ATV financing???
 

I am only 18, have no credit, and no co-signer...what i do have is a job, started about a week ago, and my dad owns a store...so he could always say i worked there for a certain amount of time. I want to finance a new atv whether it be credit card, honda card(yami card, etc.), or the dealer financing...what should i do to be able to get my atv? high interest isnt a problem but my payments have to be no higher then 110 dollers a month

ATV financing???
 

try honda finance(not the honda card)
if you want honda.

i put 500 down on my 300ex.
they gave me 8%intrest,
48 months,
127.00 per month


they've pre approved me again
but said i have to pay off the 300

ATV financing???
 

did have any credit then??? because im just 18 and have no credit at all...and i would like to finance for like 60 months

ATV financing???
 

TreadHeavily,

If you have no credit you might have to start off with what is called a secured Visa or master credit card.

It goes something like this.

You send the card company $500 dollars, Your max credit limit is $500 dollars, you use the card for a period of time and make purchases on the card and I would then make the full payment for the purchases you have made through out the month.

Since they already have your money and you have no credit history if you default on a payment the money is there.

But anyway you need to make purchases and make the full payments and this will give you a credit history over time when you have none.

Other than that, I don't know what to tell you. Oh you could save up and pay cash.

Chet

ATV financing???
 

how long would that take to establish credit on that?

ATV financing???
 

TreadHeavily - There's been a lot of sound advice offered in this and other threads on this topic. Basically, Any method you choose is probably going to take some time. It will take at least 6 months to establish some credit history as suggested by Chet. BTW - This is an excellent suggestion even if you are not in the market for buying a quad. Go and get yourself a credit card - NOW - Either a secured one or one with a very low limit. Start using it right away, but disipline yourself to only use it for things you would have bought anyway and have the money in hand to pay the card off in full each month. Be careful not to buy anything extra that you can "now" afford because you have a credit card or you will soon find yourself carrying a balance and paying interest.

The next thing you can do for the fastest way to get that new quad is to start saving as much as possible from that new job you just got. Your young age and lack of credit history can be offset by a bigger down payment. Plus, in addition to having some more money to pay up front you can swing a little infulence with a bank if you can show an ability to save more per month then you will need for a payment. You mentioned payments of $110/month. If you walk into a bank to get a loan for a $4,500 quad and you show them that you have $2,000 in hand because you were able to save $400 a month, you may be able to work something out, despite your age and non-history.

Lastly, I know you just need the numbers to work but keep in mind that the interest rate is very important. Once again, your lack of credit history is against you so you will be forced to pay a higher rate at first but you can still shop around. That $110 a month payment you want on the Honda card (16.75%) will buy you about $4,500 worth of quad. That same $110 payment at 8% would get you an extra $1,000.

Good luck with it. As you can tell from these posts, most of us have been where you are earlier in our lives. I cannot stress how important it is to establish and keep a good credit history. Do it right and you will soon have the ability to demand the best rates for whatever financing you need. Screw it up and you will pay hundreds of thousands of dollars extra (or more) over your lifetime.

Jaybee

ATV financing???
 

TreadHeavily, I remember well being in your shoes. 18 and want stuff that you can't afford, so use credit. I'm 26, and I was taught the value of a good credit history by my Dad, I hope that you are learning this as well.

I realize, believe me I realize the temptation. But I just wanted to tell you about my situation. I was 18 when I got my first credit card. By the time I was 23, I had racked up almost $40,000 in debt, and had virtually nothing to show for it. When you buy things on credit, it seems as though it's OK, but what happens is the stuff goes away and you're left with the debt. I bought everything from wheels for my truck (which I sold) to god knows what.

Luckily, I never fell into the hole of not making payments. I may have had a lot of debt, but I always made payments and never fell behind. Some weeks I ate beans and potato buds for breakfast, lunch and dinner, but I made those damn payments. Now my credit cards are paid off, I was able to buy a house last year, I have two cars that are financed, etc. It was hell, but it built me some pretty solid credit.

I just wanted to say something about good credit. Your credit report will truly follow you around for the rest of your life, and it will really suck if you can't buy a car or a house down the road because you get into it now.

