Any of You Used A Online Loan Agency?

[FZTofer]

Hey I was wondering If any of you have used an online loan agency to buy/pay for your bike?? I'm looking at using one to get the bike in my other post http://www.600riders.com/forum/fz6-general-discussion/10082-damaged-fz6-2-600-good-deal.html

I was just wondering if you guys used any and if so which ones?

also any good/bad experiences you've had with it?

Thanks much! :Flash:

 

[JohnP]

I've found outstanding rates at local credit unions. I bought a new Nissan a few months ago and got a real low rate through a credit union I found through AAA. The dealer couldn't touch the rate. Previously I financed a motorcycle through a different credit union. In both cases I got a much better rate than I found online at e-Loan and such.

The only problem I forsee for you is the small amount of the loan. A lot of places are looking at a minimum loadn of $5000.

John

 

[FZTofer]

I've found outstanding rates at local credit unions. I bought a new Nissan a few months ago and got a real low rate through a credit union I found through AAA. The dealer couldn't touch the rate. Previously I financed a motorcycle through a different credit union. In both cases I got a much better rate than I found online at e-Loan and such.

The only problem I forsee for you is the small amount of the loan. A lot of places are looking at a minimum loadn of $5000.

John

the only problem is in my area the banks / credit unions aren't giving out any loans for anyone... thats why I'm looking into the online loan agencies...

 

[FZTofer]

I don't get how its so hard to get a loan for $2,600? really for 2 years worth of payments its going to be able $116 a month... I make more then that a week were I work... and not only that but I might even move it up to 3 years which is only about $81 a month... someone working a taco bell could pay that every month... I'm getting really frustrated with the banks if you couldn't tell... :spank:

 

[Ghost Weim]

Hey I was wondering If any of you have used an online loan agency to buy/pay for your bike?? I'm looking at using one to get the bike in my other post http://www.600riders.com/forum/fz6-general-discussion/10082-damaged-fz6-2-600-good-deal.html

I was just wondering if you guys used any and if so which ones?

also any good/bad experiences you've had with it?

Thanks much! :Flash:

My husband used an online loan agency to finance a truck once - what a PIA! Paperwork that should normally take 20 minutes took 2 hours and the dealership was clueless. On the other hand, our Credit Union is a gem to work with.

 

[FZTofer]

My husband used an online loan agency to finance a truck once - what a PIA! Paperwork that should normally take 20 minutes took 2 hours and the dealership was clueless. On the other hand, our Credit Union is a gem to work with.

I'm looking at using a bank locally but I need to find one that is actually ok with giving loans out...

I'm just going to sit down with my parents this weekend and see what options I have because I really don't want to loose this bike because of the stupid bank not giving me a loan for it...

Its not that I can't pay the loan easily its that fact that I need a co-signer... because at about $116 a month for 2 years I can pay that easy making about $550-$600 a month were I work... and even more so if I move it to a 3 year loan its only about $81 a month... which I could pay even working at taco bell... its just this stupid co-signer thing thats keeping me from getting the bike...


So I guess my question is now... if you get a loan from a different bank do they look at your other loans that you have out at other banks and base their approval due to that? OR do they only look at money you have taken from their bank?

Also why does it have to rely so much on the co-signers credit when I make more then enough money to pay of the monthly payments?

 

[Ghost Weim]

I'm looking at using a bank locally but I need to find one that is actually ok with giving loans out...

I'm just going to sit down with my parents this weekend and see what options I have because I really don't want to loose this bike because of the stupid bank not giving me a loan for it...

Its not that I can't pay the loan easily its that fact that I need a co-signer... because at about $116 a month for 2 years I can pay that easy making about $550-$600 a month were I work... and even more so if I move it to a 3 year loan its only about $81 a month... which I could pay even working at taco bell... its just this stupid co-signer thing thats keeping me from getting the bike...


So I guess my question is now... if you get a loan from a different bank do they look at your other loans that you have out at other banks and base their approval due to that? OR do they only look at money you have taken from their bank?

Also why does it have to rely so much on the co-signers credit when I make more then enough money to pay of the monthly payments?

Used to be a banker in another life...

When you apply for a loan, the lender will look at your income to debt ratio. Simply put - they need to know what you are making as far as income, how long you have been working in that profession and will want to know all the debt you currently owe on. Most banks have guidelines they work from and if you don't fit into the debt ratios they work with will deny you. You will also have a credit history pulled on you. That credit history will show all open credit accounts as well as closed credit accounts and will show your payment history as well as assign a score to you. If you have poor credit and have a history of not making your payments on time, lenders will tend to shy away from you.

With your comment of a co-signer, I am inclined to wonder your age, past payment history and/or income. You may be marginal and that is why they ask for the co-signer. The co-signor tends to give a more favorable light to the loan (if you pick the right one to co-sign).

