Need advice on financing a used car, no money down, no trade in.
I currently need to get a more reliable vehicle, so I have been looking for a few weeks and I'm getting pretty frustrated and confused, so I'm hoping someone on here with more knowledge than me can help me out.
My financial situation is, $3000 gross income/month, credit is @ 670 at Transunion and Equifax, and about 600 at Experian.
I don't have any money to put down, and my current vehicle would be worth zero as a trade, so there is no money there either.
What I am trying to figure out, is what price range / model year combination I should be looking for ?
I would like my payment to be $250 to $300 a month, and I'd rather not go past 60 months on the loan.
Originally I was looking in the $12-13K range, at vehicles in the 2003/2004 range. I got denied on one so far, they wanted me to have $4,000 down.
According to several different finance people, at different dealerships, the main problem for someone in my situation (no money down, not super great credit), is the model year.
They told me that if I looked at something 3, maybe 4 years old (2006/2007) that it would be easier to get financed for the whole thing. Reason being is that a newer vehicle, less miles etc, is looked at as less risky from the bank's perspective.
So I guess my question is, first of all, is that true ? At the time they weren't trying to push any certain vehicle on me so, I don't think they were just making it up, but thought I would check on here.
And secondly, what price range and what years should I be looking at, given my current financial situation ?
Many thanks in advance for any light that anyone can shed on all of this, it's been 10 years since I've had a car loan and things sure do seem to have changed.