Bankruptcy and Vehicle Financing

mazdaprofour · October 2002

mr310, I did not think of that. I appreciate the advice. I will definetly test drive one.

I applied today with the credit union. They took the application and advised me that my credit was too new. They told me to get a loan at dealer and refinance with them in a year. I was expecting that anyway. I guess the dealer will be my saving grace. I think I will be paying the high interest rates as expected. It is ok. I called the BK court and they told me that they will put a rush on the discharge letter for me.

mazdaprofour · October 2002

FYI, some 2003 corollas are made in japan ( I have heard). I also found out the toyota recalled the tires on the 2003 toyota corollas....guess what firestone again.

hicaira · October 2002

I think you mean Fremont, CA. There are no more assembly lines in Van Nuys. The last one was a GM plant that made Camaros. It had the lowest quality rating of any GM plant in the world. It was an act of mercy to shut that place down and ship those jobs to Canada. Still couldn't save the Camaro. That died of poor engineering and general GM stupidity.

Mazda: what would a CPO toyota Corolla (1999 or 2000) run? They usually have warranties as good as new and someone else has taken the depreciation hit from new. May save you a couple of thousand $$ with all the security of a new car and, best part, with 2,000 down you would probably never be upside down. Equity from day one.

HiC

fezo · October 2002

Man, I thought they were already gone.

Learn something new every day.

Yeah, those certified pre-owneds are a good deal!

haspelbein · October 2002

Yep, Corollas are built right here in Fremont, CA. However, the plant may shut down as soon as tonight of the port strike continues.

andre1969 · October 2002

...and consdering how early the '03 Corolla, Matrix, and Vibe came out, I'm guessing there weren't many '02's built.

I'm sure there are still some sitting on the Chevy dealers' lots, as they were slow sellers generally. They're good little cars, but Chevy for the most part didn't know how to market them. Around these parts, they often had sticker prices about on par with a Malibu, although I'm sure they'd be willing to deal.

fezo · October 2002

I've got a friend with an older Canadian built Corolla. Right vintage for the California plant but this one came from, I think, Ontario.

cliffy1 · October 2002

They are built in Freemont, Ontario Canada and Japan. On the East Coast, we rarely see a CA. Most of what we received over the past 8 years have been the Canadian, although we have seen increasing numbers of Japanese and CA cars for the 2003 MY.

mazdaprofour · October 2002

That is what I thought. They are also made in japan. I will look for the japan made units.

fezo · October 2002

Just thinking that going in with the record you have now - which is what they see as opposed to your record down the road that you see. I suspect that a dealership isn't going to bend over backwards looking for a base Corolla actually built in Japan. You may find one to prove me wrong. They'll sell all of their Corollas. They aren't worried abou that.

mazdaprofour · October 2002

Well I am not going to not buy a car just based on that. So if they offer me a car made in the usa, I will take it.

mr310 · October 2002

In fact, big Japanese auto makers have been producing cars in America for almost 10 years. I remembered that there was a study on Honda accord has shown that there was no quality difference between ones made in Japan and ones made in Ohio. The same is true for other Japanese cars made in America. This is a great case to prove that the quality problem of American cars lies with BIG 3's management, not with American auto workers. There is really no point to look for a corolla that is made in Japan. Some dealers may want you to believe in that made in Japan is superior, so they can demand a premium for it.

fezo · October 2002

I'm almost sure my 85 Accord was an early Ohio product and while my 85 Sentra was Japanese made they were producing them in Tennessee at the time as well. I bought that used right off the lot and didn't find out where it was made until I needed a new battery for it and found out country of origin made a difference in which battery you got (side terminals or top). No complaints.

mazdaprofour · October 2002

My protege was made in japan and that sucked too. FORD had a hand in it so that is why it sucked.

hondapro · October 2002

Well, I finally got a car.
I was able to find a 99 ford zx2 in pristine condition, 35k miles. They were asking $9995.
They gave me $1600 for my honda which was worth about 500 so I was happy with that.
My payments are $259.00 a month. the 23% interest rate was a little high, but it will decrease every 3 months with good payment history.
I will refinance it in a year. Now we're getting a credit card and will use it for grocery shopping only since we have the money budgeted to pay it off every month.
Long road ahead, but I've never been scared of hard work.

