Auto Title Loan - Should You Go To A Bank Or A Private Lending Company? [mortgagerates-tips.blogspot.com]
Question by Happi @ss: Buying a car,...are there auto lending companies that approve you if you over extended income? Ok let me explain I know when purchasing a vehicle they also not only go by your credit score but also how much you pay out. they want to make sure you have enough income to cover everything. Im in a strange situation the only income they accept is my employment were I work. However I cant claim renters that live in my house or my income from my ebay sales but I know I can make a car payment each month however I need to find a lender that will finance me. My credit score isnt bad or good at 628. Does anyone know of a company that could help? Oh yea Im not expecting to get a brand new car Im looking at a Jeep for $ 8000. Best answer for Buying a car,...are there auto lending companies that approve you if you over extended income?:
Answer by AB
Usually a lending institution will look for 15% PTI (payment to income). You should be able to use your rental property income if you can come up with a rental agreement or in some cases bank statements. hope that helps
Answer by cork
WOW. YOU WILL PAY THRU THE NOSE.............. 628 IS BAD.... PERIOD. AND WHO BELIEVE INCOME FROM RENTERS OR EBAY? ANYONE CAN FINANCE A CAR.. BUT YOUR INTEREST RATES WILL BE SKY HIGH. BUY A CAR FOR CASH YOU WILL HAVE TO PUT DOWN. 2 GRAND AT LEAST. AN 8000 JEEP WILL COST YOU 16,OOO BEFORE YOU PAY IF OFF AND YOU WILL NEED A MINIMUN OF 2 GRAND DOWN OR MORE.
Answer by n
628 isn't good either. You "knowing" you can make the payment doesn't mean squat. Your debt to income cant be too high or you will be rejected. A sub prime lender MIGHT finance you. You would need $ 1200-1500 down and you'd get a $ 6000 car that they charge you $ 8500+ interest at 21-29% for.
Banks are feeling good enough to let those with bad credit, borrow again. The same practices that got us into a financial crisis are making their return. According to the New York Times, Capital One and GM Financial are some of the companies that are trying to woo troubled borrowers. HSBC and JP Morgan Chase are meanwhile reportedly tiptoeing back into subprime lending. Richard Eskow with Campaign For America's Future weighs in. Twitter: twitter.com Facebook: www.facebook.com
mortgagerates-tips.blogspot.com Securitized Auto Loans 'going to explode'
Auto title loan is a very fast source of cash - so that as long as you have a car in your name, the title is clear and without lien, then you can raise funds in a matter of hours. The choice of lenders is on you. But before we check on which lender to go to, you have to know first the requirements.
The basic ones are - the unencumbered title of your car, proof of income, and driver's license. Some may ask for a proof of billing such as utilities bill. More strict lenders may ask for the spare key of the car. This will enable them to readily take possession of the car should you default in payment.
Some lenders also have a policy on car models. Unless your auto is a classic one which appreciates in value over time, then earlier car models may not qualify. This is the basis of the amount of loan that one can borrow. And let it be known that you cannot borrow an amount representing the market value of your vehicle - it is just a percentage of the prevailing value of the pawned vehicle. Many lenders grant up to 50% of the market price, some may even go lower.
Your lending institution can either be a bank or a private lending company. Today, the latter has become very prevalent. This is the reason why auto title loan becomes an easy process - they are in competition. This is also the reason why you, as borrower, can usually haggle for better deals in terms of amount of loan, interest rate and repayment scheme.
This is the big difference when you go to a bank for your car loan. The loan value, loan interest and amortization payment cannot be negotiated. Banks have definite policies on loans and to deviate from this policy will entail a long process. Besides, one request may not merit any deliberation for a change of deal.
And the biggest difference between these two lenders lies on the amount of time you have to wait to get hold of the proceeds of the loan. Private lenders can release the money faster. These lenders do not do credit checking anymore. Even if you have a previous bad credit payment record, you can still be granted a loan. Banks will always include in their requirement a good credit standing; thus background check on borrowers is done prior to approval. And this may take some time. This accounts for the expediency of the release of the proceeds from private lenders. Many private lending institutions can release the loan in a matter of an hour.
If you are in need of emergency funds and you have a car, securing a loan is now very easy. Aside from the banks, you can go to private lenders. But the bottom line is - scout and inquire for better deals. With the competition around, private lenders are more than willing to accommodate you. Related Auto Title Loan - Should You Go To A Bank Or A Private Lending Company? Issues
