Between my new spouse and I, we make roughly about $94,000 gross.?

We do not have the best credit due to a bad previous divorce for her, and %26quot;student loans gone bad%26quot; for me because I did not get a good paying job immediately after school.

We are now both working and earning almost 55% and 45% of the family gross for her and myself respectively.

We are trying to purchase a car and the bank has approved our loan. Due to the poor credit, they have approved $275 bi-weekly over 84 months. When we applied, we were asking for $204 bi-weekly over 96 months with zero down and 8% interest. We have a $3000 savings account. My spouse is retiring in 5 years.

Our question is this: should we go for this loan in the hope of building a good credit? We find the $275 a bit high though. Is this worth it? please consider also that when my spouse retires, I am going to be the principal earner with a bad credit

Please we need your honest opinion and thank you for your help

Between my new spouse and I, we make roughly about $94,000 gross.?

If you are buying your home and have all these debts, perhaps you should consider consolidating all your bills including the car so you'll only have 1 payment to make. Make sure you get a fixed rate with an open end, which means you can pay down the mortgage anytime. I realize others will tell you that's crazy but you still have to make the final decision.

Between my new spouse and I, we make roughly about $94,000 gross.?

too high and too long. get a much cheaper car for now, and SAVE money for a year or two, and then buy what you want.

Between my new spouse and I, we make roughly about $94,000 gross.?

I am not sure how competative the rate is, but you should look for alternative providers and make sure that this is the market rate. If it is the market rate, and you really need/want the car, then make sure your cashflow can support it, or else you will wind up with even worse credit. Bigger question is you make almost $100K gross, and only have 3K in savings? There is a big issue there, unless you have alot of money tied up in illiquid assets, like real estate, but that is unlikely given we are talking about a small car loan. Next thing is that you are talking about situations from likely decades ago (student loans, first job after school), that are still impacting your credit, especially given that you are about to retire. The best thing IMHO is that you need to save as much as you can. You cannot retire with only 3K in the bank. See a financial specialist to review your spending habits. Social Security will not be enough.

Between my new spouse and I, we make roughly about $94,000 gross.?

Over that length of time, it is way to high and to long to commit for. I would go for a much cheaper car for now, and then get the better one when I had at least 50% as a down payment. By then you will probably have a much better credit rating, and you will be able to get more of the terms that you want.

Between my new spouse and I, we make roughly about $94,000 gross.?

It's impossible to say if the $550 per month is a good or bad deal withhout knowing the interest rate (APR) on the loan. 84 months does indicate that you've got credit problems, a 48 or 60 month car loan is standard. Obviously, the longer the life of the loan, the more total interest you have to pay. I recommend you should look into a cheaper vehicle, one that is more affordable and which would allow you better loan terms. This is especially true because you have a 7-year loan and your wife will retire in 5 years, which means the family income will drop then also.

If you pay this loan on time, yes, it will help you improve your credit rating significantly.

Between my new spouse and I, we make roughly about $94,000 gross.?

I think buying a used car is your best bet. I can't see paying for a car loan for 7-8 years. It's too long. The car is depreciated as soon as you take it out of the parking lot. In the past, 3 years was long enough for me. I didn't know they have car loan for 7-8 years nowadays. If you get this car, when your spouse is retiring, you still have to pay for your car loan.

Since your spouse is retired soon. If you don't want to buy a used car, find something else is a little more reasonable. Since you don't have any money down, obviously you don't have enough for savings for your golden years. $3000 in your saving near your retirement is not enough to live for one month. Perhaps you should put money in your retirement account instead of buying a $46,000 car.

I hate to say this but who do you try to impress?

Between my new spouse and I, we make roughly about $94,000 gross.?

Take out a 5 year loan. If that's too much of a payment, buy something less expensive.

You should be making enough money to pay off your old bad credit stuff and clean up your credit instead of thinking of it as free money. Tax payers get to pay the stuff you don't.

But you want to plan paying off bills as you retire so you're not miserable when you do.