How Did you bought you're Koup? Financing or Cash?

[anthony_evo08]

Hi guys! I am new here and i just want to ask you guys a couple of questions. I am 22 years old and im from Toronto Ontario. I just want to ask how did you guys bought you're koup. By cash or financing? I am planning to finance it. I will buy my forte koup SX next year. around Winter 2010.

first step i did:

1).I applied for a credit card today and will probably get it next week ($500 Credit limit only). I did this because the sales lady from Kia scarboro said to me that it would be a more great chance for me to be approved from the bank if i have a credit. (Of course i must have a good credit rating to be approved).

2). The Sales lady from Kia also said that i should have a G2 licence so i could be insured as a driver for my car. Which is i will be going to a driving school this January 2010 to start and have a cheaper insurance.

3). As of now i am only working part time (but 8 hours a day) for 3months. Which i am planning to save money and put a good downpayment on it. like 15k and finance it for 3years.

The MAIN POINT i did this thread is to ask you guys how have you been qualified for financing? Even though i still have no full time job by next year can i still be qualified and As long as i have a good credit rating i could be approved by the bank? and How big does your'e bank's interest rate is? i saw the site from Kia.Ca their banks have 2.90% interest rate (3years) which is a good deal. I am planning to apply for a car loan at Canada trust. any idea how much interest will they charge you?

any Suggestions or tips would help me guys! I will read you're posts to this thread. thanks!

[ForteSXFan21]

Well Anthony, I am 20 yrs old from Virginia, I am putting 3,000 down and financing the rest on a 5 year loan at 9.9 APR. I found financing is a better option since it will allow for a better payment than waiting and saving. If you can put 15k down then you should be in good shape, but then again i am not to familiar with Toronto's financial options. Sounds like you have a solid plan.

[DarkWhoppy]

I'm also 20 years old, but live in GA. I started establishing credit at 18 and now... well. I walked in... pointed at my Koup and the dealing began. If you have established, excellent credit... They will work with you. I put nothing down and I got it right at MSRP with taxes.

Seeing as how this vehicle has a 10 year, 100,000 mile warranty... whether you do a 5 to 7 year loan is up to you... but as long as you don't drive over 10,000 miles a year, you're in the clear in my opinion. You won't find any other vehicle with that kind of protection. Think about it... you want the warranty to last until the loan is paid off, right? Why be stuck with major repairs because your cars warranty expired at 32,000 miles AND the engine went bad at 55,000 miles... and it took you 5 years to pay for it?

Btw, I financed it. Not very many people can just walk in and throw down $20,000 cash for a vehicle.

[KuteKoup]

I'm 22. I started establishing credit at the age of 18 by having my name on student loans and ONE credit card.

I put down $8k and received a 60 month loan with an APR of 3.9%. The car was purchased in Kansas, but I live in California. The bank said they don't issue loans for CA residents... their minds changed pretty quickly when they heard about my down payment and impressive credit score.

Don't pay MSRP. That's a rip off. Do your research to see how much the car costs, the dealer incentives and holding fees. My car MSRP was about $19,500 (6sp manual SX w/ all options, other than leather package) and I ended up paying $18,400.

FYI: They raised the invoice price of the Forte Koup an extra $300 at the beginning of the year. If the car is hot and selling, they will continue to raise the price - so make sure your early estimates are flexible and you have breathing room to make higher payments with price fluctuation.

Do your research.

I almost paid $18,184 for the exact car I wanted (6sp manual SX w/ only the sunroof as an option), but I sat on the price offer for a couple of weeks and ended up watching the car literally drive off the lot as I pulled in to purchase it. If I'd put down a deposit, I would have saved myself a few hundred dollars and a few hundred miles since the one I ended up buying was located in Iowa.

[DarkWhoppy]

Originally Posted by KuteKoup

I'm 22. I started establishing credit at the age of 18 by having my name on student loans and ONE credit card.

Don't pay MSRP. That's a rip off. Do your research to see how much the car costs, the dealer incentives and holding fees. My car MSRP was about $19,500 (6sp manual SX w/ all options, other than leather package) and I ended up paying $18,400.

Do your research.

I'd listen to this guy. His advice is exactly how I got mine. I got the leather which cost me an extra bit but other than that... I got the car under MSRP. After taxes it was only like $600 above MSRP. The MSRP of an Koup with 5spd AT and leather/sunroof/home-link mirror is about $21,400. I got mine for $22,000 after taxes and everything was said and done. Don't let dealers just push you. They start as high as possible, and only go down when they see you won't budge. But there is a red line so like he said, do the research. Build the one you want and check the MSRP, then find one very similar.

[Lesley]

Regarding saving money on insurance by going taking a driving course, it depends on your insurance company. My son took an accredited course and it won't make a difference once he gets his G2. For now with his G1 there is no charge for insurance because he can't drive alone. When you insure your car it's worth paying a bit extra for replacement value - basically if something happens in the first four years you get a new car without depreciation. Again this depends on the company. I'm with The Cooperators, they're a bit pricier but they've always been there when I needed them.

When you buy your car go in with a fixed maximum payment in mind. Don't exceed it. I knew how much I was willing to spend monthly and stuck with it, they came down by $50 a month to meet my threshold. Obviously you don't tell them what you can actually afford until they've put their price on the table. $50 a month doesn't sound like a lot until you look at it over five years. It was a bit easier for me because this is my fourth vehicle and I have assets and established credit. Having said that the good thing about buying a car and financing through the dealer is that they don't generally look at your income and debts as much as your credit rating - which is really just the very best way for them to know if you have a habit of paying your bills on time. I went in with a package showing proof of income etc and they didn't even want to see it. A couple months earlier I had applied at the bank for a small line of credit and they wanted everything including my firstborn child.

[roknrolr]

I've been looking into financing when I get my Koup. I'm 22 and work full time and am aiming to save $6500 by July for a down payment. I used to payment calculator on the Kia.ca website and found that if I make that down payment and go for the 60 month (5 year) term the monthly payments will be less than $300 a month. That is, if they will take my current car as a trade-in.