Well I would guess that her approval chances are excellent if those are FICO scores you are quoting. Her income is enough to carry both car notes without other major obligations. Even though she is a co-signer on the other note the bank is going to look at it as an obligation to her, but the perfect payment history is a big help.
When you say she has no rent or mortgage to pay, I assume you mean because it comes from your salary. But if there is a joint mortgage on her credit reports that is going to affect the debt to income ratios. If necessary I believe you can disclose household income (yours and hers) on the loan application without your actually being a part of the loan.
Her best move would be to apply for the auto loan through your regular financial institution (bank or CU) and then challenge the dealership to beat the rate she gets. No need to send multiple applications out on your own.
Starting Score: 500's
Capital One actually does offer some decent rates for good credit and that could be a viable option. I agree with the poster above, stay away from any lender whose primary purpose is sub prime credit loans. There is nothing wrong with going to the dealer and just letting them handle the financing either. The recommendation for preapprovals is simply so you know where you stand beforehand. Not all dealership finance offices are out to get you. Most will give you the best rate that they can secure for you. After all they want to sell cars.
I've read recent articles where they state that the dealers true profit center is in the service department. I guess that must be true. My local dealer does 30 -100 cars a day in the service department and I know that they are not selling that many even on a weekend day.
@HeavyDuty wrote:I'll tell her to give Capital One a shot before she goes shopping.
Wife and I have terrible experiences when buying cars and the financing part is the worst.
I have bought 5 cars and there was never a time when I felt good after coming out of the financing office.
Because you need to know as much about financing, and how finance managers wheel and deal, before you walk in... Forget monthy payment amounts. Figure what you want the total amount financed to be, then calculate the payments yourself and how long you want to pay. Do this with trying to capture the lowest interest rate you can. Use a credit Union if you can, and put down the largest amount possible that you can afford.
@mtrsprt wrote:
@HeavyDuty wrote:I'll tell her to give Capital One a shot before she goes shopping.
Wife and I have terrible experiences when buying cars and the financing part is the worst.
I have bought 5 cars and there was never a time when I felt good after coming out of the financing office.
Because you need to know as much about financing, and how finance managers wheel and deal, before you walk in... Forget monthy payment amounts. Figure what you want the total amount financed to be, then calculate the payments yourself and how long you want to pay. Do this with trying to capture the lowest interest rate you can. Use a credit Union if you can, and put down the largest amount possible that you can afford.
Great advice.
Op, you are starting off well by consulting the forum.
Research is your biggest ally in the car search.
Look through the stickied threads and see if you find anything useful.
There are so many aspects of an auto deal to negotiate and have knowledge on. Good luck in the car search.
