Car Finance - Who is actually lending?

Robertr

Can anyone recommend someone who is actually lending at the moment?

The garage I want to buy a car from only use Bank of Ireland. He said they are refusing 9 of every 10 applications, regardless of the application details. I was only looking to borrow 15k with 4k down and got refused. And before anyone suggests its a credit problem on my side I can assure you its not.

Any suggestions?

Anan1

If I were in your shoes i'd buy a car for €4k and forget about borrowing. Just my 2c.

Tigger

Anan1 wrote: »

If I were in your shoes i'd buy a car for €4k and forget about borrowing. Just my 2c.

19k people aren't gonna drive round in 4k people cars

obiously this is the right thing to do but it ain gonna happen

mickdw

Robertr wrote: »

Can anyone recommend someone who is actually lending at the moment?

The garage I want to buy a car from only use Bank of Ireland. He said they are refusing 9 of every 10 applications, regardless of the application details. I was only looking to borrow 15k with 4k down and got refused. And before anyone suggests its a credit problem on my side I can assure you its not.

Any suggestions?

Doesnt have to be a credit problem, if they simply think that the repayment will in any way overstretch you or that there is a possibility of job loss etc, they will refuse.
Best thing you can do is make it as attractive as possible for them if you want the cash. Borrowing less & putting more of your own cash will show them that you intend to keep it paid & also this protects the bank from half rule terminations as they will be better protected when a low percentage of the cars value is borrowed

Mc Love

Try AIB. They offered me Hire purchase, i went back and said why I wasnt offered outright loan and they sorted it out for me.

alexmcred

Permanent TSB are lending and you should be looking for a rate of as close to 8% as you can don't think they will go lower.

Atlantic Dawn

Tigger wrote: »

19k people aren't gonna drive round in 4k people cars

obiously this is the right thing to do but it ain gonna happen

Should that not be 4k people shouldn't be driving around in 19k people cars


Ford seem to have a deal with the banks for approved credit for their brand of cars, I think this is with Bank Of Ireland but it's marketed as Ford Finance, worth a try but only if your looking for a Ford.

Anan1

Tigger wrote: »

19k people aren't gonna drive round in 4k people cars

obiously this is the right thing to do but it ain gonna happen

I paid €35k for my last car - if it just disappeared i'd far sooner drive a €4k car than have a car loan. Maybe it just me, but I can think of few worse things to borrow for than a car. Plus, €4k gets you a lot of car these days.

scudzilla

You tried the Credit Union? APR of 6.9% on Car Loans

biko

I'm with Anan here, check the market for 4K or a bit more and see what you can haggle it down. You might find a gem.

mickdw

scudzilla wrote: »

You tried the Credit Union? APR of 6.9% on Car Loans

Do they then make you keep 1/3 of the the loan figure on deposit?
If they do, its pretty expensive

mickdw

Anan1 wrote: »

I paid €35k for my last car - if it just disappeared i'd far sooner drive a €4k car than have a car loan. Maybe it just me, but I can think of few worse things to borrow for than a car. Plus, €4k gets you a lot of car these days.

Paying out 35k of hard earned svings isnt the greatest idea either for some people who have that amount of money. There are people who will comfortably keep a car loan paid but if they didnt have that repayment to make, they wouldnt be saving it either, so in that case, its not a bad thing to have the loan.

Anan1

mickdw wrote: »

There are people who will comfortably keep a car loan paid but if they didnt have that repayment to make, they wouldnt be saving it either, so in that case, its not a bad thing to have the loan.

That argument was very popular with salespeople for Enycylopaedia Britannica back in the day.;)

Mc Love

scudzilla wrote: »

You tried the Credit Union? APR of 6.9% on Car Loans

You only get a credit union loan if you are actively saving with them :rolleyes:

Plus you wont have any credit rating history with their loan

mickdw

Anan1 wrote: »

That argument was very popular with salespeople for Enycylopaedia Britannica back in the day.;)

Well I wasnt one of them, A salesman I aint!

Robertr

Well, I've no interest in a 4k car anyway and to keep on topic and avoid speculation lets just take it that i am in no way stretching my budget.

I just want to know who is getting finance and where or if there are any people on here from the motor industry, what are they seeing.

Mad_Max

I'm trying with AIB (8%) at the moment, still waiting on word.

I had an 'agreement in principle' with Ulster Bank so maybe try them but they were 10% hence the switch to AIB

Grimreaper666

You could try the likes of the leasing company of Ireland, they're like brokers and will try around for you. I got a flyer in the post from them recently looking for business, also AIB seem to be loaning freely enough at the moment from what I hear.

Cyrus

just goto your bank directly

my missus got a loan with aib recently, first off they tried to foist some hire purchase on here, she had a row and hey presto she got a normal unsecured car loan,

simples

R.O.R

By god the interest rates are high! EUROSWAP rate for 3-4 years is about as low as it's ever been - 2.28% or thereabouts so they are all making a huge margin.

There are fewer banks in the market now and they are all picking a choosing only those who have demonstrated an ability to pay in the past. If you have any issue at all on your credit history they'll turn you down.

I've been told that AIB are more or less closed for new business. Ulster Bank / Lombard are moving away from car finance. GE pulled out of that market about 18 months ago. Bank of Scotland have closed so it looks like it's down to PTSB or BOI for car finance, or possibly Tesco if they are still doing it (was financed through Lombard).