As far as your situation, I would bet that there is no way you will be able to get financing without a cosigner right now. You will need to build credit for at least a year before a bank will touch you. The other posters mentioned some good ways to do that. I would not suggest lying on the application about working at your dad's shop. If he's willing to do that, why isn't he willing to cosign?

If maybe you can't save enough right now, maybe buy an older used quad and fix it up, borrow a friend's, or get your dad to cosign.

I hate to be the bringer of bad news, and I hate to sound like I'm preaching, but I just wanted to give you some of the reality. Pay your dues now, and in 10 years you will be able to buy anything you want just by signing.

Good luck with your quad!

Marc

ATV financing???
 

so if i bought a used 2 or 3000 doller four wheeler on a credit card, i would be able to pay in payments right?

ATV financing???
 

First off - I don't know who Marc is, but he sure gives good advice. Please re-read his post and follow it.

Second - Your situation is pretty much the same if you buy new or used. If you do not have enough money to buy it outright you will have to finance - with all the problems mentioned above.

What would I do if I were you? - Save, save, save your $$$$$. You've just started a job and your expenses should be low. You've got the incentive of really wanting a quad. Start saving as much as you can and then assess what kind of quad you can realistically get. Like I've said before - Even going in with a big down payment could work. You can finance 1/2 a quad easily within your $110/month payment budget, even at a high interest rate. I really feel that without a co-signer you are going to be stuck with a high interest rate. That's the price you pay for establishing credit. Just make sure you can really afford whatever it is you do. You will not want to believe this, but it is far better to live without a quad than it will be to screw up your credit.

Jaybee

ATV financing???
 

Mjollnir,

You have got to feel good about paying that credit card debt off.[img]i/expressions/face-icon-small-shocked.gif[/img] I would say most people in that situation would have went bankrupt. I mean that was a huge tree to cut down. Way to go.

One of the best feelings in life to be debt free.

Chet

ATV financing???
 

Ok so how bout this, there are some things I want to buy for my jeep, a lift is one of them, with the 500 doller limite on the credit card, that would be enought to get my lift, Question is do u pay monthly on it or do u pay strait up when a bill comes? I figured since im working ill buy a few things i have been wanting for my jeep, while at the same time establishing credit...is this a reasonable idea??

ATV financing???
 

Yes and no. As has already been talked about, getting a credit card is one of the first steps to establishing credit. The thing is, to do it right, you have to go slow. IF you get a credit card and IF you choose to use it ONLY USE IT IF YOU HAVE THE CASH TO PAY FOR THAT ITEM IN FULL.. There are many reasons for doing it this way: 1. No interest - most credit cards have a 30 day grace period so if you buy a $100 item and make a $100 payment as soon as you get your bill you just got free use of that money for 30 days. 2. Training yourself - Credit is new to you, if you get into the habit of paying in full that may continue throughout your life. 3. Establishing credit history - This is an important one. If you consistantly charge on your credit card and pay it off each month the credit card company will respond by raising your limit.

After you have had a credit card for a while you can expand into carrying a balance for a month or two if you really need to, but in the long run it will be much, much better to go slow with this. Whatever you do, don't missuse your credit or your new job. I know it's tempting - you've finally got some money coming in and you want to buy stuff but don't rush it - you will regret it for the rest of your life. So don't go out and buy everything you ever wanted for your jeep - Instead go out and buy one thing at a time and pay it off. This will be the quickest way to establishing a good credit history. Also remember, any money you spend on your jeep will be that much less to go towards a quad.

I have a suggestion: You mentioned that your dad is a businessman. Why not ask him how this all works? If not, feel free to get advice here. It sounds like there are several of us here who really want to see you do this right.

Jaybee

ATV financing???
 

Hooooooooooooray...it is nice to see sound financial advice being given to someone that is younger and just starting out on establishing credit. I am 33 years old and have never missed a payment on anything...hell I have never even bounced a check but I made this a priority way back 15 years ago. I am also a financial counselor now so I guess it is fitting that I am good at managing my own finances.

