What credit score do you need to qualify?

Pretty much as long as its in the 600s or higher they'll approve you. The captive financing is VERY easy to get.

Now, thats no guarantee of interest rate. Toyota/Lexus Financial does not have great rates for buyers with excellent (700+) credit.

 

<div class='quotetop'>QUOTE(SW03ES @ May 15 2007, 09:22 PM) [snapback]443053[/snapback]</div>

Why get a dealer's financing :blink: when you can get great rates through insurance companies, credit unions and banks.

 

<div class='quotetop'>QUOTE(The Annoying One @ May 16 2007, 01:11 AM) [snapback]443114[/snapback]</div>

Most of them require a significant downpayment. Toyota doesn't.

 

<div class='quotetop'>QUOTE(SW03ES @ May 16 2007, 12:22 AM) [snapback]443053[/snapback]</div>

This is very true, (low 600's gets you tier 3) (mid 600's is Tier 2) but the plus for any consumer is, if you make the grade and get approved through TFS you CAN negotiate the interest rate regardless of your credit situation. The more volume a dealer does the more then can 'negotiate' the rate. Remember the dealer makes money off the finacing too.

In the end though if you have good credit, your rate will probably be better through a credit union, etc unless TFS is running special programs like they did with the prius in March.

 

I got clean wholesale for a trade that left me with 14K to finance. I went with Toyota finance and then within two months got a credit card solicitation for up to 20K for 1.99% for the life of the loan. I used one of the cc "checks" to pay off the loan and now have a <2% note. Heck, I've done the same thing to by CD's (using a 2% loan to by a 5% CD sorta makes sense to me). I saw no reason to take savings to pay off the Prius when the cheap loan was available. This was last summer -- most of the offers I get now are around 4.9%. FWIW, my FICA is around 730 so I guess this is why they offer me these deals. On the other hand my income is rather modest....but I have a 40 year perfect credit record and have a long since paid for house/property. The only thing I don't understand is why they offer me such great deals when I have a pristine record. The only way they'll make money off of me is if I miss a payment and they can run the rate up astronomically -- that's not going to happen. Beat 'em at their own game, I say.

 

You'll be noticeably happier ten years later if you don't borrow money to buy a new car.

 

Someone implied that in order to get over 800 is "LUCK"... Well I have 801 credit score, and let me tell you, it was not by luck. All you have to do is live BELOW your means and always pay you debt on time!

WOW big secret right? Well sad to say, it really is a big secret for most Americans! Always trying to live WAY BEYOND their means!

 

<div class='quotetop'>QUOTE(richard schumacher @ May 16 2007, 09:24 AM) [snapback]443279[/snapback]</div>

You're suggesting I'd be better off breaking a 5% CD to pay cash for a car rather than taking a 2% loan??
Tell me what I'm missing?

 

<div class='quotetop'>QUOTE(mootsman @ May 16 2007, 09:41 AM) [snapback]443307[/snapback]</div>

If you got a 2% car loan somewhere other than Toyota or the dealer, then way to go, dude!

If you're financing through Toyota or the dealer then the low face rate of the loan has been compensated for by increasing the price of your car. Ask another dealer to give you a quote for a cash purchase. You might come out ahead by paying the penalty for breaking the CD and buying for cash. Then you can contemplate why you didn't anticipate buying a car when you bought the CD :_>

 

bah. i had a credit score in the mid 700s and got bent over with an 8.something% interest rate from SET's financial people.

i refinanced for 5.24% less than a year later.

good credit scores are indeed not luck... we have worked very hard to maintain good credit.

 

All I know was that mine was high enough that I could write a personal check for the full amount and drive away.

 

<div class='quotetop'>QUOTE(The Annoying One @ May 16 2007, 02:11 AM) [snapback]443114[/snapback]</div>

I think I said that didn't I when I said Toyota didn't have great rates if you have good credit.

The only reason to go through TFS is if they have a deal or its a difficult loan to get because of credit or downpayment.

 

<div class='quotetop'>QUOTE(richard schumacher @ May 16 2007, 11:03 AM) [snapback]443334[/snapback]</div>

I got 0% for 24 months through Toyota Financial and got the car for under dealer invoice. The financing incentives that Toyota was offering in March (also 2.9% for 48 months) did not factor into the purchase price of the car. I know this because I didn't even talk financing until the deal was made. As far as they knew I was paying cash. This is always the way you should negotiate by the way. Make the deal first, then talk financing and trade-in if necessary.

 

<div class='quotetop'>QUOTE(SW03ES @ May 15 2007, 10:22 PM) [snapback]443053[/snapback]</div>

My wife and I managed to get 2-year 0% financing from Toyota financial as part of an incentive to move Prii.

I think my wife and I have credit scores in the 700's, though.

 

I bought my past 2 cars used and kept saving money up so that one day I could walk into a dealer and buy without a loan, which is what I did with the Prius. Felt good not to have a loan for a new vehicle.

 

Well I'm spot on mid 700s and could only manage a 5.99% through Chrysler financial (for my Prius lol).Always used my cc's in a pay as you go fashion...

Should I ask my cc bank for such a loan or wait for a 2% solicitation? Aren't these solicitations through 2nd or even 3rd party lenders?

Thanks