- I can buy out the car- this option, although I have been paying on the car for 4 years, is still very expensive. And since I've had a baby, I wanted something with 4 doors and a little more cost efficient.
- I can sell the car- which, honestly, with what I would have to sell it for to pay it off- isn't really worth it to anyone with the economy as it is. I think it is a wonderful car and worth it, but it would be hard to do, time consuming, etc.
- I can return the car- and it will be auctioned off (I'm pretty sure) and be sold to some used lot and some other person at a much cheaper rate than I could buy or sell it for.
Anyways, G's sis is also looking for a car. G saw a nice car and told her about it. She said she couldn't afford it.
I was driving by the lot the other day and noticed how nice the car actually was. I told G we should go test drive it, just to check it out.
After the test drive, G was convinced how wonderful it was. Together, we started looking at our finances to see if we could afford 2 car payments for the next few months. We have been saving for months so we could have a down payment for a car when we had to get one. And with that money, we would only need a small loan.
And now.... drum roll please... I'm the proud new owner of a Blue 2001 Volkswagen Jetta, 5-speed. G and I actually tried to trade the Beetle in for a Jetta over a year ago, but I was "upside down" in payments, so the new payment was ridiculously high. Obviously we didn't get it.
The loan process was a little arduous, but totally worth it. Originally, I was pre-approved for a loan 3x the amount I needed to borrow. So I thought it wouldn't be a problem to get 1/3 of the amount. Additionally, the banker said my credit was excellent (even though she wouldn't tell me what it was). We put in the application and they called me the next day to tell me that after looking at my application they think I have too many student loans compared to my income.
I could get a cosigner... but I didn't want one! I wanted to do this myself! Plus, I don't know anyone who has super great credit, and signing power...
I told her that I was in school, so my loans were deferred. Then, by time I had to pay the loans I wouldn't have my beetle anymore, so I would actually be saving over $200/month. Also, I will theoretically have a better job.
She wanted me to get proof that I wasn't paying on my loans yet. I called one company that I have loans with, and they told me how to get it no problem. But I wasn't even sure who my other lenders were. This in itself was a huge problem. I called my school who sent me from financial aid to the business office, to the registrar's, back to financial aid... I eventually found out, on a national loan database, and called another who basically told me that any bank should know that while a student is in school their loans are deferred. Alright. But I need proof.
I called back the bank and told them the loan companies were being a pain. She must have thought I would be fine, because she submitted to the regional supervisor to be over-ridden. Then after a long day and a half of waiting, she called me back to tell me it was a go!
I used part of my saved down payment money for a down payment. Then, I got 6 months of insurance, the exact same (really good) coverage as I have on my beetle (including full coverage) from Progressive. It was a super price, really. I did a ton of research and they turned out to be the cheapest. Now I won't have to worry about insurance again until after I turn the Beetle in.
I also have a little money left over to get the emissions and license plates, which I plan to do on Monday. As soon as I find my paid personal property receipt.
This is a side note---On Friday I told someone at work I got a new car, and she asked what kind. I told her and the first words out of her mouth were "I hate foreign cars! Buy American!" I gritted my teeth and informed her that almost all cars had foreign parts... .but this is besides the point. It really made me mad though! Of course, as an American, I have the right not to buy our cars if I don't want to!
I'm so happy that I don't have to worry about finding a new car in the beginning of a new year, around all of the holidays and what not. I'm also glad I found a car I know is in good shape and I like a lot.Just one small thing- I can't drive a stick! Aaah! I practiced today- driving him all the way to Washington (10 miles). I had some minor issues, but nothing you wouldn't expect from someone just learning. I did have 2 times where I stalled, and couldn't get started back up. But it turned out it was because I was in third gear instead of first. So I need to practice the whole shifting thing. Other than that, I'm confident I will learn to drive my new car. :D
I don't have a picture yet, but this one is very similar.