Reply
Valued Member
afr4life06
Posts: 49
Registered: ‎09-12-2013
0

Capital One Blank Check success story

This is one of the most amazing sites i have ever gotten involved in. It is great seeing that i am not the only one in the rebuilding stages in my life with all the mistakes i made as a young kid. Anyway i said that i would talk about my journey with Capital One Blank check if everything went well so someone in my position can see there is still hope.

 

Well first off my credit score is 525EX 525EQ 503TU. Now you can see with this scores i was very skeptical about even a chance to get a new loan on a car. I decided i had nothing to lose but getting denied. With a new better Job and leap of faith i applied for BOA auto loan, Credit Union and Capital One. Capital one was the only to respond back immediatey with 18k 110%LTV 17.26% APR. Not really good as far as the APR but i was too excited to even care. The journey begins to find a new car.

 

I have a car now which i got from a Buy here, Pay here place when i was 21. With no guidance or anything i got the car without even knowing what terms i was signing for. Fast forward 3 yrs later i realized it was for 72months 28% on a 9k car that was worth 7k when i got it and i figured out they dont even report it to the credit bureau and i have been on time with all my payments thinking it would help. VERY STUPID of me, i just wanted to go back in time and slap myself for not thinking. so with a new loan, i planned on getting rid of this car, and just starting from scratch, but i made sure i was equipped with all the info i could have, and that is when i ran into this site.

 

Ok now i wanted to trade my car into the new loan, and roll over the negative equity. I read everywhere that this was bad because i would just be digging the hole deeper. Now i realized this but i still wanted to do it because with the knowledge i have gotten from this forum, i had a plan. New job in hand, i could pretty much handle the negative rollover and then take about a Yr to rebuild my credit to worthy numbers and just refinanced the new car saving money in which i could still add more into it. This is where things get tricky

 

The 110% LTV with no money down was the only hump that i couldnt overcome because of the negative equity from the old car. I searched hi and low and no one would do it unless i put large amount money down which wasnt an option at the time. Luckily i had someone interested in taking over my payments on the old car until i can either pay it all off or he would. So i just searched for a car by itself. 3 weeks into shopping,I ended up buying a brand new car maxing out the whole 18k. I think the dealership def caught me in a good mood cause when i took the car home i wasnt too happy with it. Thank goodness the dealership made a mistake and wrote the amount for the car higher than the LTV would allow and capital called me and told me i could take the car back and start all over which of course the dealership didnt like. Oh well

 

I realized i didnt really understand the whole LTV lingo so i called capital one and they explained it to me. They also told me that the easiest dealership to go with would be carmax because that was the only dealership in which they look at the price of the car and add the 110% LTV to determine the exact amount. This made life easy cause i just went to the nearest carmax, got the car i actually wanted cheaper than the previous new car purchase and save a lot of money. 

 

So with all that said, i would like to thank Capital One for giving me one more chance cause i know not many would even touch my app with the scores i have. Now time to make good on this loan pay on time and rebuild credit so within a yr i would be able to refinace with a better APR. I hope this helps someone out there. READ through this forums and dont be discourage, we have to start somewhere and i am glad i have this forum to help me with that. Thank you to all.

Starting Score: 525 TU 515 EX 510 EQ Oct '13
Current Score: 624 TU 610 EX(May 2014) 625 EQ May '14
Goal Score: 700 and a Home in 3yrs
Valued Contributor
Dustink
Posts: 2,980
Registered: ‎10-02-2012
0

Re: Capital One Blank Check success story

Congrats on the new car.

 

Make sure your other auto loan is getting paid. They don't report good history but chances are they will report bad history.

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:21    


     $14k          $8.5K          $7.5k          $7.5k         $6.5k             $6k             $5k            $5k             $5k              $5k           NPSL       @ 0%
Valued Member
afr4life06
Posts: 49
Registered: ‎09-12-2013
0

Re: Capital One Blank Check success story

Thank you very much,

 

Yea i gonna make sure of that, i was thinking to just let them take the car back since im in the rebuilding stage already and pay the difference during the auction but i think it be better long run to make sure it gets paid still

Starting Score: 525 TU 515 EX 510 EQ Oct '13
Current Score: 624 TU 610 EX(May 2014) 625 EQ May '14
Goal Score: 700 and a Home in 3yrs
Valued Contributor
Dustink
Posts: 2,980
Registered: ‎10-02-2012
0

Re: Capital One Blank Check success story

Can you pay extra on it each month?

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:21    


     $14k          $8.5K          $7.5k          $7.5k         $6.5k             $6k             $5k            $5k             $5k              $5k           NPSL       @ 0%
Community Leader
Senior Contributor
StartingOver10
Posts: 4,058
Registered: ‎03-06-2010
0

Re: Capital One Blank Check success story


afr4life06 wrote:

Thank you very much,

 

Yea i gonna make sure of that, i was thinking to just let them take the car back since im in the rebuilding stage already and pay the difference during the auction but i think it be better long run to make sure it gets paid still


^^^Definately don't let them take the car back. If you get a repo in the rebuilding stage it will set you waaaayyyy back. Then you not only have to pay the car note, but the repo fees and all kinds of penalties.  Do whatever you have to do to have your new car payment made and the old one made on time too. Yes, the old one doesn't report timely payments, but as pointed out, the second you are late they will report to the CRA's.

Congrats on getting your new loan. Once you get past the 600's you can then refi into a better rate. Maybe you can get your friend to refi the other car so you don't have to follow up every month on the payment to make sure it is made on time.

Valued Member
afr4life06
Posts: 49
Registered: ‎09-12-2013
0

Re: Capital One Blank Check success story

Yes i can juggle both payments so i think that is what i am going to do. thanks for that advice on the refinc, that def makes sense and i will look into that. Next up on the list are secured cards so help with the rebuilding process

Starting Score: 525 TU 515 EX 510 EQ Oct '13
Current Score: 624 TU 610 EX(May 2014) 625 EQ May '14
Goal Score: 700 and a Home in 3yrs
Valued Contributor
Dustink
Posts: 2,980
Registered: ‎10-02-2012
0

Re: Capital One Blank Check success story

Yeah, agree with the other poster. You want to get the other car refied into their name. So you aren't at fault if it goes unpaid.

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:21    


     $14k          $8.5K          $7.5k          $7.5k         $6.5k             $6k             $5k            $5k             $5k              $5k           NPSL       @ 0%

myFICO is the consumer division of FICO. Since its introduction 20 years ago, the FICO® Score has become a global standard for measuring credit risk in the banking, mortgage, credit card, auto and retail industries. 90 of the top 100 largest U.S. financial institutions use the FICO Score to make consumer credit decisions.

>> About myFICO
FICO Score - The Score that matters
Click to Verify - This site chose VeriSign SSL for secure e-commerce and confidential communications.
Fair Isaac Corporation is a BBB Accredited Financial Service in San Rafael, CA
FOLLOW US Social Media Facebook Twitter Pinterest Google+