You may benefit from getting a small loan on a slightly older civic (2013 to 2015, perhaps) with lower mileage so that you can drive it a long time. Sounds like you don’t care what you drive so long as it’s dependable. A corolla can help you as well. It’s best to start with borrowing small amounts of money and paying those debts back as quickly as you conceivably can.
Aside from that, you can get quotes without doing hard pulls, just ask the dealers to do the lowest tier MF quote assuming you’ll qualify with a co-signer. This way no one is doing pulls against your credit and you can still get an idea of what you’ll be paying.
depends on the bank. with GM, if you live at the same household as the 800 score than tier 1 shouldnt be an issue. if you live at separate residences they weight you independently which will bring down the tier.
If you travel a lot. Use Uber and hire a credit repair company or better yet learn to do it yourself. You should be able to get your score in the 600s in 3-6 months if you do everything right. Then you can get a vehicle at tier 2-3 credit.
You can get quotes without a hard credit pull. They’ll usually quote you assuming tier 1 credit, but you can also ask for quotes that take into account your credit along with your co-signers.
If the parents are primary and he’s the co-sign, and he can get Tier 1, the lease payments will probably be good for helping him get his credit score back on track…
This has all gotten away from what I originally asked…
1.) “Should I lease (I hear lower payments/less down) or should I buy used and take a loan?”
2.) “If I lease what am I taking a loan on? Does it guarantee/pay off the lease?”
3.) “Would this be possible to do all online?”
I do not mean to come off as rude but these questions have not been answered.
-Someone questioned if I could get a loan…yes I can. With a soft pull I have had two offers with only my horrible score and additionally in person at a dealership.
-Yes I know I am going to pay high interest even with a cosign.
I know how to repair my credit.
I am 41. I had a credit score of 738 until July of 2018. I know because I checked it, my savings, my checking accounts, any debts…because I wanted to make sure I could resign from my job and take a few months off for the first time since I was a teen.
In August had a heart attack, October hospitalized for 11 days: wiped out my savings.
I have never dealt with a car loan on any level. I lived & worked in the city all my adult life. I bought the car I had now used for cash off someone 6 years ago. It is a 2006 Honda Civic with 84k miles on it. I just had my friend replace the alternator and battery. Now there is a hole in the exhaust and its falling apart and sounds loud as hell and is an embarrassment. I wanted to get rid of it a month ago when it started.
So as much as I have been reading I cannot get an answer to my questions.
I think I am just going to take a guess and buy that used car at whatever interest to at least be done thinking about this because cars might be, for me, one of the most boring subjects in the world.
Midas? Or throw money away. Not sure why you are so hot to get a new car. Drop $500 in this civic and it’ll go 2 years and not cost you a dime. But do what you want, you can keep going in circles on here or show us some actual numbers. I only have a bachelor’s but consider myself to have a phd in car sales/leasing(7 years in the business).
The opinion of many of us was to take a small auto loan for a dependable car from a credit union and ride it out until your credit gets better. Or just keep the Civic you currently have now. 80k miles a civic is nothing.
You should just buy a used car which can be financed. Much easier to setup financing since it can be used with any car/dealership like through credit union. Figure out what bank will give you the best rate based on your situation and the co-signer. A $15K used car seems reasonable based on your outlined situation and the payments will be manageable.
Yes, a lease is similar to a loan as the total payments show up against your credit plus you have an expensive asset that doesn’t belong to you in your possession, so the bank is extra cautious. Much different than your monthly cable bill which they can shut off easily due to non-payment.
Knowing someone at a dealership doesn’t necessarily help as they are not underwriting the loan, same as someone at Wells Fargo won’t get you a better mortgage rate. They may be helpful, but also take their advice with a grain of salt.
I just went though every message preceding yours which would be 30. There are two total mentions of a car loan and not one says clearly, “a car loan over a lease.”
I just wanted to make sure I am not completely misreading things.
News flash. Your question (lease or a loan) is a question of luxury. Neither is best for you. You need to avoid both and, rather, work on continuing to develop a history on time payments for your current credit cards. You should fix the muffler immediately using a credit card that you pay off ASAP. The Civic appears to be fine otherwise. Why pay high interest on a car loan or a lease when you can use that money in more strategic ways. That high interest does not get you equity.
Is GM still running subprime lease offers on certain cars? I recall a couple years ago, the Cruze/Verano twins were included. Not sure if they’re still doing something similar more recently.
In my quest towards becoming a responsible adult (not there yet), I’ve found that damaged credit makes life expensive. Being broke is just the figurative cherry on top.
I can sympathize with the OP because I’ve been there before and see people living day to day in that situation. It sucks. I think the OP should consider consulting a broker and stay the hell away from any car lots until an equitable deal can be made for them; co-signer or no co-signer.
