"InfinityAero" (infinityaero)
12/21/2016 at 10:27 • Filed to: None
2
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"InfinityAero" (infinityaero)
12/21/2016 at 10:27 • Filed to: None | 2
| 35 |
Got some awesome recommendations from everyone for my car search from my last post— and now of course the criteria have changed completely and most of that conversation is now irrelevant :-P
The wife wants me to get something with around 75K miles instead of ~150K, so I’m now looking to get a small loan, something in the $10-15K range, depending on whether I trade/sell my Xterra first. Tried going by my bank (Wells Fargo) and was very disappointed with the 7.5% loan they offered. Combined credit score of my wife and I is 786, so I would expect something more like 3.5-4.5%
The only loans I’ve ever gotten were for new cars, through the dealership, so I’m at a bit of a loss as to what the best approach is to getting a car loan before starting to test drive the three cars I’m considering. Are credit unions the way to go? Is there an aggregate search site you’d recommend for loans that will look up loan rates for multiple lenders at once?
FWIW, the three cars I’m looking at:
S2000: Any year
Boxster S (00-04) or Boxster Base (2004+)
Subaru WRX (2005-2007, with the larger 2.5L that dynos higher)
Wrong Wheel Drive (41%)
> InfinityAero
12/21/2016 at 10:32 |
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If you are looking at the S2k, you could cut your budget in half and go Miata! Then use the leftover money to make it much faster than any stock s2k for sure. Or even less money and make it at least as fun. As long as you dont go 1.6 NA, a Miata doesnt really feel slow.
And yeah, credit union is a great place to start for a loan.
E90M3
> InfinityAero
12/21/2016 at 10:34 |
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What’s your credit history like, do you just have a credit card or have you an auto or home loan in the past. I had trouble getting financed when I tried to buy an M3 the first time because while I had very good credit, I lacked enough history. Also, it seems banks charge higher rates on older cars, like the ones you’re looking at.
FTTOHG Has Moved to https://opposite-lock.com
> InfinityAero
12/21/2016 at 10:37 |
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Credit unions are typically better, but most will have tiered rates based on the age of the car. For a car 2012+ the best rates will be around 2%, 2009-2011 3%, and up from there. If you are financing one of the ones you’ve shown here, you might be able to get the 3.5-4.5% you are shooting for at a credit union. But if you don’t end up with a 2006+ that will start to get to 5-6% quickly even with good credit. It will depend on the exact car, and shoot for the newest model year you can. (Yes, I realize this doesn’t make a ton of sense when comparing things like a 12 year old Porsche to a 2 year old Kia at the same asking price, but that’s how they do these things.)
jimz
> InfinityAero
12/21/2016 at 10:38 |
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it may be difficult to get a loan for the cars you list; in most cases lenders won’t finance vehicles more than 10 years old. there are exceptions, of course.
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InfinityAero
> E90M3
12/21/2016 at 10:38 |
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Credit history is pretty extensive-- I’m at about a 690 after several years of rebuilding it. 5 years ago I was below 500... so my situation is much better now. I only have 1 credit card, but my wife has several. Her credit rating is about 800 right now. We have a good combined income, so the money coming in should be fine too. The agent at Wells Fargo actually said the 7.5% was one of the better rates she’d been able to offer in the last week, and said I should be able to find a much better rate elsewhere.
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E90M3
> InfinityAero
12/21/2016 at 10:39 |
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Then I’d try else where, maybe a credit union or something.
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InfinityAero
> FTTOHG Has Moved to https://opposite-lock.com
12/21/2016 at 10:39 |
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Interesting, good info, thanks! That was something they actually never asked me during the loan process...
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InfinityAero
> jimz
12/21/2016 at 10:40 |
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Hm, that would be surprising. 10 years is a drop in the bucket these days. I guess there must be a bunch of people out there just throwing around 30K in cash on used cars...
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InfinityAero
> InfinityAero
12/21/2016 at 10:42 |
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Looks like Suntrust may be my next attempt:
https://www.lightstream.com/rates-loan-calculator
Will have to see if they’ll finance a 10+ year old car, of course... that could impact my search obviously, if not.
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InfinityAero
> Wrong Wheel Drive (41%)
12/21/2016 at 10:47 |
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I will own a Miata some day, just not today :)
In this case I’m looking for a car to get me through the next 1-2 years until we buy a house, so with the short period of ownership coming up I’ll probably want to get something that has the speed I’m looking for right out of the box! My goal is to sell whatever I pick up for roughly what I paid, and pick up a 1st Gen Viper or NSX after we buy a house.
Also, I’ve got an old ‘77 Fiat Spider for a superlight project car :) If I make anything stupid-fast, it’ll probably be that...
DipodomysDeserti
> InfinityAero
12/21/2016 at 10:54 |
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You’ll probably save money by buying a bit newer car with lower miles as you’re going to have higher interest rates with a ten year old car that has over 50k or so miles. I refinanced by Jeep through Lightstream and they’ve been great. Wired me the money the day after I emailed them the papers.
