Why I have finally accepted the fact that ShelbyDude is right!

[CH53Driver]

Ok, this may turn in to a long post so I will apologize upfront. I guess this is my first rant (kind of) since I joined this forum.

 

Anyways, I went to look at a 2007 Shelby GT500 (black with silver stripes) a couple of days ago. I got a "tip" from a guy I work with that his buddy (who is in the car business) had just got his hands on a one owner GT500 that had exactly 301 miles on it. The gentleman bought it over a year ago and paid close to 70K for it. It had been garage kept (never even driven in the rain) and the gentleman had decided to get rid of it.

 

So I go look at it, talk to the gentleman who has it and after some discussion he decides to give me what I think was a really good deal considering my current vehicle (a 2006 Nissan Titan) has plummeted like a rock in value over the past two years (I bought it about a month before the oil craziness but thats a whole story in itself). So including my trade-in I was going to be paying around $55K, which I was cool with considering I know many people have paid more than that for a new one and considering the fact that one of the local dealerships has a black 2008 GT500 that they are asking $65K for.

 

Here's where the problem starts. None of the banks I talked to, including the two I am a member of and are very good banks, would finance for that amount. I guess they will only go by Black Book, which shows the car to be valued at $41K. They would go up 20% over that value, but that is still quite a bit less than $55K. What's really funny is when you look at KBB they show that same vehicle with that kind of mileage to be valued at $62K retail value for this zip code. When I also explained that the local GT500 on the Ford lot was priced at $65K, it didn't matter. The banks said that they could only use Black Book value which is based of the manufacturers MSRP values.

 

So the moral of the story? ShelbyDude is right, Ford should have sold this vehicle for more money, maybe then it would be easier to finance! The funny thing is that every time I read ShelbyDude post that, it kind of irked me because while I agreed with him that it was a tremendous value for the price (assuming you could get one at MSRP), I thought it was kind of self defeating because in my mind I thought it was awesome that Ford was offering a car with tremendous performance at a price point most people could actually afford! Now I realize that these cars are indeed bringing so much more than the MSRP that it is hard to finance them!

 

And for the record, I am not really complaining. Yes, it is a free market and I have no problems with people selling them for what people are willing to pay, that's how this country works. Could I have come up with the money to pay the difference, sure. But I am married and if I want to stay married then I better use the money to pay off the credit card! Oh well, someday I suppose. I think I feel better now.

[SLB8SNK]

This is not hard to believe. However, check around. Prices are coming down, and you may be able to get an 08 for that price. Might take some work, but who knows. I got my deal at MSRP, and others are as well. If you go that route, you can get the financing you need as well.

[ShelbyDude]

Well in this case the banks did you a favor because with the way the market is right now based on the fact you can buy these new at MSRP, there is no way I would pay $55K for used 2007, even though the car may be worth that based on what it is. You have to go by what reality is and reality is the market on these have fallen to MSRP - $5K over in most places.

 

So why would you pay that much for a used 07?

 

How about a new 09 for MSRP????

 

I am "ASSUMING" we will get one and assuming we do, I will sell it for MSRP and you can order it the way you want it.

 

The only draw back is you will have to wait until it is built and delivered. I have no idea when that will be! Could be end of June or the last month of 09 production, depending on when Ford gives us our allocation for one.

[ShelbyDude]

BTW, some banks will go 130% which would allow $53,300 based on $41K. And some banks will go a lot more depending on how good the credit is and what your debt to income is.

[MadMax1228]

I quoted you and crashed my PC.....

 

To your point, we went through Wachovia Dealer Services without issue. I won't say how much, but I can tell you that I financed the vehicle, GAP, and the HEFTY ADM one year ago.

 

Unfortunately, I feel the economy has turned, and banks are tanking left and right affecting the end users (us). We are in for abumpy ride over the next few years.

[ShelbyDude]

I quoted you and crashed my PC.....

 

To your point, we went through Wachovia Dealer Services without issue. I won't say how much, but I can tell you that I financed the vehicle, GAP, and the HEFTY ADM one year ago.

 

Unfortunately, I feel the economy has turned, and banks are tanking left and right affecting the end users (us). We are in for abumpy ride over the next few years.

