Capitol One Auto Loans

[kevmel]

Greetings;

Hi 500 credit score and have business ccard with Capitol One with good payback history. Need a new/used vehicle and wondering if anyone has used Capitol One for an auto loan? Thanks for the feedback! Kevin

[Remember0]

I'm sure tons of people here have used Capital One. What exactly is your question?

I have not had an auto loan with them specifically. But from what I know, they tend to be easier to work with/are a "better" servicer than other subprime lenders. That is COF won't charge fees for online payments, etc...They do prime loans as well, but with a 500 FICO (is that your FICO from this site? If so, what bureau? Or where is the 500 from?) you will likely face high interest rates with any bank, including Capital One.

[determinedteacher82]

I used Cap1 just last week to finance a 2013 Hyundai Sonata...and my fico (EQ) is 546. I have a credit card with them that is in good standing but do have 6 open collections and several baddies from 07-08 that will be falling off shortly. I applied online and got denied, but then went to the dealer and got cap1 approval in about 2 hours. I'd recommend going in.

[SamsungHDTV]

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@determinedteacher82 wrote:

I used Cap1 just last week to finance a 2013 Hyundai Sonata...and my fico (EQ) is 546. I have a credit card with them that is in good standing but do have 6 open collections and several baddies from 07-08 that will be falling off shortly. I applied online and got denied, but then went to the dealer and got cap1 approval in about 2 hours. I'd recommend going in.

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Most lenders separate their direct and indirect lending departments. Indirect being more flexible of course. But still this is interesting.

[determinedteacher82]

15.99 APR on a 72mo loan, though. Paying for the past while preparing for the future...now to get these open collections taken care of so I can re-fi down the road.

[kevmel]

Greetings;

Thanks for all your feedback. I did do some further research and I guess that due to the fact that purchasing a car is often a quick/muliti day process that the loan inquiries that occur only count as one (1) inquiry on your credit report. I am assuming that a normal person would only do 2-3 applications over the days leading up to the actual purchase. I'm going to reach out to the dealer where the car is and get her feeling as to what the best route to go (direct or indirect) as she might know if a lender that has a higher approval rate for poor credit. I do know that they do get a $300-$400 finders fee for getting a loan approval. I'll let you know what I find out. Thanks again. Kevin

[Remember0]

They'll NEVER tell you to do it by yourself because of that commission. They also get more money if they jack up the rate they get from their lenders.

I'd highly recommend you apply to maybe one or two local banks/CUs or heck even capital one online first. Then see if the dealer can beat what you get.

At the very least if you go to the dealer first, be mentally ready to walk out and ask for time to shop if you are quoted something high (say >10% with a 500s FICO).

[kevmel]

Thanks. I have received one of their pre-approved/$30K offers via email--Anyone know if it's actual a "pre-approval" or just a way to get you to apply online? I've been directed to specific dealers (and yes, I do know that there's a ton of Capitol One approved dealers) and have figured out that they probably contact Capitol one---So I'm not sure if the offer is connected from the CCard or from the dealer.

[Remember0]

I think it's to get you online. Maybe someone with exact experience can chime in here. You'll probably not have issues with approval though, the question is APR.