getting loans for older cars - NJFBOA - Home of New Jersey's Camaros and Firebirds

band77one · 10-19-2011, 05:23 PM

within the next few months im going to be in the market for a new toy, im seeing a lot of nice older muscle cars in the 18-25k range , but was wondering what are the best options for getting a loan for older muscle cars? if anyone has any experience in this would be appreciated.

sweetbmxrider · 10-19-2011, 05:38 PM

An unsecured loan from a bank would be my guess. That or a loan shark.

NastyEllEssWon · 10-19-2011, 06:25 PM

if you cant buy it straight up, you shouldnt be buying a ''toy''. i guess if you were really serious about it you can try those dealerships that specialize in older cars and finance through them. i dont know why but getting a loan for an old car just seems like a really bad idea.

zraffz · 10-19-2011, 06:46 PM

Nobody will give you a loan in this economy unless the vehicle is newer or has very low mileage (their is some connection between the two but I don't understand it).

JL8Jeff · 10-19-2011, 07:48 PM

There are places that do loans specifically on older cars, but you normally need to buy from a dealer to qualify for them. You can open an account at a credit union and they usually don't care about the age of the vehicle, they will want an appraisal and to know what percentage you're putting down. And I've done some 401K loans to buy a few vehicles and paid them all back so I never had any issues. The 401K loan could come back to haunt you if you change companies and have to repay the loan.

BonzoHansen · 10-19-2011, 09:15 PM

You are going to need correct agreed value insurance on it, not geico, etc., which means a locked garage, probably at least 25 years old. You're almost there, plus you'll need a relatively clean license. Garage is the big thing. Gotta keep it nice so it does not depreciate like the 5th gen you got that dropped 20% in value in the 1st 3 miles. You are also going to need a pretty good credit score in this market - maybe 680+.

Here....

http://www.hagerty.com/assets/PDF/FinancingOptions.pdf

http://www.woodsidecredit.com/FAQ.asp

» Does it matter where I buy the car?
No. You can buy your car from a dealer or a private party as long as the car is eligible for our program.

http://www.motorcarsfinancial.com/dsp_faq.cfm

I won't bore you with the whole how to spend you're money, save for a house, etc as I don't know your deal. That's on you. But if you are making payments on that 5th gen maybe 2 car payments is not the best idea. Cars are illiquid assets, meaning they take longer to turn into cash, compared to something highly liquid like a stock that generally takes seconds.

band77one · 10-20-2011, 07:00 AM

thanks guys

Anti_Rice_Guy · 10-20-2011, 09:21 AM

Quote:

Originally Posted by BonzoHansen

But if you are making payments on that 5th gen maybe 2 car payments is not the best idea. Cars are illiquid assets, meaning they take longer to turn into cash, compared to something highly liquid like a stock that generally takes seconds.

5th gen is his dad's.

WildBillyT · 10-20-2011, 09:32 AM

Honestly, the only time I could see somebody doing this is if the car they were looking to buy was already stupid undervalued. Not just "market correction" undervalued from a few years ago, but well under current going rate.

BonzoHansen · 10-20-2011, 10:14 AM

Quote:

Originally Posted by Anti_Rice_Guy

5th gen is his dad's.

gotcha. sig made me think it was his

band77one · 10-21-2011, 03:35 PM

i was asking because im sure car person or not, a majority of people dont just have 25k sitting saved up, but could afford payments. I sold my Iroc and payed some bills and can now afford payments on something. I didnt know if there were companies who did this or not. on a positive note, going to look at a 2001 SoM t/a tomorrow. 57k miles no mods.