PotbellyJoe and 42 others
> InfinityAero
12/21/2016 at 10:57 |
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with 780+ scores, try Fifth-third bank. They’re aggressive for rates because they’re ridiculously selective about who they lend to. We used to get really sweet lease deals with them and have the customer sign the more expensive one from a less restrictive bank in hopes that 5/3 would sign them. If they did we’d both make out better.
f86sabre
> InfinityAero
12/21/2016 at 11:06 |
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Try a credit union if you have access to one. They tend to have slightly better rates and are easier to deal with.
Arrivederci
> InfinityAero
12/21/2016 at 11:11 |
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Jim is correct - most “internet” lenders like your Lightstream idea, as well as CapitalOne, among others, will only finance newer cars with mileage limitations. As model years get older and mileage gets higher, interest rates will climb.
Your best bet by far is a credit union. Douggo always seemed to recommend PenFed.
JQJ213- Now With An Extra Cylinder!
> InfinityAero
12/21/2016 at 11:17 |
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Just last year I had extreme difficulty financing a 2008 Volvo C30 with only 41k miles on it because of how old it was.
Lenders have gotten really picky and careful now.
Best advice is to try and find a local credit union. They usually offer better rates and will finance older cars.
merged-5876237249235911857-hrw8uc
> InfinityAero
12/21/2016 at 11:21 |
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Local credit unions have been the best for us lately. Except my last car, the dealer actually beat the CUs rate. But we’ve been able to get 1.x type rates from local CUs.
ITA97, now with more Jag @ opposite-lock.com
> InfinityAero
12/21/2016 at 11:43 |
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I’ve used State Farm Bank for small car loans like that with success. Several times, I’ve taken out loans for less than 10k on old cars. The interest rates are never great on a car more than 7or 8 years old (like around 6%, with really good credit), but they’ll happily finance stuff that many banks are not interested in. They also don’t have prepayment penalties, which is good for what I do. The usual scenario in which I’ve used State Farm to finance old cars for a couple of months so that I can purchase them without having to drain the savings account or otherwise move a bunch of money around (I’ve also used the bank of Dad for this in the past, which also worked fine).
Buying the C4 last year was good example of this. After my folk’s next door neighbor and I came to an agreement for me to buy his 93 LT1/6 speed corvette with 57k (that he bought new in 93) for 8 grand (a car that wasn’t otherwise for sale, and that took six months after I initially asked about the car before he decided he could sell it to me), State farm happily loaned me 8 grand on a then 22 year-old sports car. Once I had the corvette, I put my E39 daily driver up for sale. Once I sold the E39, I kicked in some cash to cover the difference and paid off the vette within a few months of purchasing it.
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InfinityAero
> ITA97, now with more Jag @ opposite-lock.com
12/21/2016 at 12:11 |
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Yeah, I’m leaning towards this route. Who cares about the interest rate if I pay it off in a year...
Have a 02 Xterra to sell that I should be able to get at least 3K for, another 3-4K coming in tax returns, and some cash in my bank account currently- that would leave me with less than $5K on a loan by the end of the year even if I buy a $15K car.
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FTTOHG Has Moved to https://opposite-lock.com
> InfinityAero
12/21/2016 at 12:20 |
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Possible that it may not be the case at Wells Fargo, but I know my CU had a board showing rates for different model year ranges.
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Wrong Wheel Drive (41%)
> InfinityAero
12/21/2016 at 12:25 |
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Makes sense, I would also say that the s2k and wrx being compared is nonsensical but I did the same exact comparison when I bought my Miata lol. If you were gonna go Porsche, any interest in a Cayman instead? Sure its not a convertible but I just really like the Cayman.
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ITA97, now with more Jag @ opposite-lock.com
> InfinityAero
12/21/2016 at 12:30 |
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The other thing that I have liked about State Farm for small loans on old cars is that the loans are handled through their Insurance Agent’s offices (which is super convenient since I’m insured through them). The process for me has usually worked as I call up my agent with the information on the car and the transaction, they put the application into the system then and there and they usually (at least in the days before I had fraud freezes on all my credit files) have a loan offer for me before the end of the conversation. I then tell them to make it happen, and I can usually go in to my agent’s office within an hour or two and do the paperwork. Their agent’s can then issue a bank draft to the seller on the spot. It is the easiest way I’ve ever financed a car.
Even with the fraud alerts and frozen credit files I have now, the last time I applied over the phone with my agent, their fraud verification folks called me to verify my identify and make a loan offer within a few hours of my agent putting in the application.
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InfinityAero
> Wrong Wheel Drive (41%)
12/21/2016 at 12:31 |
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I prefer the Cayman and its coupe body as well, but they didn’t start selling them until 2007 so the price points are quite a bit higher-- $20K+.
The WRX is totally the “logical” choice of the bunch, but my primary requirements are fun and reliable driver’s car, so it should meet the bill there! I’ll need to test drive them to see if they’re as precise and fun as people describe them.
