I'm a grown up person. My credit score in the US is 740. I pay my bills on time (usually by the end of the month - which is why I LOVE my American Express card) and I'm responsible.
In Kuwait, I need a cosigner to finance a car. Why? Because I'm a foreigner. (I WISH the US would impose this rule on foreigners also so we would all be on an equal playing ground.) The co-signer must be Kuwaiti and he/she must have a current job. My friends who are x-ministers/undersecretaries (whose retirement payments are more than most people's normal salaries) can not co-sign because they don't have "jobs". (Bu Nawaf is my oldest friend. I've known him since I was 17 and he offered, but wasn't "allowed" to co-sign. Thank you, God, for blessing me with people like him in my life. I never forget to be grateful.)
So, I have to go begging my Kuwaiti friends to be a co-signer. It is so humiliating and degrading. I don't like to ask anyone for anything. Just thinking about it now is making my palms sweat. I don't want to put my friends in a position where they might have to say no, based on their own financial status (they may have loans or be co-signers for other people or whatever). I don't want it to be a relationship changer.
THIS is exactly why I have been renting cars for the past 5 years. I pay KD 230 a month so I don't have to degrade myself. Now I found a car I love and I might not be able to get it.
Mashallah, I make a good salary. I pay my bills in Kuwait. I don't have any loans. I insisted that my Kuwaiti credit card is secured (it is already paid for with a hold). The car I want, I can pay off in 4.5 months salary, yet that isn't good enough for me to get a loan.
WTF Kuwait? You want to play in a grown-up economy and this is how you conduct business?
I'm disgusted.
If anyone knows of another way, please let me know.
28 January Update
Dudes! I AM an adult! Wow. If I knew min zamaan that I didn't need someone to kafeel me, then I would have bought a car way sooner.
Apparently, it depends on your salary. I'm not quite a VIP at KFH yet, but an IP. Who knew? No need for a co-signer.
Sidebar: I would like to thank Jaber, Bu Nawaf, Adel, and Ali for offering to co-sign before I even opened my mouth (I would rather shoot myself than to have to ask for something. I hate it. I've been working since I was 14 years old - no joke - and I take care of me). You know your friends when you need them. I love my friends and I thank GOD always for bringing them into my life.
And reader-dudes, thanks for your advice on Al-Soor. They are really helpful too and the payments were less than KFH. However, when you finance through Al-Soor, they put the car in THEIR name until you pay it off; unlike KFH which lets you have it in your name and therefore you can sell it immediately for cash if you want to. KFH has "Profit" as an Islamic bank (based on an interest rate). They can't take interest because that's haram, so they call it "profit" (based on an interest rate). Funny that, eh? Anyhooser, even if you pay off the car early, you still need to pay the profit margin. Al-Soor also charges an early pay-off fee (penalizing you for paying off the loan early); and I heard it was around 3%.
Al-Soor NEVER answers their phones. It took me an hour to even locate their number (2296-0300). You have to go there: They're located on the 5th floor of Jassem Tower on Soor Street. From what I have heard from co-workers, you can get all kinds of loans from them.
I've decided to go with KFH. They have been EXTREMELY good to me during the 16 years I have been banking with them. I've never had a glitch (MASHALLAH) and the customer service has been outstanding. They have been nothing but kind.
I didn't go to Commercial Facilities. I bought a crap Discovery from them years ago and I didn't like the service there. I can't tell you about their current offerings/service.
In a few days, Inshallah.......
UPDATE: I am closing this post for comments. I am getting spammed by too many loan companies and that's not what this is about.
12 comments:
I was in a similar position, but I was able to find a certified car at a dealership and the only bank that would give me a loan without a cosigner was the Al-Mulla subsidiary. I can't remember the name off the top of my head, but they have an office cubicle inside the toyota dealership off the 4th ring. I needed to put like 20% down and my interest rate was 8.5% for 3 years. But still much better than my car rental payments.
I was in a similar position, but I was able to find a certified car at a dealership and the only bank that would give me a loan without a cosigner was the Al-Mulla subsidiary. I can't remember the name off the top of my head, but they have an office cubicle inside the toyota dealership off the 4th ring. I needed to put like 20% down and my interest rate was 8.5% for 3 years. But still much better than my car rental payments.
You may want to consider making a personal loan in the US and use it to pay for the car here in Kuwait with cash. However, getting a personal loan now is really difficult, even with an outstanding credit score like yours. Some banks in America will gladly give loans and credit cards even if your income is from an overseas source. Especially if you've maintained an account with them over the years. Wishing you the best! Love the car, it's gorgeous :)
This is what pissed me off the most when I first moved to Kuwait and tried to buy a car. I wanted to be able to drive a nice car and then sell it before leaving. I threw a tantrum at the dealership which probably didn't help the Americans after me secure a loan either. Sorry y'all! Yeah, I'm that girl. ;)
If you go to the Al-soor financing and leasing company you can easily get the loan for the car.
All you need is your salary certificate and 3 months statement beside a guarantor. The guarantor can be of any nationality who is working in Kuwait. You could take your work colleague or any of your best friends who hold a job for this.
I know it doesn’t suites everybody, but I saved first and then bought my car in cash. I didn’t buy an expensive car though. I don’t like to get any kind of loans.
Yes Al Soor is the company which financed my car as well and they are a subsidiary of Al Mulla group. I al most gave up on my car dreams because KFH where my salary was getting credited was bitchy about this Kuwaiti Sponsor thingie and for me I knew no Kuwaiti is ever going to be a gaurantor for a Indian. Al Soor isnt that great a finance company and don't pick the phone but that's the only decent option in this "country"
Their office is in Jasem Tower in Sharq and they never answer the phone. All installments might get charged from the bank. Bloody KFH used to charge me 2 KD every month on a installment payment and it doesn't matter what the amount is. The only saving grace is they work now in the evenings from 4 to 7. I would suggest taking a short term loan with them
I see you using the word "mashalla" alot. are you muslim?
Angelo, you get very personal. Yes I am a Muslim Mashallah. What's it to ya? Its between myself and God.
Thanks for the info on the loan places. I appreciate it. I have 3 people willing to khafeel me (co-sign). I think it should be ok.
Hi DG,
have you tried with your bank here. I have found its easier to get personal loans here. very hassle free, provided your company is registered with the bank.
San - did you read the post? I have been banking with Kuwait Finance House for 16 years. I previously financed (and paid off) another sports car through them (but only by wastah).
Mulla dude at KFH said, "You will NEVER get this car through us." in a very spiteful manner. I showed up the next day with the documents in my hand and said, "I believe this is your boss's boss's boss's signature. When can I have my car?" He told me to go to the ladies side. I told him "No, I like you, Mohammed. I'm going to stay here. Plus, they don't speak English on the ladies side...."
Wastah is a beautiful thing.
It is NOT easy to go through your bank - especially if it is Kuwait F-ing House.
"I believe this is your boss's boss's boss's signature"
ROFLMAO
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