Car loans

[DANNY8]

I'm looking at buying a 5.0L VQ Stato for 3k. Just wondering if anyone knows much about loans. I've got an appointment booked for Tuesday, but I'm after some advice before I go.

What would be better, getting a car loan, or a personal loan? I wanna get one for 4k so I got a few dollars to put towards it if it needs a few things. If I asked for a personal loan to buy a car would they let me? I remember hearing somewhere that one has a higher interest rate, but not sure bout that either.

I've been workin for about 12 months, my first job was casual and I got called in a few times every few weeks to do some cleaning, but for the last 3 months I've had a 2nd job which pays good. It's only weekends but I'd be able to make repayments easy.

So yeah as it's not a 20k loan, but a 4k one, I figured I should be able to get one pretty easy. I'm 20 y/o, 21 in April, I've never been in debt, haven't got any credit cards, never had a loan, and the only thing I'm paying off is my computer for $100 a month at radio rentals.

I guess the answers would vary dependinig on which bank I go to, so not sure if anyone could help me.

[Not_An_Abba_Fan]

A personal loan would be better, I doubt anyone will finance a VQ being more than 10 years old. It comes down to security, not being permanent in your job for less than 12 months won't help, but if you took along a letter of endorsement from your employer it can't hurt.

[Wagon_Wheel]

You will get one no worries, as long as you are earing enough to cover your all your bills and be able to live off the rest of the cash, they will ask you everything about paying board and jobs and all that jazz.
I went with a personal loan instead of a car on finance, the interest is higher but you have more freedom.
I think finance is dodgey as, like any condition broken they come and take the car off you sorta thing.
Your next decision would be whether you want a fixed rate or variable rate loan... and also how many years you choose to pay it off (the longer = the more interest you pay in the end, but cheaper weekly payments)

[adam69]

You should have no problems at all,you have a job and it looks like you can cover it and its stuff all $$$.

[VNexecutive]

they wont let you get finance on the car unless you get full comp insurance, which you prob wont wanna do. plus itll make the loan 6k, instead of 3. go with the personal loan, more flexibility.

[Scooter79]

An actual car loan (means your car is held as security incase you defult) may be dificult to get. Most financial institutions won't give you a car loan for less than $10,000 or on a car older than 5 years. Generally speaking. I don't think you'll have much trouble with a personal loan though. My suggestion is do look at as many lenders online as possible, compare interest rates and read the fine print. Just don't get too carried away. Don't borrow over your head.

[Reaper]

Do they do loans for such a small amount? I know it's a lot to you but in the scheme of things it's 2/10 **** all for the bank. Anyways..... All they are really interested in is your ability to pay it back. A stable employment background is a great start.

Reaper

[Cobez]

Nope, usually if it's your first loan, the minimum is $5000 or $5500, that's what commonwealth and westpac have told me, and that was the deal when i got my first loan through westpac.

Re-financing is different, you can go for any amount. Generally if it's your first loan ever, they will give you any reasonable amount under $15,000 roughly, only if you have had a full time job for over a year. And if you are in debt, they will love you and throw money at you. I had a credit card before my loan, keeping that in perfect nick helped me get a big loan.

No real way of telling, basically just show up and see what happens. Some people get it, some people don't.

[Zep]

I think quiet alot of banks start at 5k for a personal loan? And offer a low rate Credit Card if you want to apply for something less.

[DANNY8]

Yeah had a look at a few online ones, and the minimum for a car loan is 10k, so that's outta the question, will be goin a personal loan I guess. They say the minimum is 12 months to pay it off, which I can do easilly. I've already spent about 7-8k on my VK wags, but I guess I can't have that as an asset coz it's still in lots of pieces out the back lol.

[Just_a_stocker]

dont take anything over 15% per anum.

[Scooter79]

I wouldn't be taking anything greater than 12%. Oh, and make sure there's no penalties for early payout or extra repayments.

[dijm8]

since were on the subject of car loans... im goin in on monday to apply for a loan (around $17k) im 17 now but turnin 18 on saturday, been working for the last 3 yrs, n now with this job wot i got now just ova a year, and started part time ther at the start of the year... do u guys reckon thers a good chance of getting the loan? if not i might try car finance through the dealers?



ive worked out repayments, well goin by ther caculators.. roughly around $400 a month for 5yrs

cheerz

[Wagon_Wheel]

since were on the subject of car loans... im goin in on monday to apply for a loan (around $17k) im 17 now but turnin 18 on saturday, been working for the last 3 yrs, n now with this job wot i got now just ova a year, and started part time ther at the start of the year... do u guys reckon thers a good chance of getting the loan? if not i might try car finance through the dealers?



ive worked out repayments, well goin by ther caculators.. roughly around $400 a month for 5yrs

cheerz

You wont have a chance being 17 but 18 should be fine as long as you can prove you earn so much money and can afford to pay it back and what not.

