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If you had $313 to budget for a car would you want to buy the older one with all the miles?

A "Poor Credit" Auto Finance Example

Even though these two vehicles are not in the same class this example will provide you with the understanding of how poor credit impacts a consumer.  Using $313 As A Declared Affordable Payment:

Criteria with FICO Score At Approximately 599
$313 at 8.0% Interest Rate for 36 months.  At 4% for the same loan amount at 36 months the payment would be $295.
2006 Mazda 6 in really nice condition. Price to Sell at $10,000 with only 89,000 Miles

Because of the credit score an older vehicle must be considered which means the terms will be shorter.
The same dollars per month with excellent credit (over 720 FICO Score) would allow for a newer vehicle and a longer finance term.
$313 at 4.0% Interest Rate for 60 months.  If you could get 60 month terms, at 8% the payment would be almost $345. 
2009 Honda Civic Sedan (4D) LX in excellent condition.  Price to sell at $17,000 with only 7,200 miles

This is provided as an example using two vehicles up for sale on www.craigslist.org May 14, 2010.