 

 

It's also a lot easier on new VS used getting over advanced on the financing.

 

Also, a year ago there were no values available for this car which also makes it easier to borrow more.

[CH53Driver]

Well in this case the banks did you a favor because with the way the market is right now based on the fact you can buy these new at MSRP, there is no way I would pay $55K for used 2007, even though the car may be worth that based on what it is. You have to go by what reality is and reality is the market on these have fallen to MSRP - $5K over in most places.

 

So why would you pay that much for a used 07?

 

How about a new 09 for MSRP????

 

I am "ASSUMING" we will get one and assuming we do, I will sell it for MSRP and you can order it the way you want it.

 

The only draw back is you will have to wait until it is built and delivered. I have no idea when that will be! Could be end of June or the last month of 09 production, depending on when Ford gives us our allocation for one.

 

 

Why would I pay 55K for an 07 with 300 miles on it? Because after my trade in I was carrying 10K over from the truck. I guess I should have explained that better with my first post. Do I like carrying over that much? No, but just in the last three months my truck went down another 3K in trade in value. I figured since an 08 was 65K, I didn't mind paying 55K for an 07 with 300 miles on it and that was including my 10K of negative equity from my truck. Ideal, no. But as my friend put it, wouldn't you rather have the vehicle you will probably keep and eventually someday still be worth something! I just thought it was interesting that the banks only base their assesment on MSRP, not actual market value. How do these people get financing for these cars if they are over 10-20K over MSRP? I am assuming they either paid cash up front, took a home equity loan, or did something illegal!

[MadMax1228]

It's also a lot easier on new VS used getting over advanced on the financing.

 

Also, a year ago there were no values available for this car which also makes it easier to borrow more.

 

 

Very good point.....and borrow more I did!

[MadMax1228]

How do these people get financing for these cars if they are over 10-20K over MSRP?

 

 

Good looks. :happy feet:

[CH53Driver]

Good looks. :happy feet:

 

So that explains why everyone was running away from me in the bank!

[walc]

So you weren't paying $55K, for the '07 GT500, you were paying $45K, for it, and financing $55K, including the $10K negative equity on your trade. That's not an absurd price, imo.

As others have mentioned, you can find new '08's, for MSRP, which is close to what you were going to pay for the used '07, and finance more$$, because the '08 is new. A dealer will have a better chance than you of getting 120%+, of MSRP, financing, due to the relationship with various lenders.

BTW, in my experience, prices are highest at dealers near military bases. Too many gullible buyers with bonus money.

Broaden your search, with FordDirect.com or a similar search tool.

Happy Shopping.

Semper Fi,

 

walc

CPL, USMC, 1967-69, Vietnam Veteran.

LTC, MDDF, JAG, 2006-

[arizonabud]

Ok, this may turn in to a long post so I will apologize upfront. I guess this is my first rant (kind of) since I joined this forum.

 

Anyways, I went to look at a 2007 Shelby GT500 (black with silver stripes) a couple of days ago. I got a "tip" from a guy I work with that his buddy (who is in the car business) had just got his hands on a one owner GT500 that had exactly 301 miles on it. The gentleman bought it over a year ago and paid close to 70K for it. It had been garage kept (never even driven in the rain) and the gentleman had decided to get rid of it.

 

So I go look at it, talk to the gentleman who has it and after some discussion he decides to give me what I think was a really good deal considering my current vehicle (a 2006 Nissan Titan) has plummeted like a rock in value over the past two years (I bought it about a month before the oil craziness but thats a whole story in itself). So including my trade-in I was going to be paying around $55K, which I was cool with considering I know many people have paid more than that for a new one and considering the fact that one of the local dealerships has a black 2008 GT500 that they are asking $65K for.

 

Here's where the problem starts. None of the banks I talked to, including the two I am a member of and are very good banks, would finance for that amount. I guess they will only go by Black Book, which shows the car to be valued at $41K. They would go up 20% over that value, but that is still quite a bit less than $55K. What's really funny is when you look at KBB they show that same vehicle with that kind of mileage to be valued at $62K retail value for this zip code. When I also explained that the local GT500 on the Ford lot was priced at $65K, it didn't matter. The banks said that they could only use Black Book value which is based of the manufacturers MSRP values.

