topic Re: Capital One Auto loan help... in Auto Loans

Capital One Auto loan help...

RoadtoRecovery12 — Sun, 10 Jun 2012 17:27:12 GMT

Hi, thanks in advance for any help.

A little background info... My wife and I just received our BK7 discharge last Tuesday. We reaffirmed one car, and surrendered the other. To begin rebuilding our credit, we both applied (2 different individual apps) for capital one non-secured cc's. To our amazement, we were both approved for $2000 cl's. Are you kidding me? I did not expect that all! We both signed up for scorewatch here at myFico and my EQ is 648, TU 588 and my wifes EQ is 645, TU 588.

Now to my question.

We need a second car and called around to different banks and discussed what options we might have in securing a loan. Not good news, as we expected.

So I was checking different sites online and decided to roll the dice on applying for a car loan at Capital one since they had just approved our cc's this week. So here goes, my wife and I make apprx. $125,000 combined income and we applied for just $23,000 on our app. We got the notice after 60 secs that more time would be needed and a decision would come in the next 24 hours. It only took 2 minutes and I had the email. We closed our eyes and clicked on the email and to our amazement, WE WERE APPROVED!

Now, it does say they need us to call and verify information before they can mail out the blank check. Sorry it took so long, but here is my question. It gives a chart on APR's, but it is confusing to read if those are our APR's or example APR's. The reason I say that is that the numbers given are not nice easy to follow APR's. Here is a copy of my letter:

Congratulations! We've approved your Capital One Auto Finance® loan application.

To protect your privacy, we need to verify some information with you before we can mail out your Blank Check®. Please call us during business hours so that we may verify any remaining information to complete this approval.

Your Annual Percentage Rate (APR) will be based on the model year* of the vehicle you purchase. See the chart below.

Model Year Annual Percentage Rate (APR)

2012 or newer	7.21%
2011	8.07%
2010 - 2009	8.67%
2008 - 2005	9.67%

*Model year of the vehicle purchased and applicant's credit rating will be the basis for determining APR of vehicle purchases, regardless of mileage or previous title status. Model year refers to the manufacturer's annual production period and may not coincide with the calendar year. Automobile model years traditionally start in the third quarter of the preceding year.

I know the asterisk states the APR is based on the model year and applicants credit, but I was wondering if the chart given is for example purposes, or is this the chart approved for us? Any info you can provide, especially if you have received this as well?

Thanks again and we welcome all comments.

Re: Capital One Auto loan help...

RoadtoRecovery12 — Sun, 10 Jun 2012 19:42:15 GMT

Edit to add:

I was able to check my application status and this is the response:

Congratulations! We have approved your Capital One Auto Finance loan application.

To protect your privacy, we need to verify additional information before we can proceed with your loan. Please call us at 1-800-689-1789 during business hours so that we may verify any remaining information.

You can reach us: Weekdays: 9 am - 9 pm ET Saturdays: 10 am - 7 pm ET

We have already emailed you your conditionally approved terms.

Thank you for choosing Capital One Auto Finance. We look forward to hearing from you soon.

I highlighted in red, the comment that now makes me think the 7.21% in my first post is what I was approved for? Has anyone ever got this low of a rate from cap 1 less than a week after BK7 discharge? Do you think there is some flaw? Sorry, I am tooooooo excited at the moment becuase I NEVER thought this was possible?

Thoughts???

Re: Capital One Auto loan help...

blakbelt — Sun, 10 Jun 2012 21:46:07 GMT

I hope it is true for your sake.

About a year ago I went to a dealership to get a loan my TU score was 650, the finance guy said he searched every bank he had connections with and there was only one that would approve me and it was at 14%

I needed the car and didn't know any better and just said.. OK.. if that is the best you can do.

Now, I see stuff like this and read about other people on this forum getting approved for rates like 7-9% with the same or sometimes worse credit scores.

I don't get it. Either I got completely taken by the dealer, or there are huge huge differences in what rate one bank might give compared to another.

It is very confusing... I am going to keep an eye on this thread to see if what your final results from this is.

Re: Capital One Auto loan help...

RoadtoRecovery12 — Mon, 11 Jun 2012 00:37:25 GMT

Yeah, I hope so too. I spent the better part of yesterday calling only to hear from my local banks and credit unions tell us they would be happy to refi us after 1-2 years of rebuilding our credit. I am the kind of person that this waiting is killing me. I know that I will be on the phone with cap. 1 tomorrow morning at exactly 9 am to find out the deal.

I still keep looking back at the original chart and see that 7.21% and wonder what is the catch? For the better part of this morning, I kept thinking it was an example chart (hence the post). But then I keep reading and re-reading the application website answer where it says they already emailed my approved terms. Ugh... I have already started to collect documents they may want (copy of drivers license, pay stubs, bk7 discharge notice).

Anyone else have any thoughts? Could the 7.21% be a staring point? Will they try to add % points? Ugh....

Thanks for your opinions.

Re: Capital One Auto loan help...

Revelate — Mon, 11 Jun 2012 02:05:05 GMT

blakbelt wrote:
I hope it is true for your sake.

About a year ago I went to a dealership to get a loan my TU score was 650, the finance guy said he searched every bank he had connections with and there was only one that would approve me and it was at 14%

I needed the car and didn't know any better and just said.. OK.. if that is the best you can do.

Now, I see stuff like this and read about other people on this forum getting approved for rates like 7-9% with the same or sometimes worse credit scores.