Thanks again for all the advice.

PS. I know some of you don't like fords, but this car is much nicer than I would have thought. Hauls [non-permissible content removed] for a 4 banger.

lemko · October 2002

...if possible, try to pay more than just the $259. An extra $25 to $50 a month over the life of the loan will save a significant amount of money in the long run, especially at 23%.

hondapro · October 2002

I will be paying extra money when I can, but I don't plan on having this go full term. I will pay it off after 36 months max. After I refinance at 12 mo, my rate should be around 16-17% so that will help also. Thank God it's a simple interest loan.

lemko · October 2002

A 36 month term is about the longest you ideally want on a used car loan. That way you'll prevent being upside down in the loan. Sounds like you're doing the right thing. Good luck in whatever you do!

mazdaprofour · October 2002

Since the credit union did not approve (which I DID NOT THINK THEY WOULD ANYWAY)I am going to be in the same position as hondapro. I think I will also be in the 20% range for financing. I am leaning more towards a 2002 civic. Do you guys think that with the clearance that is going on, that it will be easier for me to get approved on a 2002 clearance civic or a 2003 corolla. Not sure if this should be a factor for me to even consider.

andre1969 · October 2002

...congrats on the new ride! Sounds like you got something with a monthly payment that's manageable in spite of the high interest rate.

Throwing a few extra bucks into the payment when you can afford it will definitely help, too. It would basically be the same as taking that money and investing it in a stock account that gets a 23% return on investment. And chances are, there aren't too many stocks today that are going to give you that kind of ROI!

fezo · October 2002

Exactly correct on rate of return. Good suggestion, lemko! Even with refinancing a year down the road this helps right now!

A Ford? Oh hondapro we hardly knew ye.....

Actually this will get really nuts in here if Mazda is driving a Honda and honda is driving a Ford. Keep notes, gentlemen!

Mazda - have no idea which works better but have to imagine 02 Civics in what you want are a pretty rare bird.

mazdaprofour · October 2002

fezo, I did not get what you meant...

"Mazda - have no idea which works better but have to imagine 02 Civics in what you want are a pretty rare bird. "

ajm626 · October 2002

hondapro, first congrat on the car. 23% is a pretty high rate. At that rate, 191 of the 259 you paid at the first month is interest. But as long as you happy, so what. Here is a tip to save some money. If you do have a friend who has good credit history and trust your more than your banker does, ask him if he can do something like this.

We all get tons of junk mails to offer credit card with 0% tease rate. If your friend can get bunch of them and take out the loan to pay off your car payment. Then you pay the same amount to your friend on a monthly base, but with a lower interest rate, say 10%. That way you save a lot on interest payment and you friend got about $1000 income a year out of nothing. The deal makes both of you are better off. When the tease rate expires, all your friend get to do is to take out some new cards and pay out the old ones. This apply to mazda as well. The key to pull this off is that you are a trustworthy person among your friends and some of your friends have a decent credit history. If this is the case, you don't even need to bother the bank finance. Good luck.

landru2 · October 2002

That would have to be pretty good friend. I wonder how many folks here would be willing to personally rack up thousands of dollars of credit card debt so their bankrupt best friend could get a new car?

mazdaprofour · October 2002

Wow, great idea.... now if I could get that friend to also buy me house, I would be set.

You kidding me right? Who is going to do that? And besides, I would never have the guts to ask anyone to do that. Not even my own parent.

And how am I going to rebuild my credit that way?

Great idea..... you should share this with fox news financial channel or cnn-fn..

fezo · October 2002

I was saying the likelihood of finding an 02 Civic with just a couple of options (I know one was AC - forgot the other) may be difficult. They are probably all sold by now. That was all.

