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From Jalopnik:
http://jalopnik.com/5062876/gmac-now-officially-requires-700+plus-fico-score-for-new-car-loan

GMAC Leaders and NAO Team:

In light of the disruption in the credit markets, GMAC NAO is announcing a temporary, more conservative purchase policy for retail auto contracts in the United States. In the short term, we will limit auto contracts to those consumers who have a minimum 700 credit bureau score, with an advance rate equal to or less than dealer invoice. This means that consumers will be required to make a down payment. In addition, we will restrict approval of contract terms beyond 60 months, except for those customers qualifying for GM-supported 72-month incentives currently advertised.

These are extraordinary times, and we must take these prudent steps to focus our resources on high quality retail contracts and critical areas such as dealer wholesale financing, until the credit markets are stabilized. To assist dealers, GM has enhanced its retail incentive programs in October to utilize more cash incentives. GM and GMAC will continue to work collaboratively through these challenging financial market conditions.

Barbara Stokel

Executive Vice President, North American Operations
 

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That sure is going to make it hard for a lot of people to buy new cars.
 

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dfrank78 said:
That sure is going to make it hard for a lot of people to buy new cars.
true, but if they give large cash incentives, someone can obtain their banks financing and be better off.
 

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bonk1313 said:
dfrank78 said:
That sure is going to make it hard for a lot of people to buy new cars.
true, but if they give large cash incentives, someone can obtain their banks financing and be better off.
:ditto: Not often does GMAC offer a better deal than your own bank unless there's some special financing thing going on, which doesn't look like that will be the case for a while.
 

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Web Raven said:
bonk1313 said:
dfrank78 said:
That sure is going to make it hard for a lot of people to buy new cars.
true, but if they give large cash incentives, someone can obtain their banks financing and be better off.
:ditto: Not often does GMAC offer a better deal than your own bank unless there's some special financing thing going on, which doesn't look like that will be the case for a while.
they don't usually offer a better deal then ones own bank, but I guess they are more likely to loan out to the risky person with a higher rate.
My sister had a friend that traded in a Dodge neon with all kinds of problems, and got a pontiac sunfire. she had to roll the old car payment into the new one, and here finance rate was like 11% or 14%..... NO THANKS!
 

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I've been victim of the poor credit while buying a used car thing. I think the highest I paid was (hold onto your seat) 24% on a 1987 Pontiac Grand Am SE that was 3 years old when I bought it. Granted, my payment was only $157 (sure as hell beats what I'm paying now for my Acadia!! LOL), but at the time that was a lot of money for me to come up with every month, especially when my insurance was over $170 a month since I was 17 and it was a sports car.

Thankfully my credit has since improved by leaps & bounds. :thumb:
 

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Era of easy credit is over...going back to the time of our parents/grandparents when getting credit was a long laborious process...to convince the creditor that you are a worthy debtor for the financial obligation.
 

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and good... i am not trying to step on toes but you get a 700+ score because you demonstrate the ability to pay and on time. If you have less than that you are a risk and while there are exceptions to almost every rule the statistics show folks with lower ratings are defaulting and hence our credit markets, our housing situation, our banking situation, and our financial crisis lies. The Acadia is a beautiful automobile, but if you have a low credit rating and are looking for a 30-40,000 new car perhaps you should reevaluate your priorities.

I know, I know... flamesuit now on.
 

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No flames here... there is no right to a motor vehicle or a house. Do what many have done or are still doing- drive a beater and rent until you can afford to buy.

The bank vs. GMAC info was true for us also, GMAC was well over 6% and we got just over 5 at our bank.

Don't feel bad your majesty- I recall paying over 20% APR on a motorcycle loan a few years prior to your Pontiac purchase. Of course, if you are going to pay that kind of interest, you should have gotten a Trans Am! :p
 

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My score is just under 700 and it is not because I default on loans or don't make my payments on time. I think you're being a little too general in your statement. Mine is what it is because I'm what they would (and me too, I guess) consider over-extended. Of course, I realize this and I wouldn't go out and apply for a loan right now anyways because of that fact.

Just wanted to defend us below-700 people. :p
 

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yah, but web, realistically that was not wise on your part. easy credit needs to be gone. it doesnt need to be completely restrictive. being over extended is part of this whole problem. people with way too much because they dont want to sacrifice anything. i see that in myself, just like i do in my kids. i keep getting them what they want, appreciation goes down and what do we care. your character shows you care because you make it work, you pay the bill. but there were a lot of people with loans that had no business getting them. i understand job loss and all that, nothing against stuff you cant controll, but you can control spending. i am not awesome with my credit, so this will suck, but it is a blessing, now being over extended will be harder for me. oh crap, i may have to save :banghead:. just so people understand i am not trying to step on toes, i really dont make a lot of money and my parents make the same, so i am speaking from the bottom of the barrel.
 

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Oh yeah, I know and I agree. I am the only one to blame. But I have this "gotta have it" personality. Drives me crazy. I'm really really trying to curb my spending though. Every time I look at my debt, I feel like kicking myself. But I can't complain to anyone, it's my fault. And I'll get out of it, it'll just take some time. :) My quest for a sugar-daddy continues...

The word "save" has never really been in my vocabulary, unfortunately.
 

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at this point im looking for a sugar daddy/mommy... ;D the only thing i seem to be able to save are reciepts :banghead:
 

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Schram said:
the only thing i seem to be able to save are reciepts :banghead:
:ditto:
 

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bonk1313 said:
Schram said:
the only thing i seem to be able to save are reciepts :banghead:
:ditto:
:ditto: +1

If it wasn't for my 401k, I wouldn't be saving hardly anything at all.
 

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If it wasn't for my 401k, I wouldn't be saving hardly anything at all.
[/quote]

I have been amazed at the statistics (correct, or even if a little exagerated) saying that the average American debt is something like $7,000 - $10-000.. or was it $40K? And that's not home loans; that is furniture, TV's, vacations, cars, etc. I would be scared to have a lot of debt and not have the cash to cover it. Having been layed-off once for only 8 months, I was glad I was able to continue making all my house pmnts, utilities, Christmas, and property taxes. Dad taught me well. That was the essence of "saving for a rainy day".[/color]

S. [/color] <><
 

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I'm with the member formerly known as Smooth[/color] (S.[/color] ?). ;)

My dad lived through the great depression and "pulled himself up by his boot strings" working a variety of jobs and eventually putting himself through college and several post-graduate programs (I think that is the term for it, he ended up w/ a doctorate). It is interesting to hear how a job that paid five cents per day was good work.

Way too much "Want-it-now" these days vs. plan/save for later IMO. I've tried to instill this same information/work ethic into my kids. Sometimes it seems like they don't make 'em like my dad anymore!
 

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SEL said:
Era of easy credit is over...going back to the time of our parents/grandparents when getting credit was a long laborious process...to convince the creditor that you are a worthy debtor for the financial obligation.
I'm with you SEL...and those holding cash will be kings & queens in this economy with much tighter lending rules.
Growing up my mom used to say, "once bitten, twice shy", the lending landscape has been forever changed.
 
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