Insufficient Down Payment??
Rookie
Joined: Jun 2006
Posts: 80
Likes: 0
From: Ca
Sorry to change the subject, but you are a college student who wants to buy a $40K+ automobile by putting down $26K cash? Does anyone see this as a bad financial decision? In college I bought a $45K Supra, but I was making six figures. If I were in your shoes I'd get a less expensive car, put less down, still finance, but only finance it if you are the one getting the credit. Building good credit will save you thousands of dollars in a short time. Save the money for a down payment to a house.
Sam
Sam
let's say it's 40k otd then that's 14k to pay which isn't much if you break down the payment. That's like getting a scion in college. Totally affordable...
I just got out of college couple months ago and made my purchase... i don't see it being a problem... plus it's his money
I just got out of college couple months ago and made my purchase... i don't see it being a problem... plus it's his money
Lead Lap
Joined: Sep 2005
Posts: 438
Likes: 0
From: NJ
Not true. I just financed my TL with Capital One Auto Finance. And let me tell you, its the easiest car purchase I have ever done. You do the approval process online and if your approved (which I was with a low interest rate), they MAIL YOU A CHECK!!! Yes!!! You write the check to the dealer for the amount of the car and its yours. That's it. All you do is fill in the check like any, put the VIN on the check and that is it. Its just like paying cash for the car. All the dealer has to do is have paperwork for the plates, etc.
haha yea, if you reread you will see i said it's great for the consumer. Not for the dealer on the receiving end. We salesman don't get paid until all paperwork is done. Capital one is a pain for us. But for you the consumer its fine. OK GG
Lexus Champion
Joined: Nov 2003
Posts: 2,151
Likes: 1
From: Connecticut
Sorry to change the subject, but you are a college student who wants to buy a $40K+ automobile by putting down $26K cash? Does anyone see this as a bad financial decision? In college I bought a $45K Supra, but I was making six figures. If I were in your shoes I'd get a less expensive car, put less down, still finance, but only finance it if you are the one getting the credit. Building good credit will save you thousands of dollars in a short time. Save the money for a down payment to a house.
Sam
Sam
When I read the thread I thought 26k down??
And income still won't support the loan (in the banks opinion)... He should buy a civic and invest the rest...Sorry to get off topic...
Lexus Champion
Joined: May 2002
Posts: 2,175
Likes: 0
From: Connecticut
I have to join in the WTF chorus here.
Unless you're terminal and an IS350 is your last wish (and if that's the case, then by all means, do what you will w/ your $26K) - I think using your savings to buy a Lexus is a horrible idea.
Wait until you're finished with school to buy a luxury vehicle - that way you'll be able to afford not only the vehicle, but the insurance, taxes, and maintenance too.
If you desperately need transportation - buy something cheap. There are quite a few cars out there that can be a lot of fun for much less - the current Civic Si for example. Put about $10k down then get a 12 or 24 month loan for the remainder to start building credit. Don't get a long-term loan for the balance or the interest relative to the loan amount will be outrageous.
Good luck.
M.
Unless you're terminal and an IS350 is your last wish (and if that's the case, then by all means, do what you will w/ your $26K) - I think using your savings to buy a Lexus is a horrible idea.
Wait until you're finished with school to buy a luxury vehicle - that way you'll be able to afford not only the vehicle, but the insurance, taxes, and maintenance too.
If you desperately need transportation - buy something cheap. There are quite a few cars out there that can be a lot of fun for much less - the current Civic Si for example. Put about $10k down then get a 12 or 24 month loan for the remainder to start building credit. Don't get a long-term loan for the balance or the interest relative to the loan amount will be outrageous.
Good luck.
M.
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Posts: n/a
I had one and never will I use them again.
I financed my GS through Lexus financial....
Lead Lap
Joined: May 2004
Posts: 567
Likes: 0
From: San Antonio, Texas
Ah I agree with you on the credit cards. I had two, and dropped them. I had them for 6 years, and they never would approve me on a rate increase (limit). I only had 2k on one and 3k on the other. Then the interest went up to 18%. I told them two things, drop the interest rate way down and give me more limit or I am leaving you.
Well sorry sir, we have to go by the federal rates and that is what they are now. So why does everyone else offer better. No answer. Then what about my limit. Oh sorry, you don't have enough credit history with us. 6 years?!!?
Screw you. I left and got two new cars through my own bank for 10k each. I don't use them unless I need too, but yea I don't have enough history my butt.
But so far the Auto Finance side has been good.
Oh yea, plus they won't stop sending me junk mail. I get at least one lettter a day from them offering credit cards. It wont' stop. I asked them several times to stop sendign me this crap.
Pole Position
Joined: Aug 2006
Posts: 317
Likes: 0
From: New Jersey
I have to join in the WTF chorus here.
Unless you're terminal and an IS350 is your last wish (and if that's the case, then by all means, do what you will w/ your $26K) - I think using your savings to buy a Lexus is a horrible idea.
Wait until you're finished with school to buy a luxury vehicle - that way you'll be able to afford not only the vehicle, but the insurance, taxes, and maintenance too.
If you desperately need transportation - buy something cheap. There are quite a few cars out there that can be a lot of fun for much less - the current Civic Si for example. Put about $10k down then get a 12 or 24 month loan for the remainder to start building credit. Don't get a long-term loan for the balance or the interest relative to the loan amount will be outrageous.
Good luck.
M.
Unless you're terminal and an IS350 is your last wish (and if that's the case, then by all means, do what you will w/ your $26K) - I think using your savings to buy a Lexus is a horrible idea.
Wait until you're finished with school to buy a luxury vehicle - that way you'll be able to afford not only the vehicle, but the insurance, taxes, and maintenance too.
If you desperately need transportation - buy something cheap. There are quite a few cars out there that can be a lot of fun for much less - the current Civic Si for example. Put about $10k down then get a 12 or 24 month loan for the remainder to start building credit. Don't get a long-term loan for the balance or the interest relative to the loan amount will be outrageous.
Good luck.
M.
