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new car loan and refinancing


MEG302
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I was in the process of refinancing our home to pay off our credit card debt.  The loan is due to be funded the end of this week.  Several weeks ago my car was in an accident and was totaled and we need a new car.    Would I be better off applying for a car loan now or waiting until the mortgage is funded.  I realized the new mortgage is going to be much higher than our old mortgage, but we are paying off all of our high interest credit cards.

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Was the car not insured?

Just take the insurance money and buy the best car you can with that money for now. 

New Car/SUV prices are over sticker right now due to Supply and Demand wait until prices start dropping once supply catches up with demand.

This will allow your credit score to go up since you will have paid the CC cards off.

You should be able so you can get the better interest rate on new or used car loan.     

     

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The car was insured.  Even though it was in perfect running condition we only got $3800 for it because of its age.  We are currently renting a car. There’s not much in the area for that amount unless it’s got 150000 miles and in sad condition. 

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If the refinancing on your home is due to go through this week, I would recommend holding off on applying for a new car loan until this is complete.  Always expect the unexpected.  If there's a hiccup, at least you won't have one or more new credit inquiries on your reports.

Do you have a credit union near you that you can join?  I've always found credit unions have very competitive interest rates.  Unfortunately, it's not the best time to buy a new or used car.

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I guess the days when you can look at craigslist or facebook and get a running car for $300 are gone. (that's what i did in 2018 still driving the car)  Even rental rates are high these days.  I would get a rental from enterprise at the monthly rate and hold off till your refinance goes through. 

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On 6/8/2022 at 9:24 PM, MEG302 said:

The car was insured.  Even though it was in perfect running condition we only got $3800 for it because of its age.  We are currently renting a car. There’s not much in the area for that amount unless it’s got 150000 miles and in sad condition. 

How old was the car that was damaged and how many miles did it have? Did it have substantial damage to it before it was crashed? I assume the at fault party was someone else, is that true? Used car values being what they have been since last year hard to believe $3800 was the most they could do on it. Was it like a 1979 Mercury LTD?

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10 hours ago, alwayswinning36 said:

How old was the car that was damaged and how many miles did it have? Did it have substantial damage to it before it was crashed? I assume the at fault party was someone else, is that true? Used car values being what they have been since last year hard to believe $3800 was the most they could do on it. Was it like a 1979 Mercury LTD?

You mean a 1079 Ford LTD on the Panther chassis not really sought after don't think it will bring $3800.  More like $500-1000.  😃

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On 6/19/2022 at 11:19 PM, Bulldoger said:

You mean a 1079 Ford LTD on the Panther chassis not really sought after don't think it will bring $3800.  More like $500-1000.  😃

Well you get the idea, right? Someone really choked the life out of the value of the vehicle in question for personal gain somewhere. I am certain if they OP would have gotten their own appraisal done, the outcome would have been much different.

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