2011 BMW X5 Wanted Badly with 610 credit score

[AkashV]

Bk Discharge in 12/10

Utilization @ 61%

NFCU Member

TU score @ 610 according to Barclays.

AAoA 10 yrs

2 collection account one paid for traffic ticket recently and the other from ATT in dispute for $1100.

2 Car loans paid in full about 2 yrs ago that I co sign with my wife with cap1.

Income @ 28000.

No rental expense or mortgage.

Students loans in Defferment.

Car price around 30k

Downpayment 5k

Based on the above information would NFCU or any other credit union finance my loan and can credit union use auto enhance scores instead of my current credit scores. i am looking for the best interest rates given the circumstances, the vehicle i look @ has about 45k miles. Any advice or guidance would be helpful.

[CreditDrama85]

hopefully auto enhanced will be higher since you have previous loan. maybe run a cap one blank check application to see what they offer and use it as leverage for a lower APR at the dealer.

and unless you have an existing relationship with credit union i would go to dealer first. Your fico isnt high enough. Refi with a credit union after a year or so. A credit union would likely use a regular fico. and your income and vehicle price are about the same, you may need a co-singer; maybe you might want to consider leasing for lower DTI ratio

[AkashV]

I do have establish membership with NFCU, USAA and Penfed. But I am certain Penfed and USAA will not entertain my credit score. However, NFCU will probably need a co-signer like you said and also I am worried about the new ATT Collection account. I am not sure on how to proceed but thanks for the info. thank you.

[Creditaddict]

1. Take the $5k you have for downpayment and wipe out ALL your credit card debt.

2. Wait for all that to update... literally allow 1 credit card (the $4k limit Navy Card to report less than $100) THATS IT... Make them all report $0 otherwise)

3. Then apply to navy for the car loan but I REALLY think you are in way over your head with this car... you are looking at a $500-$600+ car payment and that's at 72 months and BMW's are VERY VERY expensive when anything goes wrong so 72 months you are just asking for repairs that will put you under later down the road before you are half way paid off and you will be upside down the entire loan practically. I wouldn't do it but my way is your way to do it.

LAST, DO NOT APPLY TO CAPITAL ONE! you have Navy. Cap1 will be a waste of 3 hp's

[AkashV]

I did some research here on the forum and the concensus is that if you use the money to down your utilization it will ultimately increase your credit score thus your interest rates will be lower. However, with zero down I must agreed that  I can eaisly go under but if you consider my wife income of 28k does that change the outcome. she have no obligation right now beside 8k in student loans. Right now I own a MB C300 and a G37 not to brag and I am very handy with these types of car so I am not worried about the repair bills. I am just want the suv as a family vehicle. Am I asking for too much.

[Creditaddict]

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@AkashV wrote:

I did some research here on the forum and the concensus is that if you use the money to down your utilization it will ultimately increase your credit score thus your interest rates will be lower. However, with zero down I must agreed that  I can eaisly go under but if you consider my wife income of 28k does that change the outcome. she have no obligation right now beside 8k in student loans. Right now I own a MB C300 and a G37 not to brag and I am very handy with these types of car so I am not worried about the repair bills. I am just want the suv as a family vehicle. Am I asking for too much.

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Are the MB and Infiniti owned free and clear?

Where is the BMW at? bmw dealer or?

[AkashV]

yes both vehicle is owned. The C300 is my wife vehicle that she use to communte to work and I use the G37 for work. the BMW is listed on cargurus website and the dealer confirm they still have in inventory. The dealer is located in New jersey but it's not a BMW dealer though.

[Creditaddict]

well wouldn't think you could go through process of paying the util. down and waiting for that to update to apply for navy when the car is for sale at dealership now.

[grassfeeder]

use your down payment money adn pay off your cards like creditaddict said.  sell the G37 and use that money for your new downpayment for the X5.  Handy or not, the X5's are an electrical nightmare, and you have two combined salaries under $60k annually....not the vehicle for you.  If you're going to be dead set on getting an X5, get your scores up and get a certified pre-owned when BMW run's their 0.9% Cert Pre-Owned promo's....financing through BMW Financial is much easier than most realize.

[Creditaddict]

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@grassfeeder wrote:

use your down payment money adn pay off your cards like creditaddict said.  sell the G37 and use that money for your new downpayment for the X5.  Handy or not, the X5's are an electrical nightmare, and you have two combined salaries under $60k annually....not the vehicle for you.  If you're going to be dead set on getting an X5, get your scores up and get a certified pre-owned when BMW run's their 0.9% Cert Pre-Owned promo's....financing through BMW Financial is much easier than most realize.

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or even better why not go get a new Q70 Infiniti (the Pathfinder look alike) it even comes in Hybrid and if you work with a good dealer you can get that leased for under $450 on 24 months with under $2k down.