Buying a friend's car....?

My boyfriend is planning on buying his friend%26#039;s car. His friend still owe $18,000 on this car. When he bought the car, they had a promotion of 2.9% APR. Now if my boyfriend decides to buy the car, obviously he wont get the 2.9%. My question is, if he takes out a loan for used car, is it from a private party or dealer? And I%26#039;ve heard that credit union offer the best loan rate?

Note: His credit score is excellent with less than $500 credit card debts in total.

*Sorry if its a stupid question...not very familiar with auto loans.

Buying a friend%26#039;s car....?credit repair

If he is buying the car from his friend...then obviously not dealing with a dealer...your boyfriend would have to get a loan from a bank....regardless local or internet lender...He has to come up with the money on his own by putting in a credit application and getting a loan himself.

Buying a friend%26#039;s car....? loan

He can take over the loan from whoever financed the friend%26#039;s car. It will not be at the same rate most likely, but if your BF has good credit, this should not be a problem. I am assuming that your boyfriend will borrow the balance of the loan. Start with the original lender.|||He can get a loan through ANY lender: his bank or credit union, a manufacturer%26#039;s lending department (GMAC or Toyota Credit for example), the dealer probably has several lenders with which it works, a separate lender (Capital One Auto Finance for example).

A credit union usually has the lowest rates. This is because they are %26quot;non-profit%26quot;, they return all profits to the members through higher interest rates on savings and lower interest rates on loans.

However, it is always best to shop around for the best rate.

NEVER FINANCE THROUGH THE DEALER. While this is the easiest most convenient way to get financed, it is also almost always the most expensive. This is especially true for used vehicles. The dealer%26#039;s finance manager gets a cut for %26quot;selling%26quot; you a higher rate. Yes, the dealer makes money when you finance through them; even if they do not lend the money directly!|||you are right abotu the credit unions loans. he has better chances of getting a auto loan with a bank that knows him. preferably his own bank. my advice is do not get a loan through the dealer or thrid party. most dealers will give you the rate of the credit union but will add there own rate to that as well.