Do you have a credit card with a limit close to the bike? Why not cash advance it and purchase it that way. It is just a glorified unsecured loan...

 

[FZTofer]

Used to be a banker in another life...

When you apply for a loan, the lender will look at your income to debt ratio. Simply put - they need to know what you are making as far as income, how long you have been working in that profession and will want to know all the debt you currently owe on. Most banks have guidelines they work from and if you don't fit into the debt ratios they work with will deny you. You will also have a credit history pulled on you. That credit history will show all open credit accounts as well as closed credit accounts and will show your payment history as well as assign a score to you. If you have poor credit and have a history of not making your payments on time, lenders will tend to shy away from you.

With your comment of a co-signer, I am inclined to wonder your age, past payment history and/or income. You may be marginal and that is why they ask for the co-signer. The co-signor tends to give a more favorable light to the loan (if you pick the right one to co-sign).

Do you have a credit card with a limit close to the bike? Why not cash advance it and purchase it that way. It is just a glorified unsecured loan...

well i currently have no credit... no debits... no credit cards

Im 20 almost 21... and i've been working my job for a little over 3 months...

the no credit is the reson for the co-signer but does it matter how much debit they have (loans they have) or do they only look at their credit? because my mom has very good credit

 

[Ghost Weim]

well i currently have no credit... no debits... no credit cards

Im 20 almost 21... and i've been working my job for a little over 3 months...

the no credit is the reson for the co-signer but does it matter how much debit they have (loans they have) or do they only look at their credit? because my mom has very good credit

If you say you have no credit and have only been on your current job for 3 months, then that explains why they want a co-signer. They will look at your mom's credit as well as yours (equally). If you say her credit is very good, then you should have no problem qualifying. Then, once you have yourself "established" in the credit world with this loan and pay it on time with no defaulting, you shouldn't have as many issues the next time you apply (as long as your income/debt ratio looks good). I have not been lending for a long time though and the economy issues may be driving some new lending practices out there - which might make it more difficult for you or anyone else get a loan in the future.

 

[FZTofer]

If you say you have no credit and have only been on your current job for 3 months, then that explains why they want a co-signer. They will look at your mom's credit as well as yours (equally). If you say her credit is very good, then you should have no problem qualifying. Then, once you have yourself \"established\" in the credit world with this loan and pay it on time with no defaulting, you shouldn't have as many issues the next time you apply (as long as your income/debt ratio looks good). I have not been lending for a long time though and the economy issues may be driving some new lending practices out there - which might make it more difficult for you or anyone else get a loan in the future.

so do they also look at my moms outstanding loans as well to see if they will accept the loan... because she has a loan out for my school and our RV which adds up to a nice chunk of money... does that matter to the lender?

 

[JohnP]

Yeah, I got my Nissan just before the economy went belly up....I'm sure its a pain to get a loan now.

Also, don't forget that if you get a motorcycle loan, it will be secured by your bike. Therefore you bank/online lending agency will insist in full collision insurance coverage for at least the amount of the loan. In case you wreck the bike they will want to make sure they can collect the money from your insurance company to cover the loan.

My advice to you even if you don't get your motorcycle loan is try to build a some credit history. If your parents have regular American Express I highly recommend them getting you a card on their account, which is what I'm doing with my kids. Amex is unique in that the balance has to be paid in full each month, at least the normal green card. There is no such thing as making monthly payments. Therefore you can not get into the trap of getting in debt, and every time you use it you establish credit. Even if you don't use it, having your name on the card will estalish credit.

Good luck,

-John

 

[FZTofer]

Yeah, I got my Nissan just before the economy went belly up....I'm sure its a pain to get a loan now.

Also, don't forget that if you get a motorcycle loan, it will be secured by your bike. Therefore you bank/online lending agency will insist in full collision insurance coverage for at least the amount of the loan. In case you wreck the bike they will want to make sure they can collect the money from your insurance company to cover the loan.

My advice to you even if you don't get your motorcycle loan is try to build a some credit history. If your parents have regular American Express I highly recommend them getting you a card on their account, which is what I'm doing with my kids. Amex is unique in that the balance has to be paid in full each month, at least the normal green card. There is no such thing as making monthly payments. Therefore you can not get into the trap of getting in debt, and every time you use it you establish credit. Even if you don't use it, having your name on the card will estalish credit.

Good luck,

-John

so an option would be to get a credit card say for 3000 then pay the 2600 for the bike then just pay the monthly credit card payment? wouldn't that be easier to do for such a small amount then to take out a loan?

 

[FZTofer]

I'll just go in with a gun and tell them I want a loan... that might work best... :sinister:

 

[JohnP]

so an option would be to get a credit card say for 3000 then pay the 2600 for the bike then just pay the monthly credit card payment? wouldn't that be easier to do for such a small amount then to take out a loan?

I think you mis-understood. Try to get a co-signed motorcycle loan secured by the motorcycle. This should give you much better interest rate than a credit card.

I would stay away from credit cards except maybe an American Express, the kind you have to pay off each month. This would help you establish credit while avoiding getting into debt with a high interest rate credit card. With American Express you never pay a cent in interest fees because you always are required to pay your balance in full each month.

-John

 

[JohnP]

I'll just go in with a gun and tell them I want a loan... that might work best... :sinister:

Cool...I'm gonna look for you on COPS What color is that FZ your heist is going to finance?

 

[FZTofer]

I think you mis-understood. Try to get a co-signed motorcycle loan secured by the motorcycle. This should give you much better interest rate than a credit card.

I would stay away from credit cards except maybe an American Express, the kind you have to pay off each month. This would help you establish credit while avoiding getting into debt with a high interest rate credit card. With American Express you never pay a cent in interest fees because you always are required to pay your balance in full each month.

-John

So one of my original questions is still un-answered... If the co-signer has loans out for other things that add up to quite a bit... does that reflect on the approval process? Or do they only look at the persons credit? Because my mom has loans out for my school and the family RV that total around 20k... but she has perfect/excellent credit... so would the loans play a part in the approval for my loan?

 

[2004Ralli//art]

the only problem is in my area the banks / credit unions aren't giving out any loans for anyone... thats why I'm looking into the online loan agencies...

hmmm...maybe u should move to where i'm at! all i did was walk into my bank and told the owner i needed 6k and he said it'll be in ur checking account in a couple days just come back and sign the paperwork...no reason needed...no details to go over...maybe i'm just lucky

 

[08fz6]

basically, you have zero credit therefore you are a major financial risk for them to give you the loan thus you have to have a co-signer, and yes they will look into your moms credit situation and that amount will also be held against her. You prob wont be able to get a $3000 credit limit on a card in your name I just went through that 14 months ago. I started a new job, zero credit, had $2000 extra in the bank and a car worth $2800. Credit card wise I was only able to get $500 limit to start i traded the car and gave $2000 down and that was the only way i got the lease on my current car. I now have great credit and can get just about anything i want that i can afford. basically put I am going to buy out my lease and that is around $13,000 was told paperwork will be ready when I get home. I borrowed $3000 for my bike and that is half payed off and that has been 5 months. basically the only way you are getting that loan is with a co-signer and their credit has to be very good and not stretched too thin. Even though their credit may be great if that ratio is close they wont do it. And credit Union's are the best for getting a loan. If you can do it, do it as a personal loan interest should be lower than a used motorcycle loan and there is zero insurance requirements! another problem is you have only been there for 3 months.... how long did you have a job before that?

 

[dako81]

Here's my take,

I'm 20, a junior in college, and I work. I will be 21 in July, so it's a ways off. I'm in my third year at my current job, and have worked since I was 15. I bought my '07 FZ brand new in March of '07. I financed it through Yamaha's financing which is a credit line, not a vehicle loan, so only insurance requirement is state legal minimum and theft coverage. My friend co-signed for me and he only had decent credit. They approved me for $11k with an apr of 8.9% for 24 months, then something crazy after that. I figured, eh, I make enough I'll pay it off in a year. Didn't happen, I will pay it off in December which will make it 20 months of payments.

I make really good money where I am at right now. A very large amount of my after taxes income has gone towards the bike starting in April '07. This is partly because I got tricked into a service plan and my amount financed was a hair over $11k. But, anyways, I've been strapped to payments and I CAN'T WAIT TO HAVE THAT DAMN THING PAID OF IN DECEMBER! I've got $1247 left to pay.

I didn't think I was getting myself into huge payments, but I was. Using a loan calculator on bankrate.com, if I had an $11k loan for 24 months at 8.9%, that would be $502.03 a month. My real loan total was $11,213.43, and I'll have it paid off in 20 months, so I've averaged a payment a bit higher than $500 a month for way too long. That is a lot of money. Fortunately I make enough I can struggle, but pay that, but most people my age in school can't.

Being strapped to payments not only has limited my finances everywhere else, but has really just been annoying. I have HAD to work, not only to live since my parents don't support me anymore, not since I was 18, but I have had to make sure to work as much extra as I can to pay for this damn bike. I make enough if I wasn't paying for the bike, I could have saved, and maybe took a semester off work and concentrated on my school so I could do better in my classes. I graduated third in my class in high school, had one B on my transcripts. In college I'm working so much more to pay the bills, completely different story, so that extra time really could have been useful to me.

So, I understand that you're talking $2600 or whatever, and I was telling my story about $11k which is a lot more, but I don't think you're making enough money to buy this bike if you're worried about $100 a month and have only been at your job for 3 months.