 

So the moral of the story? ShelbyDude is right, Ford should have sold this vehicle for more money, maybe then it would be easier to finance! The funny thing is that every time I read ShelbyDude post that, it kind of irked me because while I agreed with him that it was a tremendous value for the price (assuming you could get one at MSRP), I thought it was kind of self defeating because in my mind I thought it was awesome that Ford was offering a car with tremendous performance at a price point most people could actually afford! Now I realize that these cars are indeed bringing so much more than the MSRP that it is hard to finance them!

 

And for the record, I am not really complaining. Yes, it is a free market and I have no problems with people selling them for what people are willing to pay, that's how this country works. Could I have come up with the money to pay the difference, sure. But I am married and if I want to stay married then I better use the money to pay off the credit card! Oh well, someday I suppose. I think I feel better now.

 

If you own a home with any equity, equity line might work. I thought we all paid cash for our cars.

 

Azbud :jackinbox:

[CH53Driver]

So you weren't paying $55K, for the '07 GT500, you were paying $45K, for it, and financing $55K, including the $10K negative equity on your trade. That's not an absurd price, imo.

As others have mentioned, you can find new '08's, for MSRP, which is close to what you were going to pay for the used '07, and finance more$$, because the '08 is new. A dealer will have a better chance than you of getting 120%+, of MSRP, financing, due to the relationship with various lenders.

BTW, in my experience, prices are highest at dealers near military bases. Too many gullible buyers with bonus money.

Broaden your search, with FordDirect.com or a similar search tool.

Happy Shopping.

Semper Fi,

 

walc

CPL, USMC, 1967-69, Vietnam Veteran.

LTC, MDDF, JAG, 2006-

 

Yes, that is correct. I also know that prices near bases are usually higher. Most of my purchases are usually at mom and pop places away from the build up. I also understand that carrying over is never good and usually makes lenders leary. However, my points were that I was surprised about how much they would finance on the vehicle. Buying the car with no negative equity would have been easy. That is true. What I was trying to get at was that many people bought these cars at 65-70K and the original value was still 45K by the black book. So even going 120% over 45K wouldn't allow you to buy at 65-70K (without putting down the difference). The other point I was trying to make was that ShelbyDude had stated on multiple occassions that these cars were worth a lot more than 45K, that Ford should have priced them around the 65K mark. So to me, I didn't mind financing an 07 with only 300 miles on it for 55K, especially since that included all of the negative equity from my truck. Granted I know a lot of people are not paying 65K anymore for these cars, but I thought since a local Ford dealer had one for that price (and weren't backing down) I thought it might help in justifying the 55K for the 07 with 300 miles on it. What ended up happening is I got schooled quite quickly on how the banks come up with their figures. Doesn't really upset me, just left me wondering how all these folks financed these cars when they were 20K over sticker. And I would have been happy with 55K, because I knew it was getting me a car that I would keep and maybe someday would actually have some value. I highly doubt that a 06 Titan will ever be worth anything and it will never be as fast. Anyways, it's just a temporary setback. I will regroup...Marines don't retreat they just fight in a different direction.

[MustangsRule]

Why would I pay 55K for an 07 with 300 miles on it? Because after my trade in I was carrying 10K over from the truck. I guess I should have explained that better with my first post. Do I like carrying over that much? No, but just in the last three months my truck went down another 3K in trade in value. I figured since an 08 was 65K, I didn't mind paying 55K for an 07 with 300 miles on it and that was including my 10K of negative equity from my truck. Ideal, no. But as my friend put it, wouldn't you rather have the vehicle you will probably keep and eventually someday still be worth something! I just thought it was interesting that the banks only base their assesment on MSRP, not actual market value. How do these people get financing for these cars if they are over 10-20K over MSRP? I am assuming they either paid cash up front, took a home equity loan, or did something illegal!

 

Not knowing all of the details here, it sounds like this owner paid cash. If so, Did you try to ask him if he'd sell it on an installment basis or hold part of the sale on paper so you can finance the difference. You could use your house as an asset for collateral for his paper. There's some downside ( you gotta cough up some cash at sometime) but you'll get into the car.