Establishing credit is one of the most important things you can at an early age but <u>you must exercise control and discipline when you do this.</u> I started off with a $200 limit on a card and used it but paid it off early and within 6-8 months I had other creditors soliciting me for other credit card offers. I have only on Visa now with a larger limit than I ever expect to use and that is it for me.

You may want to see if your parents will co-sign for you and by going this route you can go more on financing now since they will mainly use your parents credentials but you will still have established credit for you on your credit bureau....just never miss a payment and learn to save for those months that you might have missed due to being short........my grandparents taught me to save and I have to say it is the most valuable lesson they ever taught me. I could go on forever on this subject so I better end it....good luck on your purchase [img]i/expressions/face-icon-small-smile.gif[/img][img]i/expressions/face-icon-small-smile.gif[/img]

ATV financing???
 

TreadHeavily,
Judging by the way you are talking you are going to get into credit card trouble if you aren't careful. I had a friend in high school that was in your same situation, he wanted to finance a wheeler but didn't have any credit to buy one. He went out and applied for credit cards. He applied for a Sears cards a discover card, and a bunch of others.
Well needless to say, sears and discover are the easiest cards to get with very high interest. He got three credit cards and within the years he maxed them all out. He was in debt like $20,000.00 before he graduated high school. needless to say he filed bankruptcy at 20. He is now pretty much screwed for life and now the only way he will be able to get a new car or wheeler is to pay cash. It's a long time to rebuild or credit but only little while to ruin it!
Becareful, someday you will want a house and new car. Don't ruin it now.

-Northern

ATV financing???
 

TreadHeavily,

If you did ever have to file bankruptcy...it stays on your credit bureau for 10 years after the debts are discharged.....so you will want to pay careful attention to your finances especially when you are young. I don't know about you all but I dont know where I will be in 10 years but I do know that my credit history will top notch by the way I conduct them today !! [img]i/expressions/face-icon-small-smile.gif[/img][img]i/expressions/face-icon-small-smile.gif[/img]

ATV financing???
 

If you never take any advice in your life, take just this one. Protect your credit as if your life depends on it, because if you don't you are looking forward to a life of hardache.

ATV financing???
 

Thanks to all who commented on my advise. I learned the hard way, and I feel lucky to have gotten through it.

I wish my brother-in-law would listen to me, but he doesn't. [img]i/expressions/face-icon-small-smile.gif[/img] I see him going down the same road that I did, but he just doesn't see it. I'm going to show him some of my bills from 4 years ago to see if that helps.

Anyway, TreadLightly, if you absolutely have to buy a quad now, that 2 or 3 grand is better than spending 5 or 6, but I don't think you're going to get a credit card with that kind of limit. As I stated, I think the only way this is going to work out for you with financing is to get a cosigner.

Also, if you do finance a new quad, you'll most likely have to insure it, so count that into your $110 monthly limit.

A couple questions for you so that we can help you with this advise:

1. Is there a reason that your parents won't cosign?
2. With your new job, how much can you save each month?
3. How much have you already saved?
4. Can you approach a relative about a low-interest loan from them? Grandmother, etc.? Maybe make a deal that if you can save X amount of dollars by X time, they front you the rest of the money? My Grandpa used to do stuff like that to show us the value of saving.
5. Do you own anything that you can sell off to get cash?
6. Maybe try to get a job at a cycle shop - you'll learn, get discounts maybe, maybe even find a connection that will enable you to get a great deal on a used bike... Just a thought.

Just FYI, I started building credit with a cosigned loan on a truck when I was 17. I also had a secured $500 credit card which I would use for gas every month, and pay off each month. I did, however, carry a $50 balance on it because my grandpa (a real estate investor) told me that it would build credit faster if I left a little bit on it. The credit card was also nice to have to buy things mail-order.

Hope this helps, if you can answer (or think about) those questions, maybe it'll help.

Thanks,
Marc

ATV financing???
 