I don't get it. Either I got completely taken by the dealer, or there are huge huge differences in what rate one bank might give compared to another.

It is very confusing... I am going to keep an eye on this thread to see if what your final results from this is.

That, massive differences even, for a whole lot of reasons too.

To the OP: most tier sheets are starting points. It's gotten to the point that some lenders (Penfed CU) have actually started advertising: "this is a rate that you can ACTUALLY get unlike most lenders;" no kidding, I got that email a week or two ago from them, and then I saw someone's recent approval here with lower than prime scores from them. Oh to have my credit reports and income in shape at the moment =/.

Re: Capital One Auto loan help...

RoadtoRecovery12 — Mon, 11 Jun 2012 02:17:02 GMT

Revelate: yeah, I thought that as I ready more about tiers.

I went back to the cap. 1 site and they are advertising their new car rates as 2.9 for up to 60, and 3.9 up to 72. If my new car rate (tier) starts at 7.21%, does that mean they already figured it out based on my credit pull. If not, wouldn't they just list it as could be as low as 3.9? I just can not figure out how the random number 7.21% came about? I have really been down over the last hour thinking that if its too good to be true, well you know the rest???

Re: Capital One Auto loan help...

RoadtoRecovery12 — Mon, 11 Jun 2012 13:36:21 GMT

UPDATE!!!

IT IS LEGIT!

I just got off the phone with them and everything is a go.

My blank check is for $27,600 (only asked for 23,000)

Rate of 7.21% for 72 months.

Check is good for 45 days and will be mailed out today.

I asked the gentlemen on the phone if there is anything else I needed to do (send any papers), and he said no that they already verified my wife's and my employment this morning and that was why I wasn't given an instant approval.

OH MY GOD! Are you kidding me? I know I need to take a deep breathe, but I would be lying if I said I wasn't going to spend this (responsibly) asap before I wake up?

THoughts???

Re: Capital One Auto loan help...

Revelate — Mon, 11 Jun 2012 15:45:31 GMT

RoadtoRecovery12 wrote:

THoughts???

Take it and be very happy? :)

Sounds like a good deal for an incredibly recently charged BK; however, auto-loans are funny in the sense that they're the easiest loan type to acquire, and not every BK was created equally either for that matter and it wouldn't surprise me if underwriting at any lender can pick that off a credit report too.

In any event, congrats senor!

Re: Capital One Auto loan help...

RoadtoRecovery12 — Mon, 11 Jun 2012 15:52:43 GMT

Thanks...

I even paid the extra $15 to have the check fedex tomorrow. I am wasting no time. The loan is not final until it's final and I'm not taking any chances...

Re: Capital One Auto loan help...

FairCredBen — Wed, 13 Jun 2012 20:15:12 GMT

thats just freakin AWESOME!

Congrats! Let us know what vehicle you get!!! :D

Re: Capital One Auto loan help...

RoadtoRecovery12 — Fri, 22 Jun 2012 22:11:12 GMT

Hi everyone...

Here is my update.

With my loan approval from Capital one, I am happy to report that I just purchased a brand new Chrysler 200. I have been looking at them for a while and with so many incentives and my down payment, I was actually able to switch terms with Cap.1. Yes, that's right, even after just getting my discharge and being offered 7.21 for 72 months, I called them and asked if they could do better if I went 60 months instead and they dropped it one whole point!!!

Here are my final details.

2012 Chrysler 200 limited

MSRP - $28,100 (loaded v6 with sun/sound pack, remote start, all chrome, leather)

Invoice - $26,950

My Price - $25,725

Chrysler cash - $3500

Dealer Incentive - $750

My down payment - $1475

Final amount Financed:

$20,000 @ 6.21 for 60 months = $388.61

I am so excited and thank all of you who have posted your stories and want to let everyone know that it is possible to get a good rate just after a BK7.

Steve

Re: Capital One Auto loan help...

jetsfan2012 — Sun, 24 Jun 2012 10:30:39 GMT

Congrats! I can share the feeling of joy I felt afte rmy BK7 discharged, as I waited about 5 months before looking for auto financing. Cap One had given me a CC 2 months prior, and I too was hopeful that I would get approved. Their auto loan reps are much more customer service oriented than the CC imho...

Re: Capital One Auto loan help...

carloan — Wed, 27 Jun 2012 06:03:28 GMT

Capital One is one of the largest bank holding companies which specializes on credit cards and loans, and I heard most of my friends have tried their refinance and auto loan services which they're quite satisfied about.

Re: Capital One Auto loan help...

huntforfun — Thu, 28 Jun 2012 17:06:34 GMT

Congrats! Im thinking about buying a new car soon and these success stories really make me feel better about my situation (also had BK). Hope you enjoy your new car and hope to hear more about the plan throughout the term and if you have an issue with them in the near future.

Re: Capital One Auto loan help...

kd404 — Fri, 31 Aug 2012 21:48:27 GMT

Roadtorecovery12....I guess by now you know the answer.....that is the rates you were approved for.....I had the same printout and when I recieved my blan check all the finance charges were broken down based upon the rates quoted.....for ex if you purchase a 2012 you will pay 7.21 percent and you will also see the finance charges for the term of the loan. I was approved 3mos w cap one for unsecured cc and one month after bk7 for auto loan. I didn't utilize the blank check as I didn't see a car I wanted in that price range. Good luck with your new car and recovery.