Question
Is 11.4% interest rate too high, or should I save $ to fix my credit?
I got approved for an auto loan from my credit union bank. The only thing is that it's my first time actually purchasing a car, but I dont want to make any mistakes doing this. I want to make sure I'm doing this right and choose the right interest rate for my loan offer. I was wondering if 11.4% interest rate too high, or should I still search around? I do understand that the better your credit is, the lower the interest rate. Also, the monthly payment is $230/mo and the loan amount is $9600 for more info.
1 month ago - 5 answers
Best Answer
Chosen by Asker
Car debt is considered the "mantra of the middle class." $10k sounds awfully nice for a first car. How much do you have saved up? When considering if you can "afford" $230/mo, figure into that while you didn't have any car payment, how much were you able to bank? Why not lower your sites 50%. You can get a decent, reliable, low milage car for $5k, drive it until it hits 200k miles.
1 month ago
Asker's Rating: 
Other Answers
11.4% isn't too bad for a first time buyer on a used car. You could save up more for a bigger down payment. This would save you the interest charges.
by timothy p- 1 month ago
pffft i wish we got that rate lol. a year ago when we bought our cars we had to deal with a 20% rate!!!! considerin this is BS because we know ppl with worse scores that got better rates, but we were desperate for a car. after we close on our house we are gonna refinance that crap.
by I gotz that wicked clown love- 1 month ago
How much is your down payment?
by Jeff T- 1 month ago
federal-creditunion ... has everything you need to know about credit unions.
by Tabitha- 1 month ago