 

or... is all of this too much, after the fact. It's a try if you really want the car.

[walc]

Major,

Your ideal solution, imo, would be to buy a new 2007 Shelby GT ( not GT500 ), for around $10K off MSRP ( which would balance the $10K negative equity on your trade ).

Assuming a good credit score, you would be financing MSRP, on a new car, which equals a better interest rate, than a used car, and lower payments and total outlay, at the end of the loan.

There is a NC dealer ( Eric Feyer? ) and Michael Morris, in GA, who recently posted about new '07 Shelby GT's at around $10K off MSRP.

The Shelby GT is a damn nice car and it sounds like the best fit, for you, at this time.

[ShelbyDude]

Major,

Your ideal solution, imo, would be to buy a new 2007 Shelby GT ( not GT500 ), for around $10K off MSRP ( which would balance the $10K negative equity on your trade ).

Assuming a good credit score, you would be financing MSRP, on a new car, which equals a better interest rate, than a used car, and lower payments and total outlay, at the end of the loan.

There is a NC dealer ( Eric Feyer? ) and Michael Morris, in GA, who recently posted about new '07 Shelby GT's at around $10K off MSRP.

The Shelby GT is a damn nice car and it sounds like the best fit, for you, at this time.

 

 

Want a job???

 

Simple soultion to a problem!

[AndyGJ]

I have not tried to finance one of these through State Farm Bank (only $15 Billion in assets) since I am a State Farm Agent, but you can get our new car rates on all 2007, 2008, and 2009 year models PLUS FREE GAP INSURANCE... State Farm has been financing vehicle loans for over 70 years. And the rates for these year models start at 4.79%APY depending on your credit score, of course.

 

Oh, BTW, we also do private party purchases....check out your local agent that is Bank Certified...most are.

 

OK - END OF COMMERCIAL - I just wanted to throw that it in case it can help someone get the vehicle of their dreams...most people dont think of approaching State Farm for this sort of thing because its just not advertised.

 

GOOD LUCK!

Andy.

[ShelbyDude]

I have not tried to finance one of these through State Farm Bank (only $15 Billion in assets) since I am a State Farm Agent, but you can get our new car rates on all 2007, 2008, and 2009 year models PLUS FREE GAP INSURANCE... State Farm has been financing vehicle loans for over 70 years. And the rates for these year models start at 4.79%APY depending on your credit score, of course.

 

Oh, BTW, we also do private party purchases....check out your local agent that is Bank Certified...most are.

 

OK - END OF COMMERCIAL - I just wanted to throw that it in case it can help someone get the vehicle of their dreams...most people dont think of approaching State Farm for this sort of thing because its just not advertised.

 

GOOD LUCK!

Andy.

 

 

State Farm Headquarters is right across the street from us. They have better rates than anyone, BUT, they will not finance over MSRP on a new car. So if you have negative equity and the discounts and rebates are not enough to absorb that negative equity to keep the amount at MSRP or below, they will not finance the amount over MSRP.

 

At least that is what all the employees of State Farm here tell us. This is State Farm Credit Union, not sure if their bank is the same way.

[Dig-It]

CH53Driver,

 

I did a quick online check of the dealers around me in the Western part of Hampton Roads. Here's what I found (these are all 2008):

 

Pomoco: SGT vert

Wynn: GT500, Bullitt, SGT

Hall: GT500 vert, GT500, Bullitt

Barton: GT500

Cavalier: GT500 vert, GT500 (x2), Bullitt

 

And these are just the five dealerships around my house! We have twenty something dealerships within 50 miles! That's quite a sampling of inventory, so I'm sure there's a deal out there waiting to be found. I've personally seen a few of the cars listed here, so I know they are on the lots. Some have been there for quite some time too!

[CH53Driver]

Major,

Your ideal solution, imo, would be to buy a new 2007 Shelby GT ( not GT500 ), for around $10K off MSRP ( which would balance the $10K negative equity on your trade ).

Assuming a good credit score, you would be financing MSRP, on a new car, which equals a better interest rate, than a used car, and lower payments and total outlay, at the end of the loan.

There is a NC dealer ( Eric Feyer? ) and Michael Morris, in GA, who recently posted about new '07 Shelby GT's at around $10K off MSRP.

