bank loan question

orange150

orange150

Well-Known Member
Joined
Mar 20, 2005
Location
Fairfax City, VA
I am wanting to do my SVO conversion very very soon because I'm very very broke and fuel is very very expensive. Doing some very rough number crunching I figure I will need somewhere in the neighborhood of $3500-$4000 to cover the complete cost of a conversion (kit, fuel tank, pumps, etc.) with a little Just In Case money.

Question is can I (low to no income 22 year old student) get a bank loan to cover that cost? It would have to be a low payment thing because of my income situation. I asked my dad and all he said was "I doubt it". I bank with SECU by the way.
 
You'll have to have some kind of equity in something that you can put up as collaterall. If you have collaterall, sombody will loan you money....but the interest rate is higher for somebody with no proof of income etc. If you have no collaterall, then nobody is going to lend YOU money.

Oh and since we are on investements why would you spend $3,500 to $4,000 that you don't have on something that won't get you a quarter of that in savings over the time you own it. I thought about buying a car at one time and tried to justify it with savings on fuel and although fuel is high, it really didn't add up to as much savings as I thought unless I was working a delivery job where I was always on the road.
 
if you need a place to work on your truck i have plenty of yard space and tools im right here in raleigh too off lake wheeler and penny
 
Think of it this way, how much do you drive? How much do you spend on diesel a month, on average?

Now what would a loan cost you, or the credit card payments if you decided to go that route??

yeah, you might not have to buy that $150 a month worth of diesel, but you are going to have to be paying the loan back, at probably the same rate.
 
You can do a veggie conversion for a few hundred dollars if you are resoureful.
 
well this is how i look at it... which probably isn't the best way:

I spend somewhere around $200+ a month on fuel w/o going anywhere but school, home, and random errands, I haven't been able to afford to drive anywhere else. So with the SVO kit on my truck im spending maybe $100 a month on fuel plus whatever the loan payment would be. BUT, I would then be able to drive out of town again because it would be basically free. And with the loan not being very large I feel that once I do get a steady job it wouldn't be hard to pay off at all. And then once that is paid off I could be saving at least $1200 on fuel costs a year.
 
drkelly said:
You can do a veggie conversion for a few hundred dollars if you are resoureful.
Click to expand...
I am definatly thinking that! The only thing is that the Frybrid kits for my truck seem to have addressed the fuel pump issue fairly well.
This 13.5" long billet aluminum block incorporates a 95 gallon per hour pump for the highest horsepower applications that pulls fuel through a heated cleanable stainless steel 100 micron prescreen then sends it out through a replaceable fuel pressure capsule, pressure switch, temperature switch, check valve and 2 micron heated Donaldson water separating filter to the engine. The block has a built in air bleed that will now automatically purge new filters and bleed any air from the system, returns a small amount of hot fuel to the tank to keep the return line clean in severe cold climates. And the entire block is heated with coolant with no possible cross contamination. This module has spent the last 8 months in R&D, has 20,000 miles of testing with ZERO problems, and without a doubt is the most sophisticated state of the art WVO fuel system money can buy for your Ford Powerstroke.
Click to expand...
afrybrid.com_images_V3_Side_Filter_sm.jpg


I also like their heat exchanger design. But all the plumbing and electrical stuff I know I could handle on my own. but sometimes kits, with everything included right there in front of you, is worth the money.
 
drkelly said:
You can do a veggie conversion for a few hundred dollars if you are resoureful.
Click to expand...

Yeah, I'm kind of wondering what the $3500 price tag is all about.
As mentioned, it's pretty hard to overcome that huge of an investment with gas savings; if you're a student I'm guessing you don't do 25k a year in driving. Maybe you're not a student in Math (j/k!!).

But to answer the question, your options are very slim pickings. If you owned the home, you could get a line of credit. But as mentioned no bank wll lend out over about 2k max w/o having something as collateral - car title (must be worth sig. more than the loan), house, etc.
Paying for it via credit card would be just stupid, given the high interest rate.
 
3 year loan (good luck getting it that long), 11% Interest (if you are lucky), $3,500. $114.59 per month...so now you're over on your total...and you're $1,200 per month savings just turned into a $175 loss over the year and you still can't afford to go out of town. ($114.59 x 12 = $1,375.03 - $1,200 = $175.03)

Do what you want, but from experience I wish I had spent alot less money on sheet I didn't need so I'd have more money now to spend on crap I don't need. :shaking: But I do want you to realize we've made these mistakes before and the match doesn't work out. Its not worth buying it for the reason you say, but if you just want it...go for it. But you will be regretting trying to pay that loan off when you want something else like a new rig or bigger tires, or something important like a house.
 
well i pulled the $3500 from the Frybrid kit which is $1800 + fuel tank which will be, say, $500-$800, there's $2600. then a "HD" transfer pump, about $200, gathering tank $?, and prep my 300gal. holding tank (clean up and paint), and a tad extra in case I goof up on something... which is likely to happen.

And I do have the enviro in mind (thanks NOLS), I will spend $5/gal on bio just because of environmental reason... and it smells good.

I just feel in the long run (I dont plan on getting rid of my truck... at all) it will pay for itself and be cheaper in the end.
 
And are you positive that you have a RELIABLE source of WVO? It would suck to sink all this money into a setup, only to find out that you cant get the oil, or could only get 45% of what you need.
 
I got a 5K loan @ 13.5% over 18 mo. The payment was 313 a mo. It was an unsecured loan so I didn't need to put up any collateral. Could have used it to buy Candybars if I wanted
 
$313/month, definatly not what im looking for.
but this thread is giving me the answers and opinions i was and still am looking for! if there are anymore keep 'em coming
 
Borrowing money to save money is rarely a wise decision.
The only possible exception I could think of right now would be buying a home.
 
well I was thinking I could replace my regular (meaning driving to the farm, lake, beach) monthly fuel cost with a loan payment, in which case it would be ok. but if a loan payment is more than my fuel cost than no, its not that good of an idea.

and yes im fairly certain of an extremely reliable source for WVO
 
I suggest GETTING A JOB! Thousands of FULLTIME students do it every year and I'm sure it hasn't killed one of them yet... Unless you're one of those spindly kids with chronic sniffles?

Or you start pimping to all the hefty chicks like Bogger Boy claims to do for income!

Either should cover additional fuel usage/costs and net you enough for the veggie conversion...
 
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