So Ive been saving up hoping to buy a 02-04 Z06 and the most im willing to spend is 20k with a $5,000 down payment, but to my disappointment some banks and credit unions only finance vehicles up to 7 seven years old, am I basically screwed or are there ways around this?

 

Get a Personal, Signature or small Business Loan. Rates are often better than auto loans. You'll need Good to Excellent Credit though.

 

I was hearing the same thing from banks and many credit unions. Just keep looking until you find one that wants business. I found a credit union that had no such limits and the best rate offered to boot. If you are in florida check out Grow Financial

 

Thanks for the info guys! Glad to hear that all banks/credit unions dont work alike, I will start my search soon, and as for the Personal, Signature or small Business Loan I am not sure if id qualify, I got a free credit report last week and got a "Good" credit rating, I am not sure of the score tho and I am only 21 and this will be the first vehicle I will be financing, I am aware that I might need a co signer also

 

Oh and I am located in Northern VA, if anyone knows of any local banks/credit unions let me know! Thanks lots!

 

Good luck with it, but I bet if you do find somebody to loan you the money it's going to be at a pretty high rate. And have you already looked into your insurance premiums? If you have a lien on the car they will require you to carry full coverage. For a 21-year-old that could easily be $500/month.

 

In Virginia, try Pentagon Federal Credit Union.

It so happens I'm a Grow customer and I stopped in this week to ask exactly this question. Their only comment was that if the vehicle had more than 75k miles they would only loan 85% of NADA book.

 

60 months on a 2000 vert at 5.9 with only 1500.00 down Suntrust Bank. If your credit score is great they will take the risk. Keep trying you will get the loan.

 

Keep shopping around for the right credit union. Some places don't have an age limit as long as the value is there. I'm in Florida and used Grow Financial. I have great credit and they gave me their best interest rate for a used car. You just need to find the right place.

 

If you happen to find one at a dealer they will get you financed. I spent a whole year looking for the right ZO6 ended up finding it at a dealership for a damn good price. The guy actually did the research on the car, pulled the GM maintanance records and all.

 

Buy a honda instead

 

gotta love USAA. they financed my 00 for 4%

 

You will get killed with insurance rates. Plenty of time for a Vette in your future. Not to ruin your dreams, but think about it.

 

Credit union is probably the less of the evils.

But to each his own. I'm assuming this would not be your "pleasure" car driven 247, but more of DD. I don't know how old you are, but expect full coverage on it. Under 30 with a Z06 with full coverage won't be cheap.

Personally I would refuse to take out a loan to buy a 20k 8yr old sports car for pleasure.

 

you would be surprised... at least i am. im 22, when i had my covette and my 95 civic on my policy (full coverage on the corvette) it was $120 a month. now i have a 2006 wrx and my 99 corvette and pay $240 a month both having the same full coverage policy. everything is under my own name.
to the OP shop around and be sure you can afford it first. car payment, gas, insurance adds up quick. in my opinion if i can't afford a car to buy outright i do not buy it. id rather not have a car payment. especially a car like a corvette. both my cars were purchased outright and i wouldn't have it any other way.

 

Guys, he's not asking if financing a vette is the correct decision, he's asking if you can finance one.

I know people want to be helpful but not everyone has cash to drop down on a car, which has become our second most expensive thing we buy next to our homes.

They came up with financing options because most of america buys their cars in this manner.

 

Insurance is generally cheap on Corvettes. Keep in mind most of them are owned by old geezers who never drive above 30 mph. Vettes don't see a huge amount of traffic accidents.

 

With some searching, you should be able to find a lender that will do auto loans for that range of years. I would suggest a credit union before one of the large banks. Also try a small local bank.

The trick is to stay with a bank or CU and have good credit history. It will be much easier to get a load at a decent rate. Keep a savings/share account and have money in it and add to it as often as possible. Doesn't have to be a lot, just show transactions. Have your paychecks deposited directly and keep credit card balances either very low or pay them off monthly.

While credit reports are fine, you have to pay to get the credit score. Bu if you do apply for a loan, the lender will get your credit score when they run a credit check.

With financing, you will have to get full insurance coverage; that will be a requirement of the loan. Check around first for insurance quotations. At your age, expect to pay a good chunk of money for insurance. There are a lot more things that go into the cost of car insurance besides the make and model: Age, miles driven per year and if it's for work or just pleasure, your driving record, martial status, where you live (by ZIP code), whether the car is garaged or not, and your credit score.

So figure out how much you can actually afford before going in to ask for a loan. A co-signer may or may not be a good idea; depends on how much that person trusts you to make the payments. If it's your parents that would be willing to do that, you might have a better chance at a loan.

You just have to do some research up front. Good luck!!

 

OP: Do not let these people scare you off. Definitely get a quote ahead of time, not only to see what your premium will be, but also to see if they will even insure you. Some insurance companies have a list of cars that they won't even insure you on if you are less than a certain age despite a clean driving record. However, with that being said, you shouldn't have a problem getting insured. Just make sure to verify that your carrier will insure you BEFORE you buy the car.

Get this- when I was getting quotes from my existing insurance company, it was actually more expensive to insure me on a lame new-edge Mustang as it was to insure me on C5 Z06 of the same year! I was 23 when I purchased my C5 coupe, and my premium was a little over $1300 a year (about $110 a month.) Since I have turned 25, it has gone down to $800 a year (about $66 a month.) They wanted over $1500 annually to insure me on the Mustang.

As far as financing goes, find a locally-owned credit union. They will usually finance a car regardless of age, as long as the value is there (i.e. the car's KBB value is more than you're asking them to lend you.) Seeing as you have $5k to put down, you shouldn't have any problems. I have a great credit score and got a 5.5% rate on my loan for my then 8 year old C5. If you can't find financing through a credit union, than you might be able to get a personal loan through a credit card (depending on your credit,) but it be at a much higher interest rate.

 

I guess I'm speaking from experience, since I live in NJ, the insurance rip-off capital of the civilized world. It ain't cheap here, and my wife sells insurance and gets a discount!