The Shelby GT is a damn nice car and it sounds like the best fit, for you, at this time.

 

walc,

Yes, that was my original plan. In fact, I had ordered one through the military car sales program with that very intention. However, the thing I didn't take into account was a) what my actual trade-in would be worth when I got back (I was on deployment at the time so taking a vehicle to dealers for an honest quote wasn't something I could do) B) when I did return I found out exactly how bad the market was for used trucks thus c) causing me to cancel the order and get my down payment refunded (minus a small fee for cancelling). After all the hassel, I figured if I was going to "go into the hole" at all, I would prefer to do it with a GT500 than a SGT (since the GT500 was the car I wanted all along). I kind of assumed (wrongly and we know what assume can mean) that maybe all these high dealer mark ups would actually help if you could find a car at MSRP because then it would allow some wiggle room for negative equity. I quickly learned that most banks don't take into account the dealer mark ups, so my best bet would be to go through an actual Ford dealer and not an independant.

 

 

Want a job???

 

Simple soultion to a problem!

 

Are you offering? Actually, I am not allowed to carry a second job as a military officer! Maybe you could employ me for a day?

 

 

I have not tried to finance one of these through State Farm Bank (only $15 Billion in assets) since I am a State Farm Agent, but you can get our new car rates on all 2007, 2008, and 2009 year models PLUS FREE GAP INSURANCE... State Farm has been financing vehicle loans for over 70 years. And the rates for these year models start at 4.79%APY depending on your credit score, of course.

 

Oh, BTW, we also do private party purchases....check out your local agent that is Bank Certified...most are.

 

OK - END OF COMMERCIAL - I just wanted to throw that it in case it can help someone get the vehicle of their dreams...most people dont think of approaching State Farm for this sort of thing because its just not advertised.

 

GOOD LUCK!

Andy.

 

Hmm, didn't know that but I will check into to see what they say. Thanks for the info!

 

CH53Driver,

 

I did a quick online check of the dealers around me in the Western part of Hampton Roads. Here's what I found (these are all 2008):

 

Pomoco: SGT vert

Wynn: GT500, Bullitt, SGT

Hall: GT500 vert, GT500, Bullitt

Barton: GT500

Cavalier: GT500 vert, GT500 (x2), Bullitt

 

And these are just the five dealerships around my house! We have twenty something dealerships within 50 miles! That's quite a sampling of inventory, so I'm sure there's a deal out there waiting to be found. I've personally seen a few of the cars listed here, so I know they are on the lots. Some have been there for quite some time too!

 

Ok, I will check all those out. It wasn't until the past couple of weeks that I finally had the time to start looking and get serious. Heck, it took me a couple of years to even see about financing for one of these cars. Being gone and high dealer mark ups kept me kind of off the market. I got some free time now so I will look into these. Thanks and I'll see you next Friday Dig-It!

[Dropping__Chronic]

It's my understanding that they are still selling you a used car, and any used car is hard(er) to finance. Talk to them about an 08 for UNDER MSRP to offset a bit of your trade. These things aren't exactly flying off the lots at this time in the economy. Even if you can't get lower than MSRP you could certainly get a better shot at financing the price of the car+the equity on a 'new' car.

[CH53Driver]

It's my understanding that they are still selling you a used car, and any used car is hard(er) to finance. Talk to them about an 08 for UNDER MSRP to offset a bit of your trade. These things aren't exactly flying off the lots at this time in the economy. Even if you can't get lower than MSRP you could certainly get a better shot at financing the price of the car+the equity on a 'new' car.

 

It's funny you should say that. When I went in to talk to the Loan Officer at NFCU, she said they still considered it a new car because it only had 300 miles on it. Of course, she also told me that these were considered "foreign cars" because they weren't made at the same plant as the rest of the Mustangs? I've never heard of such a thing.

 

Another part of this story is a week prior to looking at this GT500, I looked at one in NC that had been on the lot for about 6 months. I dealt directly with the owner and he was willing to come to MSRP which was 48K, but I was going to get 2K less for my trade in than I was going to get with the 07 and then when you take tax, title tag etc it was going to be around 62K out the door. He was willing to run the credit for me to see if I could get financed, but I decided to wait because I knew the other one was going to be around 55K out the door. Maybe I should have went with the 08! It's still there though because I drove by the dealership today on the way back to my house in NC.

