Capital One Auto Navigator Pre Approval

[Anonymous]

Im not sure if its the same..  But I was "pre qualified" through the Cap one auto navigator.  I am a card holder with them, all be it a secured card..   Anyways..  I was pre qualified for up to 22k and an interest rate betwen 3.9 and 12%   ( Crazy range huh?  even the dealership thought so)    Given my credit history and small credit file, I long assumed I would be paying on the upper end of the percentage range when I finance a car..  Anyways, I started looking and found a dealership that cap one recommended.. Found a car, took my pre qualifed print out and figured id see what they had to say..  

  Cap one did approve me on a 2014 vehicle with 14k miles.  But it was at 12.1% apr and they also added some sort of fee for me being high risk,  $1500 dollars.       The dealership showed me the offer and the print out from Cap one, so I know they weren't trying to hose me on that end of it.      I flat told them I was not paying that $1500 for being high risk.   So they got cap one to lower it some, but couldn't get the payments where I wanted them, and I didn't really want to be paying a 12% apr..       They ran it through Hyundai Motor Finance, and they came back with an 8.9% apr.   Only catch was I had to agree to some other type of warranty (even though the car was still under factory warranty)    I honestly feel like it was Hyundais way of dinging me for my less than perfect credit.   But I liked the 8.9%  and the numbers basically worked out the same no matter who I went with.   Also, my payments were closer to what I wanted them to be, within 20 bucks to be exact.   So I went with it.

So yeah, the Cap one thing was accurate as far as approving me, but I def didn't get the 6% apr the estimator quoted me at.     But again, I kind of expected that with my credit history..

[Anonymous]

Do you mind me asking what your credit score was? Also did you use the payment estimator on the website putting in the vehicle information before you went to the dealer?

[Anonymous]

Sure.    According my my credit trackers with my credit cards (cap one and Merrick bank)   My score was around 603.      My Fico 8 score at the dealership showed 645..     Which I have heard your Fico 8 score will be 30-40 points higher than your regular score, so that seems right on line.    Through the portal it showed my pay payments would be 260-280 ish at 6%.         Honestly, the car was priced below blue book value by a couple of thousand dollars.     He showed me the offer that he printed out from Cap one.. It was indeed 12% interest and my payment was gonna be around 380 a month.  As far as the $1500 fee that he said Cap one was insisting on adding in due to my credit history, well, that could have been a lie the dealership told to get the car closer to blue book value.   But the 12% interest was true..

I ended up with 8%.  And of course the "extended warranty" thing that I had to agree too in order to get financed.  I think they priced the car below blue book on purpose in order to get you in to look at the car, then get you to fall in love with it, then add the extras in to get the price where they need it to be.    Im ok with it, the amount I financed puts the car right on Blue Book value or a little under.     Obviously with the 8% interest ill be slightly upside down in it, but I figure if I pay more per month than my payment requires a year from now ill be able to re finance at a way better rate.   All said and done, im happy give my credit situation...

Matt

[Anonymous]

And again, don't take my experience as gospel.. There are plenty of others that have had a better experience.   It really depends on your credit picture as a whole.   While my score wasn't the worst score in history, my credit file and history is small..  This was my first ever major credit purchase.   I have 2 small credit cards (paid on time every month)  and that was it.. The rest of the things in my file were derogetory medical bills.   That was why they said it was important to add value to the car from the "warranty thing"  I had to agree too.   Your situation may be entirely different.. If you have bought a car before, or have more in your history, your will likely get a much better right from cap one than I did.

[Anonymous]

I strongly recommend using the autonavigator feature and saving a few cars on it. I soon figured out anything over a 2014 or over 35K miles made the interest rate jump up. Sadly American cars also made the price jump up. I got my best rates with Nissan, Honda, Toyota, Jeep and Mitsubishi. I don't know what the dealr did but I had a car saved in my account that came up with a APR of 2.04% (my range was 1.99 - 7.12%) but they brought me out paperwork saying the best I could get was 3.02%.  I had to pull up my account on my phone to show them. In the end I left with a 1.99% rate and my EX score was only 605. I doubt I could have countered that 3.02% without proof.

[Anonymous]

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@Anonymous wrote:

Im not sure if its the same..  But I was "pre qualified" through the Cap one auto navigator.  I am a card holder with them, all be it a secured card..   Anyways..  I was pre qualified for up to 22k and an interest rate betwen 3.9 and 12%   ( Crazy range huh?  even the dealership thought so)    Given my credit history and small credit file, I long assumed I would be paying on the upper end of the percentage range when I finance a car..  Anyways, I started looking and found a dealership that cap one recommended.. Found a car, took my pre qualifed print out and figured id see what they had to say..  