Eric Cartman

Anan1 wrote: »

I paid €35k for my last car - if it just disappeared i'd far sooner drive a €4k car than have a car loan. Maybe it just me, but I can think of few worse things to borrow for than a car. Plus, €4k gets you a lot of car these days.

if you do f*ck all miles it does, dunno what the op's case is but im most likely going to have to borrow 7-8k to change my jeep , i can repay that over a year easily but its getting the loan which may be the problem, not a lot of really reliable 4k jeeps that will stand doing 35-45k miles without anything more than servicing

Absurdum

Robertr wrote: »

Well, I've no interest in a 4k car anyway and to keep on topic and avoid speculation lets just take it that i am in no way stretching my budget.

I just want to know who is getting finance and where or if there are any people on here from the motor industry, what are they seeing.

PTSB are lending but with some pretty strict criteria (20% deposit and max 3 or 4 years for used cars, up to 5 on new). GE Money are lending with less strict criteria, as are AIB. These are the ones I know of as I recently bought a new car, but there are probably others.

impr0v

BOI approved me for a sum north of 20k on a HP basis but not the full amount I was looking for. I went to AIB and they offered me the full amount, again on HP. Went back to BOI and after some cajoling they gave me the full amount on a personal loan basis.

It's true that 4k buys you a lot of car at the moment, but more than 4k buys you more car.

unkel

impr0v wrote: »

BOI approved me for a sum north of 20k on a HP basis but not the full amount I was looking for. I went to AIB and they offered me the full amount, again on HP. Went back to BOI and after some cajoling they gave me the full amount on a personal loan basis.

It's true that 4k buys you a lot of car at the moment, but more than 4k buys you more car.

I haven't seen you posting around here much in recent times, dude, but I'm glad you are back.

Mc Love

Hi Robert, when i was in the VRO the lady told me people are getting home improvement loans for purchasing their car as the interest rate isnt as high as car finance.

Wish I'd known that before I had gotten my loan

MarkN

If you want a loan to buy off a private seller where you've ZERO comeback BOI will give you a normal car loan/personal loan.

If you want to buy from a dealer with a warranty and comeback you have to get finance, they have to value the car and the dealer has to be on their books, they won't let you buy from just any dealer.

Makes LOADS of sense.

Anan1

MarkN wrote: »

If you want a loan to buy off a private seller where you've ZERO comeback BOI will give you a normal car loan/personal loan.

If you want to buy from a dealer with a warranty and comeback you have to get finance, they have to value the car and the dealer has to be on their books, they won't let you buy from just any dealer.

Makes LOADS of sense.

Couldn't you just get the personal loan and then buy the car from the dealer?;)

Gumbo

i asked AIB last Monday for a 14k loan for a car at 11am and they approved at at 3pm the same day.

i dont know if it makes any difference but i use AIB internet banking so was able to apply online.

MarkN

Anan1 wrote: »

Couldn't you just get the personal loan and then buy the car from the dealer?;)

It depends on how much you want to borrow

If you were after a 911 for example... that's some new kitchen you're buying Sir!

flamegrill

I got a new Superb Elegance and did HP with Bank of Ireland. Was approved over the phone without any hassel at all. No problems.

For the sake of clarity, I've been a customer of BOI for 15 years and I've never had a loan refused. I've also got a good track record with them.

In my opinion your best bet is to go with your own bank. Call into your branch and talk to the manager.

Bank of Ireland finance are on 1850812080 and this is where I got fixed up.

edit: APR on the loan was 7.4% , beats the hell out of the 11% APR loan I got from GE a few years back!

Paul

MarkN

flamegrill wrote: »

APR on the loan was 7.4% , beats the hell out of the 11% APR loan I got from GE a few years back!

Paul

Seems high - a month ago they were doing 6.5%! (Maybe it's gone up since then I don't know).

flamegrill

MarkN wrote: »

Seems high - a month ago they were doing 6.5%! (Maybe it's gone up since then I don't know).

This was the first week in Jan 2010. Rates go up and down all the time, but 7.4% was the best to be got at the time. I intend to change it using the half rule so HP was the way to go.

Paul

J_Wholesale

Couple of weeks ago I asked AIB for a 4k loan with me putting down 7k for a new car. They turned me down. I couldn't believe it. What made it even funnier was that when I was in seeing them about the loan, they spent the first half of the meeting trying to sell me some sort of health insurance policy. They had no problem with me paying them monthly payments on their policy, but they wouldn't give me a piddling little 4k because, in their words, the sums didn't add up and petrol was expensive. Laughable!

I bought the car anyway, and I'm probably better off without the loan, but it cracks me up every time I think about it.

MarkN

flamegrill wrote: »

This was the first week in Jan 2010. Rates go up and down all the time, but 7.4% was the best to be got at the time. I intend to change it using the half rule so HP was the way to go.

Paul

It wasn't Jan when I was shopping around anyway, much closer to March.

VW bank doing close to 6.5% also... would've been able to qualify buying a Skoda if it was a VAG dealer.

VW's own bank seem to be lashing out the money too - they require a big enough deposit though.

Mc Love

Yeah when i was in getting the loan documents signed off they were pushing their car insurance on me - no thank you

impr0v

unkel wrote: »

I haven't seen you posting around here much in recent times, dude, but I'm glad you are back.

Thanks unkel! I've been around consistently, just not posting much.