710 credit score and apply for car loan after refi

[Anonymous]

Hi guys. My fico score is 710 and i am in the process of refi my mortgage. I need to buy a car right after i finish my refi. I am not sure how my refi would impact my current credit score (havenot pulled credit for refi yet!)
the car i am looking at is 2014 ML350. With tax and title price would be 53000 ish and i can put about 20k as down doing 72 month loan. Just want to have a general idea of my rate of success in this autoloan right after refi. And how much my credit score is going to drop after the refi. Thanks alot for your help.

Bit of info about me:
Salary is about 3700 per mo
Debt total after refi is 1300.
My local CU said they will do max 50% DTI with score below 700 and 70% DTI with 700+. Didnt ask rate, but i guess would be sky high? I am looking at penfed or other lower interest loan companies, any suggestions?

Again, thanks all for your time.

[Anonymous]

My debt total includes mortgage and my HOA and also 3 credit cards. Thanks! Without refi mortgage, my debt goes up 100, not alot, but with a low income like myself, could mean alot in calculating debt to income ratio i guess.

Had 1 auto loan before, never late and was completed.

[sccredit]

MBFS is currently doing 2.99% APR on the M Class for 72 months.  You should be good to go with that

[Anonymous]

Thank you so much, do you think even with my high debt to income ratio, it would still work? i am looking at about 50-52% debt to income ratio if they approve.

[sccredit]

I think you would be just fine on the approval with MBFS

[dman23]

---

@Anonymous wrote:
Hi guys. My fico score is 710 and i am in the process of refi my mortgage. I need to buy a car right after i finish my refi. I am not sure how my refi would impact my current credit score (havenot pulled credit for refi yet!)
the car i am looking at is 2014 ML350. With tax and title price would be 53000 ish and i can put about 20k as down doing 72 month loan. Just want to have a general idea of my rate of success in this autoloan right after refi. And how much my credit score is going to drop after the refi. Thanks alot for your help.

Bit of info about me:
Salary is about 3700 per mo
Debt total after refi is 1300.
My local CU said they will do max 50% DTI with score below 700 and 70% DTI with 700+. Didnt ask rate, but i guess would be sky high? I am looking at penfed or other lower interest loan companies, any suggestions?

Again, thanks all for your time.

---

I only know what you posted here. You say your salary is $3700/month. ($44,400 annually) I'm assuming that's gross, so take home would be about $2400/month. Why in the world would you want a $53,000 car? Not trying to be an idiot I'm just curious as to your reason. I just bought a 2012 vehicle for $20,000. My credit scores are similar to yours and I didn't have to put anything down. I could have bought a $50,000 new car but I just don't see the point. I have need to impress people. If I have money to burn then maybe I'll buy a $50,000 vehicle. TO me it would make more sense to buy a vehicle for 20-30k with little or no money down and put that 20k towards your mortgage principal.

I'm just playing devil's advocate. As I said I don't know your full financial situation so maybe it's no problem. But if your basing buying a car for $53,000 on a $44,400 salary then that seems foolish.

The car lending standards are pretty loose right now so if you go that route I don't see any problem getting financed, especially with up to $20k down, if needed.

[Anonymous]

Thank you very much for your suggestions, sccredit.

[Anonymous]

Thank you for your input and concern, dman23. I know it sounds foolish to buy a 50k car under a 40k salary, but the ML350 is bigger than our current car (only car we have now is actually a 2 seater convertible), and better suit our needs in the future. The main reason is my wife is pregnant, and my family has given me "baby money" to put towards anything we like. we have thought of your advise, we decided to instead spend the money on vacation/ saving account etc, we are going to put 80% of the money into our mortgage principle (hopefully the monthly payments would drop alot), and 20% to the down payment of a bigger car, since our parents come to visit us once every year. The "baby money" might sound silly, but it's the norm in Chinese culture, when we get married, we had "marriage money" from family; birthday has "birthday money" etc, hehe.

[lambo003]

@david1985 I like the way your culture works lol

[lambo003]

But good luck with getting the M-Benz ML. Its a really nice truck. Im sure you'll like it