You're all set on 03s.

mazdaprofour · October 2002

Fezo, sorry about that. If the 02 is not a huge savings, I will move to a 03 toyota corolla instead. I really like the corolla and hope that it holds up in the long run.

mookie14 · October 2002

got some questions 4 you first off. me & my spouse are planning to payoff the lease on a 2000 explorer it expires on 9-03. it will be paid off in march 03 the reason??? over miles alot. we wanna get a 03 trailblazer all credit cards will be paid off. was never late on the lease plus credit cards also. plus i have a chap 7 in 96 i have a lawsuit thats to come off 1-03. plus i tried cap 1 they said no last time i did not make enough now i make over what they require like $2200 over so what do you think plus my wifes income so what do you think ill check thanks.

mazdaprofour · October 2002

Mookie14, I am not sure what you are asking. Are you asking me if the loan will be approved?

mookie14 · October 2002

yes and your opinion of the questions.

oldharry · October 2002

pour two bottles of "BARR"S LEAK" brand stop leak in the radiator of that Sable. It will slow headgaskets leaks for the couplke weeks you need to drive it.

Harry

mookie14 · October 2002

whats the deal with the trailblazer? i really like it i mean toyota is to high and the 4 runner is not close to chevy. i guess can you give me a reason not to buy it? i mean the reason i like it is one its under 30 grand. and 2nd the suspension is nice i have nothing against toyota believe me. i do not but if someone can sell me on a toyota i will think but im not a small guy so as you see i need to be sold so mazda4 let see what you think i will wait see what you think.

manamal · October 2002

Since when is Mazda an expert on toyota's?
Did I miss something?

mjday1972 · October 2002

I had the same thoughts, but was afraid of getting my post deleted.

mazdaprofour · October 2002

Well folks, I am no expert but I was merely making a suggestion. He asked what I thought and I told him....like it or not.

Here are some recalls for 2002 trailblazers from the NHTSA website...make your own conclusions....

Defect Summary:
ON CERTAIN SPORT UTILITY VEHICLES, A FUEL FILTER FITTING CAN BECOME DISCONNECTED. IF THIS WERE TO OCCUR WHILE ATTEMPTING TO START THE ENGINE, A NO-START CONDITION WOULD RESULT AND FUEL WOULD BE PUMPED OUT THE FUEL FILTER ONTO THE GROUND.
Consequence Summary:
IF THE FITTING BECOMES DISCONNECTED WHILE THE VEHICLE IS IN MOTION, THE ENGINE WOULD STOP DUE TO INADEQUATE FUEL SUPPLY AND CAUSE A LOSS OF POWER STEERING ASSIST. IF AN IGNITION SOURCE WERE PRESENT, FUEL LEAKAGE FROM A DISCONNECTED FUEL FILTER FITTING COULD RESULT IN A FIRE.

Defect Summary:
CERTAIN PASSENGER, MINI VANS, AND SPORT UTILITY VEHICLES HAVE AN AIR BAG INFLATOR ON THE DRIVER'S SIDE THAT COULD FRACTURE AT A WELD DURING A DEPLOYMENT.
Consequence Summary:
PIECES OF THE INFLATOR COULD STRIKE AND INJURE VEHICLE OCCUPANTS AND THE AIR BAG CUSHION WOULD NOT INFLATE FULLY, REDUCING THE CAPABILITY OF THE BAG TO PROTECT THE DRIVER.

Defect Summary:
VEHICLE DESCRIPTION: SPORT UTILITY VEHICLES (4 WHEEL-DRIVE). SOME OF THESE VEHICLES WERE BUILT WITH A RANGE SHIFT COLLAR IN THE TRANSMISSION TRANSFER CASE THAT CONTAINS CRACKS.
Consequence Summary:
THIS CONDITION COULD RESULT IN A COMPLETE FRACTURE OF THE RANGE SHIFT COLLAR AND SUBSEQUENT LOSS OF VEHICLE FORWARD AND REVERSE GEARS, AND THE INABILITY TO MAINTAIN "PARK" POSITION. THIS INCREASES THE RISK OF A VEHICLE CRASH RESULTING FROM UNINTENDED MOVEMENT OF A PARKED VEHICLE.

VEHICLE DESCRIPTION: SPORT UTILITY VEHICLES EQUIPPED WITH 4-WHEEL DRIVE. THE CALIBRATION OF THE TRANSFER CASE CONTROL MODULE COULD CAUSE INSUFFICIENT HIGH SPEED GEAR ENGAGEMENT.
Consequence Summary:
IF THE GEAR IS NOT ENGAGED, THE VEHICLE CAN ROLL WHEN THE TRANSMISSION IS IN "PARK" AND A CRASH COULD RESULT WITHOUT WARNING.

