$65K new car loan with a credit score of 630 ??

[Anonymous]

 You will get approved.  Then work on scores so you can refinance ASAP.

[Anonymous]

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@Anonymous wrote:

Thank you all.  I'll keep you posted.

I can drop down about $5K but not certain $5K will swing it one way or the other.   I just wish once you paid a collection account off they didn't negatively impact your score.

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Paying collections does help your credit profile, might not do a ton for your score but a creditor looks at a paid collection differently than an open one.  5k will make a difference to the lender, they mainly want some skin in the game for folks in the non-prime/subprime market because your less likely to walk from a car when you have money in the deal and that is 5k less they have to worry about in depreciation.  Of course the car you are buying isn't taking that depreciation hit like most, don't know that the lender will take that into account but it will help when you go to refinance as your credit improves.

Let us know how it works out.  Love the sound of that car.

[Anonymous]

Stopped at a car dealer today.    Looking to finance a $62K car.   It was a Sunday during a Holiday weekend and the banks werenlt overly responsive as such but this is where things stand.   Ford credit came back (I have a current lease with them now, for the wife, I just picked that up this past March) and Ford would not go higher than $1K/month but the rate was 10.79% for 6 years which means they won't finance anymore than $52K.    The finance manager at the dealer sent my credit out to a few more banks and credit unions but said he won't hear anything back until Tuesday due to the holiday    What are your thoughts?

[Anonymous]

I suspect you will have to wait till after the holiday for the finance guy to work on your loan directly with a lender.  You can try one of the credit unions that many of us suggest like Penfed or DCU but it sounds like your credit is a bit beat up right now so you may not get approved.  Personally I would prefer to shop the credit unions myself over having the dealers finance manager shop for you because they love to mark up the APR for their efforts.  Having said that a solid rebuild plan is really what you need once this car is secured so in 6 months you will be in a position to refinance this car to an APR that doesn't end up costing you an extra 15k or so over the life of the loan.   Without knowing the specifics of your credit it is tough to help really but I think its worth the effort and inquires to try DCU and Penfed to see if you can get approved.  If you have a good local credit union that is also an option and finally putting more cash down may be what it takes to get this deal done.  I was in a very similar position about 3 years ago (buying an Accord not a Gt350 though), I ended up taking a 12.57% loan with Santander, worked hard on a rebuild and 6 months later was able to refinance it to 4.29% with NFCU.  Lenders are getting tighter right now because they are seeing some delinquencies and defaults in the non-prime and subprime markets so that is a factor working against you but don't give up.

[Anonymous]

My rebuld plan is in process and I could not agree withyou more.  My scores were much lower just 30 days ago.   I just want this car and if it should not work out time is on my side.   It;s just interesting to me that I have an existing car loan now with Santander.   I've only had the car 8 months (no lates) the car was $45, and I financed $40.   The car is worth $35 and I owe $36 so it's almsot a wash and my rate is %18.   My credit was low 500's when I purchased this car and I am paying $800 a month.   Now my score is much improved at 630 and it feel like I am getting more pushback on this loan than the one I currently have.   At any rate I apprecaite the kind words and honest feeback.   Keep it coming.  

[Anonymous]

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@Anonymous wrote:

My rebuld plan is in process and I could not agree withyou more.  My scores were much lower just 30 days ago.   I just want this car and if it should not work out time is on my side.   It;s just interesting to me that I have an existing car loan now with Santander.   I've only had the car 8 months (no lates) the car was $45, and I financed $40.   The car is worth $35 and I owe $36 so it's almsot a wash and my rate is %18.   My credit was low 500's when I purchased this car and I am paying $800 a month.   Now my score is much improved at 630 and it feel like I am getting more pushback on this loan than the one I currently have.   At any rate I apprecaite the kind words and honest feeback.   Keep it coming.  

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Santander is a subprime lender. They give auto loans to people with less than perfect credit at higher APR's. Ford, on the other hand, is much harder to get approved with. This is why you're having the exact experience you are having. I'm in the credit rebuilding process myself. I currently have an auto loan with Santander that's about 4.5 years old, always paid on time. I have a 660-670 credit score and I'm trying to finance an older vehicle that most lenders won't finance. That alone is causing me problems and I have a higher score.

Regarding your collections. I would STRONGLY suggest you call up each and every account and simply ask them to remove the collection. This is called a Pay For Removal around these parts and generally is done before you satisfy the debt. You agree to pay it if they agree to completely remove it from your credit. This way it doesn't hurt you for 7 years.

Based on what you've said, I'm not all that surprised you didn't get approved by Ford directly. However, I would be surprised if nobody approved you. Ford is pretty strict but I'm willing to bit someone else will take the risk and pick up your loan.

[Anonymous]

Any update on this?im in a very similar situation but with a private seller so just seeing what the best plan of action would be. Penfed only approved me for 40k.... so no dice