Dealership question??

Question

I have a 2004 Dodge Dakota I want to trade in but owe about $18,000 on it and the latest appraisal I got was $10,000 which means I'll be $8,000 upside down. I want this 01 Honda Accord that is $6,500... but the dealership said the negative equity is more than the Accord and that the bank probably wouldn't finance it and let me walk out the door.. My credit score is 598. This is was a high-revenue major Ford dealership

Soo... will EVERY dealership be this way and I should just forget it?

Answer 1

what i suggest you that dont go for dealer and waste your time, they will chrage you high on your negative credit, there are many online sources who are providing loan for poeple who have poor credit try them and get your problem resolved, for your reference you can try http://www.carloan123.net my one friend had recently got a loan from there for poor credit and with low interest rates, so you can try them.

Answer 2

You have a poor credit rating.  You would have to be above around 660  to even be in the "good" range.

You have a car that is worth $8,000 less than you owe, plus you want to finance another $6.500, which would mean you would be borrowing $14,500 on a car worth (on a good day) $6,000.

With your credit score, if you put $1300 down on the Honda they *might* finance you, but there is no way they will accept a depreciating asset worth $6,000 and loan you $14,500

Forget it.

Answer 3

there are lot of companies who donot check  credit history before approving  loans . if your bank donot approve loan its better to try another company . For more info about  auto loans you can visit http://ankuronline.com/?p=8

Answer 4

Yes, it's time to forget the trading.

Most any dealership could get this done for you, but with your negative equity, they could probably only get it done at 22 to 28%

Answer 5

Yes they will all be that way in this case. Wholesale values are based on auction values and your payoff is your payoff.

The amount of money a lender will give on a particular vehicle is based on your credit score and the age/condition of the vehicle and nobody will lend 230% of the value of the car just to get a deal done.

Find a way to be happy in the Dakota unless you are looking at a much more expensive vehicle. If that is the case you should take some time and work on your credit score. Get it to at least the high 600's and you will see a huge difference in the quality of loan you can get.

Sorry if this is not what you want to hear, but I've been there and in your case sticking it out in the Dakota is the best financial move at this time.

Answer 6

no but your score is low,and you'll pay highly for interest,you can either try and sell the dodge outright but gas prices are high so good luck, try and refinance your truck for lower payment if its the payment you are worried about, or try and take out a second auto loan for the accord,remember that it doesn't matter to any dealership the kind of car you have because the likelyhood of them actually putting on their lot is zero, they send the cars to auction anyway...why is the accord so cheap? and sadly you won't get much for a trade in, my 02 bonneville is in exc. cond. and a month ago i took it in to buy a new mazda6, they would only give me about $4000 for it and i owe about $6800, well i still have my car and i'm just going to pay it off!!! and just fyi if you drive slower you'll save a ton in gas and invest in new tires if need be!!

Answer 7

Since your credit is on the low side, it's going to be very difficult.  You'll need to find a car with heavy rebates, and dealers that are willing to deeply discount in order to cover that 8k.  Even with great credit, the maximum you can get approved is 125% of MSRP.

Answer 8

Yup. Dealers are having trouble finding way to bury negative equity. I'm sure buying that Dodge seemed like the thing to do at the time, but it's worth considerably less now than it was a year ago. Your gonna have to come up with more down payment money. Your credit score had nothing to do with that. Some dealers won't accept an suv in trade at all b/c it will just sit and they can't resell it. Now is the time to buy an suv if you always wanted one, but to trade one off really sux!