Does anyone here have a business that loans on old cars or have used a company personally? My father in law has found a car he wants but his local bank that he deals with won'tdeal with old cars.
If it is under 25K Try the J. Best Company, or MBNA. Both finance antique and collectible cars and are reasonable for cars of this or les value. They advertise in Hemmings, etc and probably have websites. If it is over 25K, try Putnam Leasing at 310-922-1921 (Ask for Twyla- tell her Guy sent ya'). They do a great job financing higher priced cars. With Putnam, the upfront costs are higher but the rates are lower. With the other companies, there are no upfront costs but have higher interest rates. Depending on the situation you may or may not need to get a good appraisal on the car (not one of those cheapy 100-150 dollar jobs advertised in the mags, but a well written one from a good appraiser). These companies specialize in old cars. Most banks won't deal with collector cars because it is hard to establish value. Good luck- let me know if you have any questions.- GZ in Detroit
Ive done a couple through capital one auto finance and got pretty good rate, not appraisal needed if its from an individual its even easier basically all you need is a bill of sale, if its from a dealer it aint bad either just a bit more paper work
make sure you dont get charged interest twice because ultimately you will be paying double what the car is worth. more than likely this will be the case. it really isnt a smart thing to do credit wise, there is a difference to lenders when they see a $20,000.00 loan for a honda civic and a $20,000.00 loan for a cl***ic.
all ive ever done in the past was go to my bank for a signature loan. dont tell them you intend to buy a car or truck with the money though. thats when they try to sell you a car loan which a totally different payment/interest set up and they will be adamant you get one as well. you will pay less interest on any loan that isnt a car or credit card type of loan than you will a simple interest loan, period. those types of loans are figured completely different in that they are figured on you being like most...buying a car and trading it in after 3 years. so if there was anything "wrong" wth it its a deal breaker. likewise youd have to carry full coverage insurance, go through an inspection, etc.
my credit union here locally had a special cl***ic car loan that I used, was kind of a pain because you have to get it appreased and then they only loaned a percentage of the value
Thanks everybody.We are trying to use one of the big companies but it's taking awhile and we are afraid of losing the deal.
In addition to personal loans, home equity loans offer money at a lower interest rate than an auto loan. If you're asked what the money is for, tell them you're doing some interior remodeling. The question is just a formality anyway. The bank really doesn't care about anything than repayment. If worst comes to worst, there are the finance companies. High interest, but you can get a $10K or more line of credit easily without putting up the ***le. Jan
I agree with the home equitey line of credit, it allows you to walk in a get cash in hand if you find a car. They dont care/know what you spend it on. Plus most of the payment periods are about 15 years. For example, I have used about 56k so far (10k for a 1954 chevy with scallops!) and my minmum payment is only $299.
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