A Car Financing Fairy Tale

by Don Elliott on May 12, 2011

Once upon a time, a Prince of a Guy needed a good used car value. He headed down to Fantasyland Used Cars to pick out a ride fit for a King. After searching high and low, he spotted a Sleeping Beauty parked over on the side of the lot. She was the one and only car that could awaken his Princely potential.

You see, the Prince had tried everything else; fancy clothes, expensive haircuts and his Royal spa. The Sleeping Beauty was the missing link that could make all his dreams come true.

“I’ll take it!” he said to the Toll Collector. “Send the bill to my father, the King.”

“Not so fast!” said the Toll Collector. “We need cash for this car! The King has proclaimed you to be your own man. He won’t co-sign your loan. Fantasyland Used Cars can arrange car financing for you. How is your credit? Do you know your credit score?”

Well, the Prince of a Guy had never really thought about his credit score. Sure, he had overspent his budget. Sure, he had neglected some bills, but he had a good job over at the White Castle. Surely he could work something out with the Toll Collector so that he could buy his beautiful Sleeping Beauty.

The Toll Collector referred him to Faire Isaac. Faire Isaac ruled over the secret FICO number calculation process. Across the land, FICO scores where known by many names, but all came to be known as the credit score. A score of 800 is very, very good. A score of 350 is very, very bad. And no score at all is very common but not good when applying for car financing.

The Prince of a Guy learned that his credit score was not high enough to qualify for the Toll Collector’s best financing package. A credit score of 720 or better was needed to get the best interest rates and most attractive terms. However, the Toll Collector worked with the Prince of a Guy and found financing that required more down payment money and a higher interest rate.

In the end, he got his Sleeping Beauty, but he paid a steep price. He learned from the car financing experience that he had to be more AWARE of his credit score. He also learned that, by staying within his budget and paying his bills on time, that he could live happier ever after.

Are you looking in Fantasyland for car financing? Send us a comment if this Fairy Tale was helpful to you.

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