  Cap one did approve me on a 2014 vehicle with 14k miles.  But it was at 12.1% apr and they also added some sort of fee for me being high risk,  $1500 dollars.       The dealership showed me the offer and the print out from Cap one, so I know they weren't trying to hose me on that end of it.      I flat told them I was not paying that $1500 for being high risk.   So they got cap one to lower it some, but couldn't get the payments where I wanted them, and I didn't really want to be paying a 12% apr..       They ran it through Hyundai Motor Finance, and they came back with an 8.9% apr.   Only catch was I had to agree to some other type of warranty (even though the car was still under factory warranty)    I honestly feel like it was Hyundais way of dinging me for my less than perfect credit.   But I liked the 8.9%  and the numbers basically worked out the same no matter who I went with.   Also, my payments were closer to what I wanted them to be, within 20 bucks to be exact.   So I went with it.

So yeah, the Cap one thing was accurate as far as approving me, but I def didn't get the 6% apr the estimator quoted me at.     But again, I kind of expected that with my credit history..

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Hyundais came up at interest rates in the 4's for me. That took them out of the running.

[MakeItAMudLight]

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@Anonymous wrote:

Im not sure if its the same..  But I was "pre qualified" through the Cap one auto navigator.  I am a card holder with them, all be it a secured card..   Anyways..  I was pre qualified for up to 22k and an interest rate betwen 3.9 and 12%   ( Crazy range huh?  even the dealership thought so)    Given my credit history and small credit file, I long assumed I would be paying on the upper end of the percentage range when I finance a car..  Anyways, I started looking and found a dealership that cap one recommended.. Found a car, took my pre qualifed print out and figured id see what they had to say..  

  Cap one did approve me on a 2014 vehicle with 14k miles.  But it was at 12.1% apr and they also added some sort of fee for me being high risk,  $1500 dollars.       The dealership showed me the offer and the print out from Cap one, so I know they weren't trying to hose me on that end of it.      I flat told them I was not paying that $1500 for being high risk.   So they got cap one to lower it some, but couldn't get the payments where I wanted them, and I didn't really want to be paying a 12% apr..       They ran it through Hyundai Motor Finance, and they came back with an 8.9% apr.   Only catch was I had to agree to some other type of warranty (even though the car was still under factory warranty)    I honestly feel like it was Hyundais way of dinging me for my less than perfect credit.   But I liked the 8.9%  and the numbers basically worked out the same no matter who I went with.   Also, my payments were closer to what I wanted them to be, within 20 bucks to be exact.   So I went with it.

So yeah, the Cap one thing was accurate as far as approving me, but I def didn't get the 6% apr the estimator quoted me at.     But again, I kind of expected that with my credit history..

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I think there are a few fishy things going on here.  First with Capital One I think the $1,500 may have been an aquisition fee but I don't think they're supposed to have the buyer pay it.  They can add it to the price of the car but they can't come out make you pay it as a condition for financing.  

As far as the Hyundai Motor Finance I know you were mislead as they cna't rewuire you to buy an extra warranty as a condition for financing.  I've many places try to pull this over the years but it's still unethical.  The only thing that matters though is you got what you wanted for the payment you wanted but it does always bother me when F&I do this people.  

[Anonymous]

When I put the VIN # in for the Honda HRV that I want, it gives me a 5.69% APR.  I hope that is what I get at the dealer.

[Anonymous]

save that. If possible print that page out and take with you. If you are unsure, call Cap 1 and review with them before you go. I did. When they tried to come at me with a higher rate I told them I had talked to Cap 1 and if their numbers wersn't matching up they could give them a call. Most importantly be prepared to walk away. I also had inquiries out at 2 other dealers. If they had not given me at least a 2.04% I was ready to move on to the next dealer.

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@Anonymous wrote:

When I put the VIN # in for the Honda HRV that I want, it gives me a 5.69% APR.  I hope that is what I get at the dealer.

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[Anonymous]

Yes, the dealership did tell me that THEY had to pay that fee through Cap one.. So they didn't lie on that end..  They were also trying to make me take the warranty on top of that through cap one.. So it was like another 3500 added into the amount financed and at 12%  it just made the car not make sense at 380 a month.. I got them to take the warranty out and through Cap one it was still gonna be 345 a month..   As far as Hyundai, I know I worded it as they MADE me take the warranty.. But they way it was worded was that I had a way better chance of getting approved for the loan at 8% if the warranty was added in..   At the end of it all, my cars blue book value is 17,900-19,000 on KBB.com..  I financed 18k..   Now the 8% is gonna cause me to be a little upside down in it, but overall I am happy.. They hit the range I wanted my payment to be in..  It was my first time buying a car and I was alone..  I did a lot of research before I went, but Im sure they could tell I was new to the process and took advantage of that to a point..   Had I fought harder I probably could have gotten the warranty dropped it saved another 20 or so a month.   But all in all, I felt they treated me pretty well and went to bat for me on the financing..