Financing
Thread Starter
7th Gear
Joined: Jul 2020
Posts: 7
Likes: 1
Financing
I’m hoping to be a proud Corvette owner in the next couple of days. I’m purchasing a C7 in Florida, but I live in New York and will be registering the car here. I have strong income and good credit, but I’ve run into unexpected hurdles with financing.
Several credit unions I belong to won’t finance out-of-state purchases, and many larger institutional lenders are telling me they only finance if the car is purchased through a dealership. This is a private sale, and I’ve never had this much difficulty getting a loan before.
For those of you who’ve gone through this process, who do you use to finance a private-party used car purchase?
Several credit unions I belong to won’t finance out-of-state purchases, and many larger institutional lenders are telling me they only finance if the car is purchased through a dealership. This is a private sale, and I’ve never had this much difficulty getting a loan before.
For those of you who’ve gone through this process, who do you use to finance a private-party used car purchase?
Instructor
Joined: Jul 2025
Posts: 199
Likes: 265
When you purchase a car thru a dealer, they act like a closing house, receive your down payment and fill for your title with a lien on it, so it basically belongs to the lender till you satisfy/pay the loan, then the lender sends a form to the dmv to remove the lien and the car is yours to do whatever you want.
if you purchase private, such thing is not available normally... maybe using a closing house? No idea if a bank or credit union can offer that. The other part is the valuation of the car. Somebody accepted by the lender have to say, this car is valued that much, so the 80% the customer is asking in the loan is that much.
private sells is usually cash, or you get a personal unsecured credit....
or... you need to get a loan using other things you already have as collateral. Like a second mortgage over your house, a loan over your 401k, etc etc
if you purchase private, such thing is not available normally... maybe using a closing house? No idea if a bank or credit union can offer that. The other part is the valuation of the car. Somebody accepted by the lender have to say, this car is valued that much, so the 80% the customer is asking in the loan is that much.
private sells is usually cash, or you get a personal unsecured credit....
or... you need to get a loan using other things you already have as collateral. Like a second mortgage over your house, a loan over your 401k, etc etc
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You would need to get a personal loan of some sort such as a home equity loan
