Credit score for a Vette?
#21
I would not have said this a few years ago, but today, IMO it doesn't make any sense to pay cash when you can get a loan at <2%, and the markets are smoking that number easily. I'd rather have my cash in some kind of equity investment going up at 10+% per year, than in a car that is depreciating rapidly.
But if your credit score is 620, you are not going to get a good loan rate most likely. So cash will be a more attractive option than it would otherwise be. Fixing the credit score would likely be a better use of the money than buying a vette regardless.
But if your credit score is 620, you are not going to get a good loan rate most likely. So cash will be a more attractive option than it would otherwise be. Fixing the credit score would likely be a better use of the money than buying a vette regardless.
#23
Instructor
My dealer financed my balance after trade in thru Bank of America 66 months at 1.82% back in late Feb. Low enough that I didn't want to pay cash for the balance.
#24
Paying cash when low/no interest loans are available makes no sense. That's throwing money away. I took advantage of GM's 0% rather than lose interest on my IRA funds.
#25
Burning Brakes
Member Since: Jan 2017
Location: Saint Clair Shores Michigan
Posts: 767
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So I just went through this last week, and I'll be getting my Corvette next Thursday. Having said that, here's some common sense tidbits from my perspective:
Above 700 score "could" give you a good APR
Above 750 score "might" give you a good APR
Above 800 score will give you a good APR
I define decent as anything below 3.5% as decent and below 2.5% as good to excellent. Also, some people (not here necessarily) underestimate the vast array of options a good credit score can give you. You really want to be on that plateau to where you can do what you want, when you want, and how you want it. Play the game on your court, not theirs.
My current "everyday" vehicle was for two years @ 0.9% APR. I would've paid for the car outright, but I was originally using that money to make a down payment on a house. I was unfortunately involved in an accident which totaled my car. Didn't want to take too much out of the piggy bank. The Corvette will be for 48 months on a 2.44% APR. Was going for PenFed @ 1.99%, but negotiated with my credit card dealer on a 18-month 0% financing rate. I save way more going that route, and have better affiliations with Bank of America.
I would also recommend getting an app or enrolling into something like myFICO. Don't get burned by not knowing where you stand, and the accounts that are holding you back. All about options, self awareness, and budgeting properly, even for emergencies.
Above 700 score "could" give you a good APR
Above 750 score "might" give you a good APR
Above 800 score will give you a good APR
I define decent as anything below 3.5% as decent and below 2.5% as good to excellent. Also, some people (not here necessarily) underestimate the vast array of options a good credit score can give you. You really want to be on that plateau to where you can do what you want, when you want, and how you want it. Play the game on your court, not theirs.
My current "everyday" vehicle was for two years @ 0.9% APR. I would've paid for the car outright, but I was originally using that money to make a down payment on a house. I was unfortunately involved in an accident which totaled my car. Didn't want to take too much out of the piggy bank. The Corvette will be for 48 months on a 2.44% APR. Was going for PenFed @ 1.99%, but negotiated with my credit card dealer on a 18-month 0% financing rate. I save way more going that route, and have better affiliations with Bank of America.
I would also recommend getting an app or enrolling into something like myFICO. Don't get burned by not knowing where you stand, and the accounts that are holding you back. All about options, self awareness, and budgeting properly, even for emergencies.
#26
Former Vendor
It varies from bank to bank, but most banks offer their top tier rates for scores above anywhere from 730-750. The majority of banks use a tier system for their rates that is correlated with scores.
My personal opinion is it makes the most sense to put the least amount of cash down to obtain the payment you are most comfortable with. As many in this thread have said, with rates as low as they are, you are better off keeping your cash invested in instruments providing a higher return than you would be paying for your loan.
-TL
My personal opinion is it makes the most sense to put the least amount of cash down to obtain the payment you are most comfortable with. As many in this thread have said, with rates as low as they are, you are better off keeping your cash invested in instruments providing a higher return than you would be paying for your loan.
-TL
#27
Safety Car
What's worked best (with similar numbers)?
A. Credit Union (though this was last July) - was able to get .9% for 60 months (though will have it paid off one year from now)
B. The dealership - they want the loan as well as the sale so if you have decent scores they will bend over backwards to try and keep you.
Therefore I have always walked in with a rate/loan from an outside source so they can try and beat it and once I even accepted the dealer's rate, which was higher to get "the deal" and then I had my CU pay it off and transfer.................
B. The dealership - they want the loan as well as the sale so if you have decent scores they will bend over backwards to try and keep you.
Therefore I have always walked in with a rate/loan from an outside source so they can try and beat it and once I even accepted the dealer's rate, which was higher to get "the deal" and then I had my CU pay it off and transfer.................
#28
Drifting
It varies from bank to bank, but most banks offer their top tier rates for scores above anywhere from 730-750. The majority of banks use a tier system for their rates that is correlated with scores.
My personal opinion is it makes the most sense to put the least amount of cash down to obtain the payment you are most comfortable with. As many in this thread have said, with rates as low as they are, you are better off keeping your cash invested in instruments providing a higher return than you would be paying for your loan.
-TL
My personal opinion is it makes the most sense to put the least amount of cash down to obtain the payment you are most comfortable with. As many in this thread have said, with rates as low as they are, you are better off keeping your cash invested in instruments providing a higher return than you would be paying for your loan.
-TL
I agree with Taylor, I'd put down enough more for a digestible payment. I'd never purchase out right. Rather have my money work over time than spending on a vehicle which depreciates like no other.