Buying a certified pre owned car

[NeilCartwright]

Brehs im in the market for a car. Right now im pushing a 2004 Camry with 200k miles on it, that was my father's car. Luckily there's been no major repairs ive had to make other than scheduled maintenance, but i know nothing lasts forever. Nothing is mechanically wrong with it but i need to get a car loan on my credit report.

Im looking at Carvana and another site for certified pre owned Toyotas. I just need something to get me from point A-B. Id prefer to spend no more than 5-10k. Im going to get pre approved by navy federal and finance it that way. My only real concern is choosing an extended warranty and insurance.
https://www.cars.com/vehicledetail/detail/818871524/overview/

Carvana | Buy & Finance Used Cars Online | Skip The Dealership

Im basically not trying to buy a piece of junk, while also not breaking the bank and getting finessed.

 

[You Win Perfect]

just stick with the camry. why you in a rush to get a car note.
my first car was a hand me down chevy cavalier I got at 150,000 miles that I drove all the way up to 275,000 miles. only reason i had to junk it was because i live in an area that gets a lot of snow so the rust rotted the frame. If i lived somwhere like california or texas ain't no tellin how much longer it would've lasted.

 

[NeilCartwright]

just stick with the camry. why you in a rush to get a car note.
my first car was a hand me down chevy cavalier I got at 150,000 miles that I drove all the way up to 275,000 miles. only reason i had to junk it was because i live in an area that gets a lot of snow so the rust rotted the frame. If i lived somwhere like california or texas ain't no tellin how much longer it would've lasted.

Not really in a rush, it’s just something I know I’ll have to knock out soon. I just need to have a paid off car loan on my credit report within the next 3-5 years, for when I actually go to get a decent car

 

[Jean Jacket]

Join a credit union. Find a wholesale dealership and talk with the owner. Slide him a couple bucks to find what you want at the auction and cop an aftermarket warranty.

Buy Japanese or pickup/SUV under 7k.

 

[You Win Perfect]

Not really in a rush, it’s just something I know I’ll have to knock out soon. I just need to have a paid off car loan on my credit report within the next 3-5 years, for when I actually go to get a decent car

no you don't. you just a need a good credit score. join a credit union like other poster said. when you're ready to get a 'nice' car they'll get you a loan.
my first car note after that cavalier got junked was a 4 year old Lexus

 

[Listen]

Did none of you read that he’s already using a credit union lol?

As for certified pre owned, go to usnews car reviews I believe they have section on all the best used cars and best CPO programs.

If you can afford a payment, just get whatever you like that you can afford like that Toyota you want, or really anything that’s Asian and you’ll most likely be right.

 

[NoMorePie]

I'm a noob. Why would one need to get a car loan on a credit report?

 

[Jblaze204]

I wouldn't buy a certified pre owned Toyota/Honda. Why pay a premium for a vehicle that's already bulletproof. Your better off finding one thats still under the manufacturer's warranty.

Find an independent shop when you need repairs & maintenance done.

Also you said you want to finance now so you can finance something better later on. That's kind of redundant. I hope you dont go down that path. You can build up your credit with a credit card and making your payments on time.

 

[Michael's Black Son]

Go hard or go home.

Get a 2017 AMG GT

 

[desjardins]

Paying your bills on time should be enough to get you a car loan at a good rate.
Keep the camry and save the bread for a larger down payment (if not just pay car cash outright when time comes)

 

[You Win Perfect]

I'm a noob. Why would one need to get a car loan on a credit report?

you don't paying a car note does not raise your score. it brings your score down when they check your credit but paying it off has no bearing

 

[winb83]

I'm a noob. Why would one need to get a car loan on a credit report?

Having a variety of debt increases your credit score long term. When I had an installment loan my credit was closer to 850 but when that went away over time as I added new credit cards my score feel and has now peaked in the 815 range. I now have a car loan but I'm 1/5th of the way through it so it's probably not much of a benefit for me but in the long term it will help boost my score as it's paid down.

I put $10K down on a $17.5K car. My car payments are trivial like $162 a month. I actually deduct an extra payment out of my check every month and keep it in a high yield savings account. In 2.5 out of the 5 years I'll be able to payoff the loan but I likely won't and will just continue to save. My interest is 2.9% since I got it in late 2019.

 

[winb83]

you don't paying a car note does not raise your score. it brings your score down when they check your credit but paying it off has no bearing

having an installment loan is part of the 10% of credit variety on your credit score. As you pay the loan down it will boost your score as your utilization falls higher then your score would be if you didn't have the loan.