I am single and earning 100k+ but need a loan for my new Audi A5. Any suggestions? Have already been rejected from some banks I have applied loan at for 65k. Credit score 720+.
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- This is the smartest answer in this thread. Unfortunately, many people in this society are short term thinkers which explains why our generation has so much debt and no savings.
Don’t get a car loan, you make more than enough to save and afford a $40k car in a few years. And don’t buy a god damn new car, they depreciate right out off the lot.Feb 56
- Not always. Sometimes leasing is far cheaper than buying
It’s been getting more expensive due to interest rates, but a few years ago it was sometimes very cheap to lease due to close to zero interest rates and promotional deals
One example I just looked up:
The e-Golf was leasing for $117 a month after incentives and bonuses. To finance that same car would’ve been something like $450 a month.
To buy would only be worth it if you thought a $27,000 car would depreciate less than $4,200 over 3 years.
- What is the percentage down payment you are making? It has to be atleast 20% with your score and ideally should be higher!
You make 100K and want to drive a 65K car?!?? Read up the 15% rule. That is do not spend more that 15% of your pre-tax income on a car.
Given your income, go get a cheap Mazda or something and go for an Audi when you are making some serious money.
- Salesforce NGCx18Your asking loan amount is a lot more than the price of the vehicle and so you are flatly rejected. It’s independent of your credit score. If you ask for $40K -
$50k, you would have been considered. Why will they give you loan more than the asset value? Just think about it. If anything happens, they will not receive the loaned $$. Also, banks or credit unions expect you to have some down payment also. BTW, I just googled Price of A5, it showed me $44,200. So, stop blaming banks.
- I was in the same situation... Shortly after graduating, I had excellent credit and no debt but was rejected by BMW due to having limited credit history (loan was for $50K w/20% down). I had to get a co-signer.
If I could give you one piece of unsolicited advice it would be DON’T BUY THE CAR IT’S NOT WORTH IT :).
- eBay / EngiamaheroCheck with a credit union instead of a bank. I would echo what others said about the car being a bad decision for you. But you seem to have made up your mind. So try to get the lowest interest rate. You will be paying down the loan on this car for a long time.
- No shame in riding a bike at your age. I did. Now a BMW 535 M-Sport, which I bought new. Stupid - I know, but that’s what I used to think about while pedaling...