[walc]

Major,

I say again.

You have a much better chance of getting " creative " financing through a high volume dealer, than on your own.

A high volume dealer has contacts with numerous lenders, who want the dealer's business. Thus, lenders will often approve a " borderline " deal to get, or keep, the dealer's business.

Additionally, I find that high volume dealers, usually, sell for less. They don't have to " hit a home run " on every deal.

I realize that everyone thinks that he or she is an expert. However, I have bought, and traded, over 60 new vehicles. It is my hobby; perhaps, obsession.

I have financed deals, through dealerships, that make yours look easy. In my experience, as long as you have an informed idea, of what you can get yourself, you will get better finance terms, through the dealership, even with the dealership making a few extra $$ on the financing.

Furthermore, as an ANG JAG Lieutenant Colonel, I have some idea of the challenges, and advantages, a military officer encounters, when buying a vehicle. Hopefully, that experience will help you.

Best wishes and Semper Fi.

[CobraCrazy]

There are more and more posts about GT500s that are being sold for MSRP. When I bought my 07 new in Nov. 06 I paid 47K (5k over MSRP), as a poor professor this was absolutely all I could afford. I found it in Worland, WY at a small but cool/fair dealer. I got on the internet, checked inventories (during the spring of 06) and made at least 100 phone calls from Oregon to Michigan (I live in CO) before I could find a dealer willing to sell that low. My point is that I am sure there is a small dealer in Neb. or somewhere who will sell a new 08 for MSRP now or something close. Be patient, keep looking, don't let em screw you. Sure you might have to buy a plane ticket, or rent a car one way, but you'll have a road trip in your new GT500!

CC

[ShelbyDude]

There are more and more posts about GT500s that are being sold for MSRP. When I bought my 07 new in Nov. 06 I paid 47K (5k over MSRP), as a poor professor this was absolutely all I could afford. I found it in Worland, WY at a small but cool/fair dealer. I got on the internet, checked inventories (during the spring of 06) and made at least 100 phone calls from Oregon to Michigan (I live in CO) before I could find a dealer willing to sell that low. My point is that I am sure there is a small dealer in Neb. or somewhere who will sell a new 08 for MSRP now or something close. Be patient, keep looking, don't let em screw you. Sure you might have to buy a plane ticket, or rent a car one way, but you'll have a road trip in your new GT500!

CC

 

 

If you paid $47K you didn't pay $5K over.

 

If you ordered the car with no options at all the lowest MSRP available was $42,975. So you would be $4,025 over on that.

[Dad's72Mach]

It's funny you should say that. When I went in to talk to the Loan Officer at NFCU, she said they still considered it a new car because it only had 300 miles on it.

 

 

First thank you for your service you definitely deserve the car you want.

 

Have you looked into a Capital One blank check loan? I'm currently awaiting my packet from them. They essentially approve you, over phone or internet, for a certain amount based on credit score and income and send you a 'blank check' good for 45 days, for you to write to the dealer. It took about 2 hours from application to approval and they didn't even ask what kind of car I wanted, didn't act as if they cared. The interest rate I got was 5.25% which is pretty competitive from my research. I did call my state farm agent after reading the earlier post and they quoted me 5.49%, my local bank I have been with for years said 5.7%. The dealer I am working with said they might be able to get me 5.15% not much of a difference even over 4-5 years. Maybe Shelby Dude or one of the other guys would know better what the best rate would be but even IF you could get a few tenths lower the ease of the CapitalOne loan might help your situation.

 

Good luck, God bless and thank you again!

[Zan186]

First thank you for your service you definitely deserve the car you want.

 

Have you looked into a Capital One blank check loan? I'm currently awaiting my packet from them. They essentially approve you, over phone or internet, for a certain amount based on credit score and income and send you a 'blank check' good for 45 days, for you to write to the dealer. It took about 2 hours from application to approval and they didn't even ask what kind of car I wanted, didn't act as if they cared. The interest rate I got was 5.25% which is pretty competitive from my research. I did call my state farm agent after reading the earlier post and they quoted me 5.49%, my local bank I have been with for years said 5.7%. The dealer I am working with said they might be able to get me 5.15% not much of a difference even over 4-5 years. Maybe Shelby Dude or one of the other guys would know better what the best rate would be but even IF you could get a few tenths lower the ease of the CapitalOne loan might help your situation.

