Currently Rebuilding Credit; Goal is to own a Tesla

[Muktukk]

Hey all,
First time poster here. Cool forums I really appreciate seeing a lively board like this. So my goal is to somehow finance or lease a Tesla as I am making it one of my goals for the new year. I’m 32, currently in school after a long a$$ hiatus. Work part time as well, currently have a 589 (it was in the 400s two years ago) and am in the process of rebuilding that. I’m really wanting to get to point where I can own of these and I know that it won’t be overnight but my question is if anyone has any tips or advice on what I need my score to be at? I’m thinking of being able to put down $10k when I make this happen so there’s my down payment for those wondering. Any feedback or discussions would be greatly appreciated. Thanks everyone.

 

[LoudMusic]

That sounds like a question for a loan company, rather than a car enthusiast forum

But this website seems to recommend a score of 560 for a loan of $40,000.

What to know before applying for a $40,000 personal loan

A $40,000 personal loan is possible, but you’ll need great credit to get the best interest rates. Think carefully about the long term interest and opportunity costs before you borrow this high amou…

nypost.com

 

[jjrandorin]

Hey all,
First time poster here. Cool forums I really appreciate seeing a lively board like this. So my goal is to somehow finance or lease a Tesla as I am making it one of my goals for the new year. I’m 32, currently in school after a long a$$ hiatus. Work part time as well, currently have a 589 (it was in the 400s two years ago) and am in the process of rebuilding that. I’m really wanting to get to point where I can own of these and I know that it won’t be overnight but my question is if anyone has any tips or advice on what I need my score to be at? I’m thinking of being able to put down $10k when I make this happen so there’s my down payment for those wondering. Any feedback or discussions would be greatly appreciated. Thanks everyone.

(moderator note)

This is a preemptive request (with my moderator hat on and all that entails) that any responses in this thread should attempt to answer the question asked, and not "life financial advice", since that is not what was asked.

=====================================================

(regular content, not moderation related)

The best way to accomplish what you are saying you want to accomplish (Tesla ownership) would be to save up enough money that your down payment is close to 40-50% of the cost of the vehicle, after taxes, destination, etc.

Brand new rear wheel drive model 3s are around 38-40k right now. By the time you add taxes, destination charges, license fees etc, that puts them approximately at 44-45k. Call it 45k.

In order to guarantee you would be offered a loan with your credit in the mid 500s to low 600s, you would want to have a very sizable down payment, somewhere in the range of 40% or so. So, on a new model 3 RWD that is around 20k, not the 10k you mentioned you thought you might have.

Thus, you should be targeting saving up more money for down payment, or buying a used model 3 from a dealer that has a lower cost, or waiting till your credit score is high 600s. This is doubly true since you mention you are in school, and have a part time (not full time) job.

For a 10k down payment, you are targetting a car that has an out the door price after license, destination, etc of no more than about 22-23k, with the credit score and profile you mentioned.

Good luck.

 

[afadeev]

So my goal is to somehow finance or lease a Tesla as I am making it one of my goals for the new year. I’m 32, currently in school after a long a$$ hiatus. Work part time as well, currently have a 589 (it was in the 400s two years ago) and am in the process of rebuilding that.

Your goals are messed up.
Buying a new car should be the LEAST of your priorities, Tesla or otherwise. The insurance surcharges for a Tesla (vs. a normal car) will drain you.

Until you graduate and get a full-time job with steady income (preferably of 6-fogire variety), buying a new car should be line-item #165 on your list of priorities. Secure the shelter, the food, the basic necessities, and your social life.
If you live in Portland, you may need a car at all!

I’m thinking of being able to put down $10k when I make this happen so there’s my down payment for those wondering.

Start with a $10K car, pay it off upfront, and prioritize getting a vehicle with tolerable insurance premiums. Hint - Teslas will not make the list!
If you think you need a Tesla to get a date, rent one to test your theory first. In all likelihood, the test will fail.

HTH,
a

 

[mpgxsvcd]

Everyone needs motivation in life. I know it can get depressing trying to fight out of a debt hole. If it motivates you to save money by thinking about getting a new car then go for it.

Just save, save, and save some more. Get a used steel bike and some running shoes and make it your goal to wear them out. It will save you a ton of gas and gym membership money and get you into shape at the same time.

You can do it. However, it is going to take a lot of sacrifice. Eating out is where inflation is actually the highest right now. Restaurant prices are still outrageous even when gas and grocery store prices have declined significantly.

Try to prepare your own meals as often as possible. You can’t eat at a fast food place for less than $7 a meal now. That is $200+ a month for just one meal a day.

Just take it one day at a time. Make it a challenge to spend as little as you possibly can each day.

Honestly, trying to reach an arbitrary credit score isn’t going to be as helpful to you. Building up your bank roll will. If you can show enough discipline saving money away then when you finally buy the car you have dreamed of you won’t end up in the same debt nightmare you were in before.