My wife and I are buying a 2000 Kia Sportage with 55,0000 miles for $5900. She has always had perfect credit and mine has been so-so. The dealer is offering us financing with a 12% interest rate which was more than we had expected. He claims the higher rate is due to the vehicle's age and not any credit issues. Does this make sense? Are we getting hosed?|||No your not getting hosed, the older the vehicle the higher the rate. the less the amount the higher the rate.
Most major lenders will not provide loans for model years beyond 6 years or below $ 7500., it becomes a personal loan to qualify.
I always like to be on the consumer side, but in this case the salesperson is right, and consider yourself lucky to even being able to finance a 2000 model at that rate.
I would be interested as to whom the lender is, if you care to disclose contact me through my website http://www.usedcartips.org/
PS.. $5900. for a 2000 kia is another issue ?, I have a strong feeling the price somehow ties in with the loan at 12%,,, buy here pay here in house financing ?|||price is too high for a crappy kia|||it doesn't sound right ,a few years ago i bought an old model can,and got it for 6% through a local bank and it was ten years old,that doesnt sound right at all,i cant say for sure whether your getting hosed real bad,but that is a high rate to pay with good credit,i know age plays a big role in financing one,but 12% man thats pretty high for anyone or any car,i could understand if you had bad credit,but with good credit this dont sound right,id talk to them and see if they could lower it some,i have heard of people doing this,and they would lower it,anything would beat paying that much,good luck with it,|||Credit is offered by a creditor and he's taking a risk on you paying it back. If you've got a good history, then his risk is small. So the rate reflects that. Also, the more money that the creditor is risking, the higher the rate may be, but again, your credit history helps alleviate a lot of that risk. What in the h茅ll the age of the commodity has to do with the risk of doing business with YOU, I have no idea.
Dealers, who arrange financing, shop around for the best rate for you. Then they add on 2 or 3 percentage points that gets kicked back to them from the creditor. You might get a better rate by going through your bank or credit union.|||a Kia depreciates in value so fast, the interest rate should be a negative number ;)
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment