chicago_jon

13-14% APR ... wow, did you leave an arm or leg behind too?

EDIT: I have access to a couple of cars via friends, so I could get out to Schaumberg, although I like my arms and legs!

Jon

jen_andreson

Hi, I'm not familiar with leasing agents so can't help on that one. My husband is American but we lived in Britain so long that we was out of touch with the US car market/prices...so we had his brother help us with pricing and finance info. But, we were lucky in that he kept his US credit going enough that we were approved.

Sounds like a lease may be a good option for you--it's nice being able to walk away without a hassle!

anotherlimey

I wasn't likely to get much better*, luckily the car wasn't that expensive; and 6 months later I'd refinanced to less than half that rate.


*Car dealerships will tell you they can help you with no credit history, but that's normally BS.

dinosaur

There may be, but then they take a cut so therefore raise the price.

Ah...that's a whole new spin...basically, you do not want to terminate a lease early (been there, done that...), and you don't want to end up downside up (or is it upside down?) on a loan - suggest you restrict your search to cars that have good residual values (Honda, Toyota etc) so that you'll be able to sell when you leave.
Or you could go the used car route, but again a make that doesn't depreciate too badly will be advisable if you need to sell it in a couple of years. Or just get something really cheap that you can run into the ground and will be worthless in a couple of years anyway (track down a Daewoo )

chicago_jon

I am certainly leaning towards leasing, I just need to find a way to get a reasonable deal that matches my financial situation!

Thanks

Jon

fatbrit

There's still a credit requirement for leasing that you will fail if, as I suspect, your credit history is zilch. And despite a few proponents on this very site, IMVHO leasing sucks. More info here: www.carbuyingtips.com.

Given a/ your zero credit history and b/ your temporary status in the US, I would go for a used car for cash. You can find a nice runner for $5k to 10k or so. Also, your insurance will be incredibly high and buying a used car will allow you to keep it within the bounds of reason by dropping the some of the cover that would be required were you to lease or buy on loan.

Were you planning to stay, it might be worth using the opportunity for building your credit history up.

Englishmum

My best friend is self-employed so it makes sense for her to lease as there is some kind of tax write-off.

She leased a BMW X3 (the mini-SUV) in March and pays under $500 per month for it on a two-year lease, which includes all servicing free of charge. It was actually cheaper per month leasing the Beemer than what she was paying for on the lease for her previous car which she returned to the dealer - a crappy Mazda (the one which looks like a Ford Explorer).

HappyHammer

[QUOTE=chicago_jon]I am certainly leaning towards leasing, I just need to find a way to get a reasonable deal that matches my financial situation!

I'm a Brit living working in NW suburbs. My advice... go into a deal with a lease on maybe 2 or 3 year old car... don't go for that brand new Firebird just yet. You can use the lease to your advantage, as then you will be on an official credit list. After a few paid on time bills... you will be on the first rung of the credit score ladder - and low and behold swamped by Capital One - MBNA junk mails - wanting to practically give you a credit card, wheras right now they probably wouldn't touch you with a barge pole... and welcome to Chicago... it rocks here

dinosaur

Yes - leasing may make more sense for someone running a business, but for an individual I'd be very wary - its very easy to go over the allotted mileage, or damage the car in some way that may cause problems when turing it in. Also, you build no equity in the car - you always have a car payment.
Anyway, I'm probably repeating stuff that's been said a thousand times in other threads, so I'll get my hat...

ironporer

One might also suggest taking it up the a~~ so to say and buying it at the higher intrest places- as long as they report credit. In a year or so, after you have established credit there and perhaps thru a credit card you could re-finance...with a good credit report....and get what you want at a reasonable intrest rate.

fatbrit

Yep -- sometimes you gotta do what you gotta do!

But this guy suggests he'll be leaving in the short to medium term...so it might be pain without gain.

For new folks over here with a bit of cash buying a car who are planning to stay, I'd always suggest taking a loan ("first time buyers loan") even if they could buy outright. You generally don't need to do the term of the loan provided there is no ppp (never seen this on a car loan -- think it might be prohibited) so you can dump it in a year (min 6 months) and make a mega first payment to cut interest charges.

scrubbedexpat099

Or just rent a car for the odd days you need one. $500 pays for a lot of rentals.

BigDavyG

Forget carmax mate - prices nothing great.
Get yourself the tribune and sun times at the weekend and trawl through the used car adds, find a few likely dealerships and head out.
don't bother haggling or any of that - if you see something you like come up with a price and if they start to act the muppet walk away.
You could get soemthing passable for $5k on the road and if you keep it for 2-3 years you'll still get a few k for it when you sell.
It'll keep the insurance down too.