carpayments
July 28, 2011 5:40 PM   Subscribe

Im interested in the new 40 mpg hyundai accents they cost around 16000 i was just wondering assumeing i have no credit rateing at all ( ive never used a credit card ect cetra) was just wondering that the monthly payments would probably come to. Also if theres any programs in pennsylvannia for high mpg car trade in or programs to help a financialy um disadvantaged person get a new car
posted by quseio to Shopping (14 answers total)
 
It depends how much you put down. How much are you going to put down?
posted by mr_roboto at 6:02 PM on July 28, 2011


If you don't know how to use a loan calculator or google lease prices AND you're financially disadvantaged with no credit rating, I *highly* suggest you reconsider getting a new car. New cars are almost never the cheapest way into reliable transportation.

Used Civic or Toyota or Mazda Protege/3 or Ford Fiesta are your best bets for good used cars in the low end of the market......
posted by pjaust at 6:03 PM on July 28, 2011 [6 favorites]


Or a Kia or Hyundai. They're reliable, too.
posted by pjaust at 6:04 PM on July 28, 2011


Did that come across wrong? I just meant to say that diving straight into the world of personal finance at the "put myself in hock for 4 years" end of the pool is something you want to prepare for by taking a class or reading a book or something. Sorry!
posted by pjaust at 6:11 PM on July 28, 2011


There's no way they'll give someone without any credit history any sort of decent financing; you'd probably have no option than to take a TERRIBLE deal.

Read a basic book about personal finance (the 'For Dummies' books are good for this type of thing), and get a credit card - both to establish a credit history and to learn how credit works. In the meantime, find a used car you can afford.
posted by Kololo at 7:08 PM on July 28, 2011


Oh, and if there are no used cars you can afford, you might want to start your education in how to manage your money by opening a savings account and start saving money for a down payment on a car you love.
posted by Kololo at 7:09 PM on July 28, 2011


My brother was in a similar situation. The dealers were all super ready to give him a loan for a $20k car, but when he said he just wanted an $8000 used car, nothing was available.

But yeah, think about the ramifications of having a $300 payment for the next 5 years. If that's something you can easily do, go for it. If it sounds daunting, save up some cash for a while.
posted by gjc at 8:57 PM on July 28, 2011


A $16000 loan @ 7% (which is probably what you'll pay with no credit) will be $383.14/month for 48 months.
posted by blue_beetle at 9:03 PM on July 28, 2011


Don't forget insurance, for the love of pete. I need more than one hand to count the number of people I've known that fixated on the monthly payment of their first new car, then didn't bother to get insurance beyond liability, and then totaled the car (or had it totaled for them while parked.)
posted by davejay at 9:56 PM on July 28, 2011


Also consider that in many (all?) states, when the car is being financed, full coverage is required, not just liability. So that'll mean a higher insurance premium too.

And yes, especially if this is your first car and/or your first experience with a long-term financial obligation like this... Please consider a reliable used car. You can find great used cars with high MPG ratings. The very moment you drive your shiny new car off the lot, it instantly depreciates in value by several thousand dollars. Let someone else eat that loss, and go with a used car that is 3-5 years old. That's the length of most leases, and if you're careful, there are great deals out there.

(Also don't forget that tax, licensing, registration can easily add thousands to the price of a new car, depending on where you live.)
posted by xedrik at 10:18 PM on July 28, 2011


gjc's is a really good anecdote that I hope the original poster will take to heart:


My brother was in a similar situation. The dealers were all super ready to give him a loan for a $20k car, but when he said he just wanted an $8000 used car, nothing was available.


This is probably the same sort of thing as when people go in to get precertified for home mortgages. They'll tell you you're approved for a $300k home when in any shade of reality all you can actually afford is a $200k (or whatever). They are not there to help you; they're there to promise you more than you can afford because that's how they make their money.

You'd have to be a darned fool to put yourself so deeply in debt for a car.
posted by carlh at 3:44 AM on July 29, 2011


With little or no savings and nonexistent credit, a new car is almost certainly a terrible idea -- impossible, foolish or both. That means you need to consider alternatives. If you post a few more details about how much savings you have, how much income you can devote to a car and its upkeep, and how far you commute to work, we might be able to help you find a plan that makes more sense.
posted by jon1270 at 4:52 AM on July 29, 2011


Buying a more fuel-efficient car sounds like a good way to save money, but it's a long-term play.

I'll use myself as an example. My current car is paid for. Let's say it gets twenty miles per gallon (it's more than that, but let's keep the math easy), and let's say gas is four bucks a gallon.

A thousand miles in the current car takes fifty gallons, $200 worth of gas. The Hyundai gets 40 mpg. A thousand miles would take 25 gallons, $100 worth of gas. So I'd be saving a hundred bucks on fuel per thousand miles, a thousand bucks per ten thousand miles and $16,000 over 160,000 miles.

There are other factors, like maintenance/repair costs and resale value, but you get my drift.
posted by box at 5:53 AM on July 29, 2011


if you're buying new then you can negotiate the options on the car. If all you're caring about here is getting a new car with great gas mileage, which I assume you are because why else do people buy hyundai accents (hehehehehhee), then get them to take all they special things off the table. get manual locks. get manual windows. no cd player, .... down the line.

My sister did this a few years back with that same car and bought it for 9000.

Good luck
posted by zombieApoc at 6:03 AM on July 29, 2011


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