and build credit more.
So we are going to start looking around at used car lots, and only plan on financing about 6500 at most. Its not a lot but its perfect for us to start building credit back up and isn't a large amount to where a higher interest rate will kill us.
We have found a very very nice Chrysler Pacifica with only about 60k miles on it for 7900 and we are debating on that, because it should last a while and thats a great deal.
So hopefully we can get approved for a used auto loan, at maybe 12.5-15% interest at the most within the next couple months( discharged this month ) and go from there...
Question though, on Cap One blank check, are there requirements as far as milage / used auto / dealers only no private sellers?
Comment