 

Good luck, God bless and thank you again!

 

Honestly, I think you are trying to bite off more than you can financially afford. If banks are running from you that is the first sign that you might be wading into water too deep. Get your self financially set first. Pay off that truck so that it is not an anchor. Once you have that done then go looking. I know it is hard, but if you buy something when you are not ready for it bad things happen.

 

As for Shelbydud, well he has a unique perspective that I don't entirely agree on. His advice on cars is usually correct until he starts yapping about what they are worth. At that point it is a dealer talking.

 

If anything, every single thing I said in the summer of 07 has come to fruition. Be patient and you will get what you want. Remember holding your money in the bank makes money for you. Loans will suck your profits dry. Be smart and be patient!

[ShelbyDude]

First thank you for your service you definitely deserve the car you want.

 

Have you looked into a Capital One blank check loan? I'm currently awaiting my packet from them. They essentially approve you, over phone or internet, for a certain amount based on credit score and income and send you a 'blank check' good for 45 days, for you to write to the dealer. It took about 2 hours from application to approval and they didn't even ask what kind of car I wanted, didn't act as if they cared. The interest rate I got was 5.25% which is pretty competitive from my research. I did call my state farm agent after reading the earlier post and they quoted me 5.49%, my local bank I have been with for years said 5.7%. The dealer I am working with said they might be able to get me 5.15% not much of a difference even over 4-5 years. Maybe Shelby Dude or one of the other guys would know better what the best rate would be but even IF you could get a few tenths lower the ease of the CapitalOne loan might help your situation.

 

Good luck, God bless and thank you again!

 

 

Capital One sends out those blank checks BUT, there is certain criteria that must be meet when purchasing the car. The dealer still has to call it in and submit everything to capital one before just taking the check. It's all in the small print with the packet they send with the check. They usually only allow a certain percentage of loan to value based off the invoice price. It depends on the buyer's personal criteria where it could range from 80% of invoice up to a 130% of invoice.

 

We have had many of these come in where Capital One ends up denying the amount needed to fund the loan, even though the amount was within the limit they approved the loan for. The problem was the vehicle itself didn't meet their criteria based on the loan to value on that particular vehicle.

 

So while they may send you a blank check for say, good up to $50K, and you need $45k for the vehicle you are buying, the loan to value Capital One will actually approve on that particular vehicle could be only $40K, you would have to come up with $5k down to get that loan.

 

Usually this isn't a problem where you are not trading a vehicle with negative equity. In most cases it is the negative equity being rolled over to where the loan amount is still within the amount you were approved for, but the particular vehicle you are buying may not support that amount based on Capital One's criteria.

 

This is why they appear to you like they didn't seem to care about the vehicle you are buying. That is because they require the dealer to submit everything to them before funding the loan and get final approval for the actual vehicle you are buying.

[Dad's72Mach]

This is why they appear to you like they didn't seem to care about the vehicle you are buying. That is because they require the dealer to submit everything to them before funding the loan and get final approval for the actual vehicle you are buying.

 

Right as usual SD! Got my packet yesterday and it has all that legal gobbledy gook in tiny print saying what you said. I let my wife the attorney handle that and anyway my trade is paid for so probably not an issue.

Speaking of the wife I noticed in an earler post in this thread you mentioned being across from State Farm HQ. I used to live in Bloomington 20 years ago, that's where I met my wife. She was just graduating from Illinois State and on her way to law school. I know a gravy train when I see it! Anyway great town lot's of friendly people, completely different from Chicago, but way too cold for a southern boy!

[CobraCrazy]

If you paid $47K you didn't pay $5K over.

 

If you ordered the car with no options at all the lowest MSRP available was $42,975. So you would be $4,025 over on that.

Mine was in fact ordered with no options, so I guess the price I paid was closer to 48k

 

I still think if someone is patient, they can find one (08) now for MSRP or pretty close to it.

CC