Hello guys and gals of this board. I've been lurking in this forum for about two months now. Pretty close to buying an RX-8. Just need some advice from you guys.

Going to buy a Black RX-8 with GT package, red/black interior, appearance package, rotary accents, 6-disc cd changer, sparetire kit, cargo net. The dealership offered $500 UNDER INVOICE price.

The OTD price was $32,000. I was ready to buy the car, but the finance department told me I was only qualified for 5.75%. I am planning on putting $5,000 down and my credit score is 731.

I currently own a house and have another car note. Was wondering if 5.75% is too high? Or can I shoot for 3.9%? What kind of APR % are you guys paying out there? Is there a particular bank that would offer the best APR % with my current credit situation? Any suggestions would be greatly appreciated.

Check out Capital One and People First- there's no reason you can't get lower than 5.75% somewhere. My credit is about the same as yours, and I qualified for a 4.25% on my own without my husband, and 3.9% with his help.

The dealer will want you to use their creditor. I.E. they get trades and good records... (to offer low apr's). Right now you would be wise to list your specs, best offer yet including interest rate to all other dealers within 300 mi. You'll get offers back and you can let them fight for you.
Right now dealers all through the US have lots full of them. It's their job to sell and compete! Don't forget to be firm that you will accept best offer pending a overnight test drive (check mileage your driving) and visit with dealership (to address your potential comfort with the service and etc departments.)

If there within a given range. Remember to ask about free extra warranties, cash back, rebates, and etc. Also the initial sell price is ultimately your goal. Either way try to pay it off asap, that way their banks don't win, you do!!!!

Great advice, I second that.

Oddly enough I think it was 60 Minutes that just had an expose on auto dealer financing. Apparently, the finance manager dudes work on commission just like the sales guys. They're not necessarily trying to get the lowest rate for you! They can charge a "dealer reserve" that basically adds a couple points in interest to your payments, which the finance company sends back to the dealership as a lump sum. Of course, there is nothing in any of the paperwork to suggest that you're not in fact paying the higher finance rate to the lender...its all under the table. Now, I'm not saying all or even most dealerships do this...but apparently some of them do. Something to think about...unless they're giving you an oustanding interest rate (5.75% is not outstanding) I would at the very least check a few other non-dealer-affiliated lenders for comparison purposes.

jds