Tread,

Oh yeah, I forgot. About your Jeep - I'm not sure what type or year it is, but I have a '94 YJ with a 4 inch Rubicon Express lift, 1 inch MORE body lift, SYE kit, BFG Muds, blah blah blah. Problem is, if you spend $500 on a lift, you would also need a bunch of other stuff to go with it. After the lift, tires, SYE kit (not required but nice for over 4 inches), wheels, etc., you're in for about $2000, and that's installing it yourself. Of course, that's better than my '98 Dakota, which ended up costing over $3000 to lift, and that was with me installing.

By the way, never NEVER NEVER attempt to install a lift on a Dakota. What a pain in the butt. Toyota IFS, ok. Toyota Solid axle, easy. Jeep YJ, easy. Chevy IFS, not too bad. Dakota, terrible.

Anyway, I digress...

So, from my experience with Jeeps, I would say that this is not really reasonable, at least not if you expect to spend only $500.

I would have to say that I agree with jaybee - SAVE SAVE SAVE. It will suck, but look at it this way - if you can save that $110 a month for year, then $140 a month for another year, you will have $3000 after two years. You can buy a nice used 400ex which you will OWE NOTHING on, and have that $140 a month to spend on goodies for it. I know, two years is a long time, and when I was 18, I would have done (and probably did do) exactly what you are trying to do, so I certainly can't blame you or look down on you for doing it, and I never would.

Thanks,
Marc

ATV financing???
 

After all said and done its the anticipation of getting something that is half the fun. I love the looking and the kicking of the tires, looking at the brochures and dreaming. Instant gratification with a credit card is to easy.

Chet

ATV financing???
 

Lots of good advice here especially from Mjollnir. I have done almost exactly the same as he did but I am a few years behind. I am 24 and hope to own a home in about 2 years, but still need to pay off another 10k.

The best way to get cars and atvs is to start real cheap and trade up. I rode a Suzuki lt230 for 2 years because it was 500$ and that was all I had cash. My friends smoked me on thier Blasters, but that is the price I pay for spending every $ I could get from 18-22 years old. I learned the hard way but I am glad for it now. I just bought an lt250r cash and in a year or so I will get a Banshee or Quadzilla and will pay for it cash also. They however still are and most likely still will be riding thier Blasters.

ATV financing???
 

RaptorYFM660R,

I think you hit the nail right on the head, half of the fun is kicking tires and anticipating the purchase. You will certainly respect it more if you have the discipline to save now for it. Like most Americans, purchase now and pay later....as in 15 years more for something that you could have saved in 2 years and then ha extra funds to buy other hop ups for your ride...[img]i/expressions/face-icon-small-wink.gif[/img]

ATV financing???
 

What I would suggest is find a friend or relative to cosign. My first truck was bought with my dad as a co-signer. I traded it in two years later and got approved for a loan for 19,000 for my next truck due to the fact I made all my payments on the co-signed loan.
If you cant find someone to co-sign, and just have to have a atv, find an old piece of junk that runs for $3-400, and ride it while you save money for the nice new atv. I had an 85 Honda Big Red 250 Three wheeler, traded a $400 rifle to get it. I kept it a year to make sure that an atv is something that would be worth me sinking several thousand into. I sold the 3-wheeler yesterday for $900. The only thing I did was replace the starter ($100) and clean it up real good. Now Im about to spend the big bucks (or what I feel is big bucks) on a new 4-wheeler.
Oh, and BTW, my three wheeler blew away my buddy's Big Bear 400 (new) and a bayou 250 (couple of years old). I even pulled the 4x4 Big bear out of the mud (after I made it through, turned around, and came back for him!)
Or save up enough to buy a junk out, but running, quad or 3-wheeler, then do one thing at a time to it (as much as you can afford each month) and end up with a great custom rig in a couple of years.

ATV financing???
 

Cjones013,

I like your point of view as well. It is hard to not buy now since this is the American way of thinking. I will buy now and pay later is the philosophy of most consumers but since TreadHeavily is young he has lots of time to save up and learn lots of things about ATV's before he sinks a lot of money in one. I just ordered my 600 Twin today for up North and I saved over $1k over my local shops and that savings is after $350 in shipping...it pays to shop around...ride on [img]i/expressions/face-icon-small-smile.gif[/img][img]i/expressions/face-icon-small-smile.gif[/img]