What about gear? I've got the bare essentials, a couple helmets, a jacket, gloves, and boots and I've easily got over $600 invested. And I don't buy the most expensive stuff. What about maintaining the bike? Needs tires? Easily a couple hundred bucks for cheapies. Oil changes can add up. Chain lube. Cleaners. What about if you need a chain a sprockets? Couple hundred bucks. Not to mention gas...

Oh, and Insurance. If you get the cheapest insurance you can get, in your name as a 20 year old, in Michigan just for PlPd, you're looking $350 a year just to be legal. If you want any sort of coverage if you crash, you're looking $900 a year and up the newer the bike is.

I hope my story of being strapped to payments and stuff can at least add to your knowledge base to help in your decision in buying a bike. If you feel you can afford it, then go for it. But, you could probably save $2600 up before you know it and buy a bike next summer sometime and own it outright.

If I did it again, that's what I would have done. I can't wait to have the bike paid off and save soo much money every month. Such a weight will be lifted off my shoulders.

 

[08fz6]

Here's my take,

I'm 20, a junior in college, and I work. I will be 21 in July, so it's a ways off. I'm in my third year at my current job, and have worked since I was 15. I bought my '07 FZ brand new in March of '07. I financed it through Yamaha's financing which is a credit line, not a vehicle loan, so only insurance requirement is state legal minimum and theft coverage. My friend co-signed for me and he only had decent credit. They approved me for $11k with an apr of 8.9% for 24 months, then something crazy after that. I figured, eh, I make enough I'll pay it off in a year. Didn't happen, I will pay it off in December which will make it 20 months of payments.

I make really good money where I am at right now. A very large amount of my after taxes income has gone towards the bike starting in April '07. This is partly because I got tricked into a service plan and my amount financed was a hair over $11k. But, anyways, I've been strapped to payments and I CAN'T WAIT TO HAVE THAT DAMN THING PAID OF IN DECEMBER! I've got $1247 left to pay.

I didn't think I was getting myself into huge payments, but I was. Using a loan calculator on bankrate.com, if I had an $11k loan for 24 months at 8.9%, that would be $502.03 a month. My real loan total was $11,213.43, and I'll have it paid off in 20 months, so I've averaged a payment a bit higher than $500 a month for way too long. That is a lot of money. Fortunately I make enough I can struggle, but pay that, but most people my age in school can't.

Being strapped to payments not only has limited my finances everywhere else, but has really just been annoying. I have HAD to work, not only to live since my parents don't support me anymore, not since I was 18, but I have had to make sure to work as much extra as I can to pay for this damn bike. I make enough if I wasn't paying for the bike, I could have saved, and maybe took a semester off work and concentrated on my school so I could do better in my classes. I graduated third in my class in high school, had one B on my transcripts. In college I'm working so much more to pay the bills, completely different story, so that extra time really could have been useful to me.

So, I understand that you're talking $2600 or whatever, and I was telling my story about $11k which is a lot more, but I don't think you're making enough money to buy this bike if you're worried about $100 a month and have only been at your job for 3 months.

What about gear? I've got the bare essentials, a couple helmets, a jacket, gloves, and boots and I've easily got over $600 invested. And I don't buy the most expensive stuff. What about maintaining the bike? Needs tires? Easily a couple hundred bucks for cheapies. Oil changes can add up. Chain lube. Cleaners. What about if you need a chain a sprockets? Couple hundred bucks. Not to mention gas...

Oh, and Insurance. If you get the cheapest insurance you can get, in your name as a 20 year old, in Michigan just for PlPd, you're looking $350 a year just to be legal. If you want any sort of coverage if you crash, you're looking $900 a year and up the newer the bike is.

I hope my story of being strapped to payments and stuff can at least add to your knowledge base to help in your decision in buying a bike. If you feel you can afford it, then go for it. But, you could probably save $2600 up before you know it and buy a bike next summer sometime and own it outright.

If I did it again, that's what I would have done. I can't wait to have the bike paid off and save soo much money every month. Such a weight will be lifted off my shoulders.

First off congrats on not just giving up on it and letting the bank take it and saying screw it!!! Second I know in college I wouldn't have been able to afford what you were paying!! Third didn't even think to bring up the maintence part, don't know why... Im usually all over that. To be honest I don't think you can afford it either! I didn't get my own bike till may I am 22. i paid half cash and financed the other half. bike will be payed off within a month. to be honest strapping yourself to a loan for 3 years of 2600 is ludacris! plus you also have dmv fees and tax! so the reason you got up to that much was bike, tax, gear, and extended service? That crazy rate you talking that lovely 22%? lol yeah don't ever finance yamaha credit unless you are 100% sure you could have it payed off in the timeline. A credit union is best I think I am paying 4.5% interest.