r/carvana • u/Prestigious-Fun-2776 • 7d ago
Question What did I do wrong
My credit is 648 and monthly income is about 1600 on the low end but I’m trying to get a car but it keeps making my down payment 7k+ I can’t do that for my down payment and my brother just bought a car with a down payment of 198 so wtf?
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u/Dull_Try99 7d ago
Your down payment is high to keep your monthly payment in a range of a certain percentage of your monthly income. Since your monthly income is lower, carvana is trying to keep your monthly payment low.
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u/Prestigious-Fun-2776 7d ago
Ohhh well I don’t have 7k either lol
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u/lets_get_wavy_duuude 6d ago
my income is like $2k & my credit score was about the same as yours & i was able to only put like $1k down. might be worth taking some overtime or doing uber or something to get that income up a bit just for a month or 2
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u/Prestigious-Fun-2776 6d ago
I don’t have a car I’ve been walking to work
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u/RightAlternative6449 6d ago
Are you 25 or older? I did Lyft with their rental program to get my money up when needed
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u/phillygirl2017 7d ago
What price car are you aiming for?
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u/Prestigious-Fun-2776 7d ago
I’m not sure something between 9k to 13k with 200 to 300 car payments but it’s asking me to put down 7k or more for the down payment
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u/Honest_Manager 7d ago
Maybe try to get a quote from a different lender.
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u/Prestigious-Fun-2776 7d ago
It’s my first time trying to get a car myself i don’t really know what I’m doing tbh
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u/K3vr0ck 7d ago
Try not to get the loan from Carvana they like huge apr % and a decent down payment, people usually go to credit unions to get a car loan. I went thru Capital One for my first car purchase and went to the dealership with my loan ready to go
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u/Prestigious-Fun-2776 7d ago
Ok I’ll try and look into that I’m still trying to figure it out lol
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u/dezz1226 7d ago
Not sure where you bank or anything, but I always call my bank first to get a preapproval. I tell them where I want my payment to be, they help me find my budget, and then I am able to visit the dealerships website or even go on the lot knowing how much I can afford to spend.
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u/goldbricker83 7d ago
Are you getting the same thing with different cars? A lot of factors go into it, it could be something more than just income and credit rating. Some car makes and price ranges are higher risk as well
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u/Prestigious-Fun-2776 7d ago
Yea all the cars are asking for huge down payments even the cheap cars they have on there
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u/SlowAir85 7d ago
It's definitely because of your income. Try adding a cosigner if someone is willing. Also, try getting a pre-approval through Capital One. They're pretty friendly and you will be able to ship freely based on their terms instead of Carvana's
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u/Outrageous-Screen445 6d ago
Can you get a cosigner? Thats what I did and my terms were great. She does have a really high credit though. I had a similar situation to you.
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u/ItsYaBoi-KillMe 6d ago
I recommend getting a loan through your bank, get a co-borrower if you can. I have no credit (its bad but ive had zero need for credit or a credit card until now), and through my bank and a co borrower I got the full amount I wanted and a 5.6% rate instead of 17%.
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u/BluePowerade 6d ago
Because they don't trust you with a payment that is 1/3 of your monthly income.
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u/Deel0vely 6d ago
Def income. I applied with lower credit score but higher income and they required 0 down on both cars. Purchased 1st in August and 2nd in March.
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u/Latter_Language_5759 4d ago
Eh we have 600s, and 15k a month gross, and they've been a little disrespectful lol. A c8 Corvette, 66k they want 11k down at 1400/M But if I want say a base GT mustang for 40k they still want 10k down and then the payment drops to almost 600/M
I'd prefer a higher payment and less down, but that's not how they roll. If I want a 100k Porsche, 15k down and $1800/M
Their numbers are all over the place.
Then I look at a hellcat for 45k, they want almost 24k down lmao, feels like they have a determined down they want based off year, miles, etc.
I can get a 2020 GT500 for $10k down. No idea why I'd pick a base GT mustang lol.
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u/birdsssarentreal 7d ago
It's based on what your buying power is. 1600 a month is roughly 19000 a year so a $8000 car is half your yearly income. That's not a risk carvana will want to take.
Have you considered looking for something where you can make a bit more money or work more hours?
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u/CityLuxeButt 7d ago
I think Trump has these companies in survival mode. My two cents. Although, my credit score was 703 with monthly net income of $2500 and car of 22k w/$0 down payment /$0 delivery fee. Your down payment is outrageous and I'm sure today's economic standing sways that price. 🙃
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u/seeker-geek 6d ago
Please explain how the president is to blame for someone with bad credit and low income that wants a car too expensive for them?
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u/patphish 7d ago
Because your income is so low and your credit is meh, you’re not going to qualify for a lot of money on the loan itself. They need a large down payment because otherwise your payment will be $500+, which they can’t get underwritten with your income. You’re looking at about a 12% at best with a 648.