Also you guys should seriously consider going to motor finance wizard..... (he says YES), and maybe even a cash converters loan......
LOL

[Dayvo]

My son is also going to the bank on Monday to see about a car loan.He's getting rid of his Laser and has his eye on a VX series 2 Equipe .He wanted me to loan him the money ,but i said no for 2 reasons . It will help him with his credit rating and also unlike when i lent him the money for his Laser and paid me back in instalments when he had the money , he will have to budget and make sure he has enough funds in the bank every month to meet the payments

[CSP]

Unsecured Personal Loan. But sheesh, only 3k? lol This week and next week I'll be spending double that on mods! lol

[Grennan]

Yeah i dont think theyll let you loan 4 grand, banks ive spoken to would only loan 5 and 10 as minimums.

[adam69]

Unsecured Personal Loan. But sheesh, only 3k? lol This week and next week I'll be spending double that on mods! lol

Common buddy he's not asking for people big noting themselves,he is asking for advice.Everyone has to start somewhere.

[DANNY8]

Well I've decided I might try for 5k so I can put some new tyres on my 18's, re-tint the windows and buy a few small things for it.

Here's some pics I took 2night.

[CSP]

Common buddy he's not asking for people big noting themselves,he is asking for advice.Everyone has to start somewhere.

Yeah I know... Personal unsecured loan would get him what he wants. I guess my point of view is that it sux that not everyone has it as easy as some people. I guess I take things for granted.

Maybe, instead of exhaust, cai and tune for my VE Clubby, I could just buy the car for him. Seriously, share the wealth for a change...

[DANNY8]

Maybe, instead of exhaust, cai and tune for my VE Clubby, I could just buy the car for him. Seriously, share the wealth for a change...

Sounds good to me, I'll even give u my fully sik partay L300

[JBDrifter]

Maybe, instead of exhaust, cai and tune for my VE Clubby, I could just buy the car for him. Seriously, share the wealth for a change...

Why not, man. There's too many greedy rich people out there, would be great to hear of someone actually spreading it around a bit for once.

Although, I guess people don't do that because as soon as you give something to one person, everyone else wants a piece too. I know I'd be damn jealous but at the same time I wouldn't run to you asking for a freebie too :P

[ChargedVX]

Also you guys should seriously consider going to motor finance wizard..... (he says YES), and maybe even a cash converters loan......
LOL

Guy's Im a commercial agent (Repo Man) and do quite a lot of work for the Motor Finance Wizard.
If at all possible do not get a loan through them.
Their contracts are written in such a way that you the consumer have next to zero rights.
To be honest with in your position your best bet would be to apply for a $4000 credit card then cash advance the money for your car
The interest rate will be higher but also the debt will be reducing so for example at 50% of your loan paid back you may be paying 13% of $2000 rather than 9% of $4000.
So as each payment is made your total interest is reduced.
Personal loans and car finance do not do this.
Alos then you will have the added advantage of if something goes wrong with the car you can redraw to make repairs, rather than having a car sitting there that cannot afford to be fixed/registered until you have paid for it.
The requirments for getting a credit card are lower as well you should meet the criteria.
Anyway just some advice, i hope it was of some help

[DANNY8]

Bad news so far......my income passes easy, but I've had to have had my casual job for 12 months. My 2nd job I've had for over 12 months, but my income with that was too low. So my bank won't let me have it. I asked for repayment figures for 6k over 2 years.

I found out 2day one of my brothers is getting a loan, and he's getting 9k over 5 years and he's only had his current casual job for a few months as well. He went with Bank SA (St. George), so I'm gonna go see them 2morrow and see wat they say coz apparently his got approved.

[Scooter79]

....
To be honest with in your position your best bet would be to apply for a $4000 credit card then cash advance the money for your car
The interest rate will be higher but also the debt will be reducing so for example at 50% of your loan paid back you may be paying 13% of $2000 rather than 9% of $4000.

I find that odd. I've had two small loans through westpac and the interest was only calculated on the amount remaining.