app

[delgato]

CREDIT SCORES:

Equifax: 753

Transunion: 708

Experian: 682

 

YOUR CREDIT:

 

Rate your over all credit on a scale of 1-10: 7

Rate your installment credit (auto, mortgage, ect...) on a scale of 1-10:

My only installment history are a bunch of student loans that are coming out of deferrment in November

Rate your credit in the last year on a scale of 1-10:

10

How long have you had credit?

My credit report history will be 7 years old next month. Right now I'm at 6yrs 11 mos.

BK?

NO.

if yes:

 

OPEN ACCOUNTS:

 

Open auto's (yes or no)?

NO

if yes:

1. are you trading your open car in (yes or no)?

NO

2. how many open auto's do you have?

0

3. how did you pay the curent auto (x30 x60 x90)?

never had an auto loan

4. recent lates?

none

 

Current credit card balances (its ok):

Two revolving lines. 1st is dell financial with a 1500 limit and utilization is currently 0%.

2nd is Cap One 20% utilization $2k limit.

YOUR INFO

 

Total Gross Monthly Income (provable): $5250

Can you prove your income (paystubs or tax returns)?

Starting a new job next month. Have an offer letter that can be confirmed with a call to the employer.

 

AUTO HISTORY:

 

Have you ever financed an auto before (yes or no)?

if yes:

NO

1. rate your past auto credit history on a scale of 1-10:

2. who is your current auto financed with:

3. current payment:

4. upside down in your trade (how much $)

 

What You Are Looking For:

 

Are you look into NEW or USED?

if new:

NEW

1. what car or cars?

Honda Accord, Chevy TrailBlazer, BMW 325i

 

Please leave comments that may matter, that have not been asked:

Have a 5 year old MBNA charge off. Credit is perfect since. I am very surprised by my high FICO scores.

 

WHAT WOULD YOU LIKE TO KNOW?

What are my chances of instant approval? What are my chances of manufacturer financing through Honda, GMAC, BMW? Can I get the best rates/incentives? If not, what do you think I could get?

[MarvBear]

How much is the charge off?

[delgato]

$2500

[MarvBear]

I would hope you are in an area of the country that uses Equifax since that is the highest score.

 

System probably will not approve you automatically.

 

From what I read, you have a prior chargeoff of $2500.00 that has exceeded your current credit limit of 2000.00.

 

There is no similar high credit comparable to auto credit, and you are looking at vehicles that are rather expensive.

 

So I am betting they system will kick it out for analyst review.

 

This can go two ways.......... If a lender who scores simply by FICO may very well approve you and your rate will be commensurate with your auto enhanced fico at the time the bureau is approved.

 

However most captives use a proprietafy scoring system that only partially takes into account your FICO score.

 

You might could tilt the scales more in your favor for automated approval with a hefty downpayment as their systems like a low LTV ratio.

[delgato]

From what I read, you have a prior chargeoff of $2500.00 that has exceeded your current credit limit of 2000.00.

 

The charge off was on an MBNA card. My current card is Cap One.

 

o I am betting they system will kick it out for analyst review.

What kind of deal would I get if it was kicked out for analyst review?

 

My down payment would be $3 or $4k. I live in PA.

[MarvBear]

From what I read, you have a prior chargeoff of $2500.00 that has exceeded your current credit limit of 2000.00.

 

The charge off was on an MBNA card. My current card is Cap One.

 

o I am betting they system will kick it out for analyst review.

What kind of deal would I get if it was kicked out for analyst review?

 

My down payment would be $3 or $4k.

 

All I am saying here is that the amount of your charge off with MBNA exceeds your current credit limit with Cap 1. That part does not look good and will probably make the system kick it out.

 

The way I read your app is your previous high credit is 2500 and that is a chargeoff, with a subsequent revolving account with cap 1 with a 2000 credit line.

 

The 4-5k downpayment will help a great deal. If on review the credit analyst approves it will be the same as if the system auto approved.

 

With captive finance sources, the analysts do not do monkey business with the rates, NO PRIME BANK does.

[delgato]

Thanks for your help. I will let you know how it goes.

[delgato]

MarvBear,

 

If you think I am shaky for manufacturer financing what kind of rates should I expect?

[MarvBear]

Guessing again, but if approved strictly based on fico score say 3-5% range

[delgato]

MarvBear,

 

I forgot to mention that I am a recent college grad. I just recevied my masters. While researching online I found out that BMW financial services has a new grad financing program. They said to take proof of graduation and a paystub or job offer letter. Are you famialr with these programs? Are the qualification criteria any different under these programs than from normal manufacturer financing?

[MarvBear]

All the College Grad programs I know about do not allow ANY derog information. Auto rejection with ANY derog info present on your credit files

[delgato]

MarvBear,

 

I was approved for a sub-prime at 4.35% for 32k (the amount I asked for) through synergy bank via lendingtree. I know lending tree crushes you in terms of inq's but this is going to be my only purchase requiring financing for some time.

 

I did some research on BMW FS and I learned that BMW dealers are allowed to monkey with the BMW FS rate in terms of bumping it up and pocketing the difference. I applied for the sub-prime to use as a baseline for when I go in apply for prime. Edmunds is reporting BMW FS's financing deal for this month is 1.9% for the best credit category. I would be shocked if I got that rate if I am even approved for prime at all.

 

What should be my strategy when applying for BMW FS financing at the dealer? Should I reveal what I was appoved for on a sub prime loan before or after I apply for BMW FS financing? Do you think the dealer could find me a better sub-prime loan if I am rejected for prime?

[MarvBear]

4.35% is NOT sub prime rates.

 

But in any case, I would tell the dealership folks that you are already approved, but if you can stand the inquiries, you might ask them that IF they could BETTER your rate, you would finance with them.

[delgato]

Oh ok. I am new to the lingo. I thought anything that wasn't through manufacturer was sub prime. What is the definition of prime and sub-prime then?

 

In any case, considering the charge off I am happy with 4.35%.

[MarvBear]

sub prime loans charge higher interest rates than NORMAL.

 

They may also charge the dealer loan acquisition fees that will be passed on to the consumer resulting in a higher price.

 

There are many known banks such as Household, Americredit, Capital One, Onyx Acceptance etc etc that are sub prime banks.

 

Just because you do not get a loan with the mfg captive finance source does NOT mean it is sub prime lending. What for instance if you secured funds with a Credit Union? That certainly would not be considered a sub prime loan.

[delgato]

My fianancing sailed through without a hiccup!!!

 

I joined this board a year ago with scores in the 500-600 range. My best score now is 750+. This place is an invaluable wealth of information and I owe a debt of graditude to all the people who have responded to my responses.

 

Here are the details of my purchase:

 

BMW 325i at $200 over invoice. I was financed at 2.9% with $3k down, however I could of put $0 down if I wanted, through BMW FS in less than five minutes without the dealer saying a word about my credit. The prime BMW FS rate right now is 1.9%. I am not sure if the dealer tacked on the 1% and pocketed it or 2.9% is what I qualified for. In either case I am not complaining.

 

After thinking about it, I think people who have dings on their credit may have better chances at a luxury dealer because their loan portfolios probably are full of well qualified customers and the portfolio can tolerate some "higher risk" customers.

 

MarvBear, thanks for your posts!

[MarvBear]

delgato:

 

A solid round of CONGRRRRRRRRRRRRATS!!!!!!!!!!!!!!!!!

 

Now post us a pic in the photo sticky and please ad your info to the creditpulls database for future reference.

 

Glad you got what you wanted!!!!!!!!!!!!!!!!!

[delgato]

ok