anyone know anything about carloan.com?

[lizziegrace]

I don't qualify through normal channels due to the mess that's still on my credit report from my divorce. I can eek out $150/month for a payment (about $5k) and found a used Volvo I want to get for Lelapin.

I have a funny feeling about this as the company is agressively trying to contact me.

[datasuspect]

1. they are probably one of those companies that distribute your info

to multiple subprime lenders.

usually very high interest.

requirements OFTEN entail:

at least 1500 - 2000 minimum verifiable monthly income

some kind of bank account

some copies of utility bills

the car must have less than 30k miles and less than 2 or 3 years old

you WILL have exhorbitant interest rates: between 16% - 29% not uncommon.

typical loan amount is around 15,000





some of these can work out in your favor.

you can get a newer model used car and finance for 60 months in the initial contract, pay about 330/month.

in some cases, they will send you a blank check for 15,000, which helps you when negotiating a deal with a car dealer. you go in with your own financing and can bypass the dealers F&I department.

here's the best part, pay the note on time for about 13 - 20 months and refi with a better company for better terms, you can often shorten the term of the loan and come out with a lower payment and interest.

the upfront cost of high interest payments with the first company is a like a penalty for having bad credit, but timely payments for a year or a year and a half will drastically improve your FICO score and put you in a better bargaining position.


if you have exemplary credit, simply go to the bank and get a loan for 5,000.

[Gen. Jack D. Ripper]

2. I wouldn't trust an internet financing company

Are you a bank customer? Or, do you belong to a credit union? Credit Unions can be a great place for sub-prime financing. They can also be terrible to sub-prime borrowers, it depends on the institutions philosophies, but there are good ones out there. I'm a loan underwriter for a cu and we try to help people where ever possible. That's the nice part about being a non-profit organization.

[datasuspect]

3. triad financial (a subsidiary of ford motor credit)

does a thriving business in internet subprime lending.

actually, most (not all) of the subprime lenders have some eventual relationship with a-tier financing companies.

[asthmaticeog]

4. I would steer clear.

They're aggressively trying to contact you? And you've never done business with them before? Red flag. Avoid.