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Member
ModernSteel
Posts: 10
Registered: ‎04-05-2013
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Honda financing?

When i was younger i was approved for a loan through Honda financing(2.9% on 23k). The loan was paid as agreed. Now i have less than perfect credit, would my previous record with the company play a favorable decision in approving me for a 25k loan with a 10k down payment?

Established Contributor
SamsungHDTV
Posts: 566
Registered: ‎10-25-2011
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Re: Honda financing?


ModernSteel wrote:

When i was younger i was approved for a loan through Honda financing(2.9% on 23k). The loan was paid as agreed. Now i have less than perfect credit, would my previous record with the company play a favorable decision in approving me for a 25k loan with a 10k down payment?


Yes you're previous relationship will help. How much? ..not so sure. And then again they may look at any previous car loan as favorable. Because they will go with an auto enhanced fico. Also, they don't care about down payment as directly favorable. But it will help you're DTI calculations of course, so that helps. When I applied, I offered a 10% down payment, but they said it wont be necessary and wouldn't help the approval process much. 

I'm a personal banker and do a lot of auto loans serving the Houston area.
I suggest first time car buyers to read the sticky guide in the auto loan section.
I try to check these forums often, but if I missed your post, please feel free to message me with a link to it.
Valued Contributor
Dustink
Posts: 3,097
Registered: ‎10-02-2012
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Re: Honda financing?


SamsungHDTV wrote:

ModernSteel wrote:

When i was younger i was approved for a loan through Honda financing(2.9% on 23k). The loan was paid as agreed. Now i have less than perfect credit, would my previous record with the company play a favorable decision in approving me for a 25k loan with a 10k down payment?


Yes you're previous relationship will help. How much? ..not so sure. And then again they may look at any previous car loan as favorable. Because they will go with an auto enhanced fico. Also, they don't care about down payment as directly favorable. But it will help you're DTI calculations of course, so that helps. When I applied, I offered a 10% down payment, but they said it wont be necessary and wouldn't help the approval process much. 


That is completely inaccurate. The down payment directly influences the risk to the bank. It makes the collateral worth more than the amount of the loan. A down payment that large can give you plenty of negotiating power. You can demand to be bumped up a risk tier as part of the deal.

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:23    


     $17k       $8.5K          Closed          $19k      $6.5k        $24.2k        Closed         $5k       Closed     $8.5k        Closed      @2.49%
Member
ModernSteel
Posts: 10
Registered: ‎04-05-2013
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Re: Honda financing?

Sounds like a good idea. I'm currently at the dealer ship. Lets hope we strike a good deal. 500 below invoice on the Honda sport with all season floor mat , splash guard , trunk try for 22,400 before ttl , good ?
Member
ModernSteel
Posts: 10
Registered: ‎04-05-2013
0

Re: Honda financing?

update: Thank you everyone for contributing. I just got approve for .9% financing from american honda , today i'm a proud owner of a new 2013 honda accord! yay! *happy dance

Regular Contributor
coreyb80
Posts: 107
Registered: ‎07-26-2012
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Re: Honda financing?

Congrats!

Valued Contributor
Dustink
Posts: 3,097
Registered: ‎10-02-2012
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Re: Honda financing?


ModernSteel wrote:

update: Thank you everyone for contributing. I just got approve for .9% financing from american honda , today i'm a proud owner of a new 2013 honda accord! yay! *happy dance


Nice! They gave you the promo financing deal for top tier credit! Sweet.

 

Did you put down the large down payment?

Too many INQs & low AAoA so I'm off to tend the Garden.     Age:23    


     $17k       $8.5K          Closed          $19k      $6.5k        $24.2k        Closed         $5k       Closed     $8.5k        Closed      @2.49%
Valued Contributor
FocusedAndDetermined
Posts: 6,439
Registered: ‎01-05-2013
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Re: Honda financing?


ModernSteel wrote:

update: Thank you everyone for contributing. I just got approve for .9% financing from american honda , today i'm a proud owner of a new 2013 honda accord! yay! *happy dance


Awesome - congrats!

Member
ModernSteel
Posts: 10
Registered: ‎04-05-2013
0

Re: Honda financing?

Thank you ! Yes, I did. That piece of info gave me more confidence. :smileyhappy: The only issue now is my paranoia of dings and dents :-/

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