After over a year of DDing a truck/SUV, I want something fun, and if I’m going used I may as well go with one of the consensus best drivers cars of the last 20 years; all three would seem to meet that criteria, the S2K the most, the WRX the least, Boxster somewhere in the middle :)
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InfinityAero
> ITA97, now with more Jag @ opposite-lock.com
12/21/2016 at 12:34 |
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That sounds pretty convenient, actually. Coincidentally, they were advertising for State Farm auto loans on the sports radio station I was listening to on the way into work this morning— fortuitous, perhaps...
Bytemite
> Wrong Wheel Drive (41%)
12/21/2016 at 12:35 |
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Hey man! Nothing wrong with a 1.6 :(
I preferred it over the 1.8 anyway.
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Bytemite
> InfinityAero
12/21/2016 at 12:44 |
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Is it too late to put one of these in the running?
You take a Boxster and Miatatify it. Give it Japanese reliability and running costs, curb weight of less than a miata with the engine in the middle. This will be my next car if I sell my NA or Veloster.
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InfinityAero
> Bytemite
12/21/2016 at 12:57 |
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If only they had the 2zz! I know there are some swaps out there.... nice cars from what I’ve heard but even less interior space and storage space versus a Miata is what I’ve heard.
If I decide to go the MR2 route— I’d probably want to get one of the 3s-GTE powered ones from the 90s or an AW11 from the 80s :) Seems like the newer ones have quite the following though; seem to be pulling close to 10K for most of the ones under 100K miles.
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Wrong Wheel Drive (41%)
> Bytemite
12/21/2016 at 13:00 |
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I have nothing against the 1.6 for the right application but it certainly does feel slow. I’m comparing that to my 1.8 VVT though so its a significant jump in power. Sure there is more weight which is why that 1.6 can be sweet for autocross but just daily street driving is a lot more fun with the linear power delivery. It would be silly to even try to compare the 1.6 to an s2k.
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Wrong Wheel Drive (41%)
> Bytemite
12/21/2016 at 13:01 |
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Second this, MR2 is a great compromise!
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Bytemite
> InfinityAero
12/21/2016 at 13:12 |
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Sigh, yeah if only it had the 2zz - it would have been the next quintessential answer. Swaps are supposedly easy and cheap though for those that want a mid-engine S2k. I’d be happy enough with the 1zz, which makes it pretty much a mid-engine miata.
Also, I wouldn’t worry about storage space since there’s a frunk which you can take the spare tire out of and there are storage bins behind the seats! Find yourself a 2003 - best year with the updated styling and pre-cat issue figured out. I’d go for the 3rd gen over the turbo 2nd or even a supercharged 1st. Those aren’t going to be reliable DDs and you will pay a heavy “drift tax” or “street cred tax” on them. The 3rd gen is super rare, so it has that tight-knit community and if you debadge it, no one knows what you’re driving, plus it got a glowing Regular Car review!
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Bytemite
> Wrong Wheel Drive (41%)
12/21/2016 at 13:17 |
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You have the 155 hp NB or 140 hp? Either way, that is a lot of power. I really like the revvy, buzzy nature of a good ol’ 115 hp 1.6. There’s nothing better than being able to wring out your engine on the street and stay under reckless driving speeds.
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Wrong Wheel Drive (41%)
> Bytemite
12/21/2016 at 14:16 |
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Regardless, that ~150hp at the crank is still objectively slow. I can ring out 3rd gear to 7 grand and still be at a reasonably legal speed in most places. It is more the mid range torque that is just a lot more linear than the older NAs. My new headers and full exhaust also have added a bit more go so I am really excited about that. But yeah in general the draw of a Miata is going “recklessly fast below the speed limit” haha
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Bytemite
> Wrong Wheel Drive (41%)
12/21/2016 at 14:51 |
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Good on ya! I’m guessing you have the facelift NB with the 3 hp bump? How much weight did you shed with that new exhaust?
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Wrong Wheel Drive (41%)
> Bytemite
12/21/2016 at 15:01 |
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I cant imagine the new exhaust shaved a whole lot of weight. Yeah I have the NB2. I am just happy it sounds so much better now. Rather, I can actually hear the exhaust even with the radio and wind noise. Before I had a couple times where I hit the rev limiter in 3rd gear unexpectedly because I couldnt really hear anything. Now I would be hard pressed to miss it!
Manwich - now Keto-Friendly
> InfinityAero
12/21/2016 at 16:00 |
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Of the 3 cars, I’d recommend the S2000... and keep it completely stock. It will likely hold its value nicely and may be a future classic.
And for lending, if it was me, I would just use my line of credit and pay it off as fast as possible.
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InfinityAero
> Manwich - now Keto-Friendly
12/21/2016 at 16:34 |
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Leaning towards the s2k, bone stock like you said. Was browsing porsche forums looking for info on the m96 motor and finding almost nothing for tech knowledge... May be enough to scare me away from the porsche... If something does go wrong there’s very little knowledge base to work with as a shadetree mechanic, and shop repairs are pricey...