VEHICLE DESCRIPTION: SPORT UTILITY VEHICLES. UNDER CERTAIN CIRCUMSTANCES THE FRONT LOWER CONTROL ARM BRACKETS MAY FRACTURE. THIS FRACTURE COULD RESULT IN SEPARATION OF THE FRONT LOWER CONTROL ARM FROM THE FRAME.
Consequence Summary:
A SEPARATION COULD RESULT IN LOSS OF VEHICLE CONTROL, RESULTING IN A CRASH.

As for the cursing. The low class remain to prove how low they really are. I do hope that you get revoked.

mazdaprofour · October 2002

I just got my discharge letter today. I will take my time and look for a car. I will post my experience here.

tblazer503 · October 2002

Yup, those are recalls... shows what happens when someone who is pulling straws posts stuff.

1) fuel filter fitting. Yup, was recalled. fixed, and I havent heard of anyone blowing up.

2)PASSENGER, MINIVAN AND SPORTUTILITY passenger airbag... notice it doesnt say Trailblazer specifically? I'm amazed they found it since the cause is "during deployment" pretty good IMO.

3 and 4) Both were based on the Parking Pawl.. My TB fell into this and took them 10min to reprogram the PCM to fix. I did not have the cracked collar.

The Trailblazer, Envoy, and Bravada are brand new. New frame, engine, transmission settings, etc. What do you expect? The first year always has the problems... I have owned mine since 9/01 and I like it. (Wish I had an 03 TB, but they cost more, too) The only issue I have is that the suspension is a little soft in the rear, but the fix is coming(new shocks) $100. boohoo. IMHO, if you like it, get it. If you get the EXT, get the 5.3L. The mileage I don't think will change much....

Just my $.02

stinkypinky · October 2002

I just found it amusing that he specifically asked for your advice. Take it for what it's worth.

mazdaprofour · October 2002

Stinky, asked me and I answered. I also posted reasons as to not buy the particular vehicle that he was looking at. All these issues that are posted are RECALLS so not minor first year service bulletins. He can do as he wishes. Free country. I would not use your personal problems with me as way to discredit anything that I post.

tblazer503 · October 2002

Were for '02 models only, not '03... Recalls don't apply to ALL vehicles of ALL years...

stinkypinky · October 2002

Don't you think it's a bit ironic that when you came here you asked for advice and then summarily ignored everything everyone said to you, and now YOU'RE the one dishing out advice?

lancerfixer · October 2002

Next thing you know there'll be a black fly in his Chardonnay...

mjday1972 · October 2002

The irony is not lost on most of us. I had a chuckle myself at that one.

fezo · October 2002

I don't susect the 03s have been out long enough to generate recalls. Give 'em time.

tblazer503 · October 2002

True, but Ford had recalls, toyota, and Honda/Acura's now infamous disintegrating 3rd gear clutch pack...(not recalled, but so far affected approx 2% of vehicles w/ the 5spd Auto) Toyota with their sludge issue. Heck, their Matrix has already had 4 TSB's Subaru WRX has 3 TSB's. hmm... seems that all Manufacturers have their issues... and we all thought that Imports were "bulletproof" (some of us) he he...

Me, I'm an import person myself, but was impressed with the TB, and IMHO for a clean sheet design of a vehicle, they did impressively well. Allbeit they have their issues, I have relatively few with mine(MPG, gotta get some lead out)

isellhondas · October 2002

That these recalls always talk about things that "could" happen?

I guess I "could" get a flat tire today too.

Most are much ado about very little.

fezo · October 2002

I think they need to recall the air in those tires of yours!

Kirstie_H · October 2002

Let's try to steer back on the topic of Approval after Bankruptcy, please.

kirstie_h
Roving Host & Future Vehicles Host

CarMan@Edmunds · October 2002

Hi everyone. I have just deleted several off-topic posts in this discussion. Please try to keep the messages in this area focused on the intended subject matter. Thanks.

Car_man
Host
Smart Shoppers / FWI Message Boards

mazdaprofour · October 2002

Car_man, sorry to get off topic. Well I have my letter and am waiting for my wife to get a decent job prior to me buying a new car. I will post my car buying experience here. Thanks

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