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Established Contributor
jimbo831
Posts: 977
Registered: ‎02-08-2012
0

Re: I can help, I manage a car dealership.

[ Edited ]

Qsnoodle wrote:

If you get financing FIRST to CU and then go to Dealer for him to beat it - are you not running a "hard" credit check twice? I have a 736 score one the 2nd credit check will bump me down. :smileysad:

 

I wanted to do this BUT I have 3 inquiries and we need two cars - buying 2 weeks apart so that will make 4 inquiries ( 2 cars- 1st CU then Dealer.. OUCH).

 

Thoughts?>??? 

 

I was thinking just enforce to the dealer that you need the 1.99 that they offer and you wont tolerate commssion off your rate. 

 

Ideas?


FICO scores multiple credit checks for auto loans (or mortage loans) as one as long as they are close together.  This allows you to shop around for the best rates.  The time frame depends on the FICO model being used for scoring but ranges from 15-45 days.  So if you get all your checks within 2 weeks, FICO will score them as one in the future.  Also, the effect of credit inquiries is a little overrated.  It makes up a relatively small part of your score and the effect gets smaller and smaller pretty quickly.

 

With regards to tolerating commission on your rate, there is no way for you to know if he is getting one.  And honestly, you shouldn't care if he takes one.  The bottom line is if he can beat the rate you already have.  If you have a 3% approval, and the dealer gets you 2% while still taking a commission, you should still be happy about that.  Simply show them the rate you have and say you will finance with them if they can beat it.

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radiusrod
Posts: 9
Registered: ‎04-10-2009
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Re: I can help, I manage a car dealership.


UpNComing wrote:

radiusrod wrote:

621 TU Score

612 EX Score

 

No lates since September of 2010 and that was one CC.

I have an auto loan through Ally that is $320/48months, 35 to go, never late.

I have a mortgage that is $912 per month that has never been late. 13 months now.

I have CC's that have about 25% usage total.

Bring home $5k a month and been at my work for 8 years.

 

I want to trade in my 02 Denali, hoping to get $6-7K for it and buy something around $16,17000. Should I look around now or should I wait until my score rise, if they ever do. They have been here (+-15 points) for about 2 years now. What kind of rate could i possibly expect?


Depends on the year of the vehicle you're buying.  Near new would get you between 8% to 12% IMHO.  How many miles on your trade?



I'm looking for maybe an 06-07 with something around 50K miles. My yukon has right at 160K miles.

Frequent Contributor
GrowingCredit
Posts: 315
Registered: ‎05-28-2011
0

Re: I can help, I manage a car dealership.


Qsnoodle wrote:

If you get financing FIRST to CU and then go to Dealer for him to beat it - are you not running a "hard" credit check twice? I have a 736 score one the 2nd credit check will bump me down. :smileysad:

 

I wanted to do this BUT I have 3 inquiries and we need two cars - buying 2 weeks apart so that will make 4 inquiries ( 2 cars- 1st CU then Dealer.. OUCH).

 

Thoughts?>??? 

 

I was thinking just enforce to the dealer that you need the 1.99 that they offer and you wont tolerate commssion off your rate. 

 

Ideas?


You can see if the 1st dealer beats the your pre approved rate. If he does than you can take that same preapproval to second dealer and ask him to beat that and if he does than you can simple discard the preapproved auto loan.

TU Auto enhanced FICO (9/2012): 744
EX FICO (8/2012): 748
EX FICO (6/2010): 739
Established Contributor
UpNComing
Posts: 684
Registered: ‎05-02-2008
0

Re: I can help, I manage a car dealership.


Lilybuggy wrote:

UpNComing, hi there, thanks so much for this thread.  I have two questions: I am trying a negotiate a 2012 Buick Enclave with leather package.  I've been going back and forth between various dealers.  Dealer A gave me a great price upfront.  About  $2k below the others.  I then shopped it to Dealer B.  He claimed he could beat it, but of course insisted on the VIN and other specifics I didn't have.  He gave some scare tactics about baiting and switching. I think the salesman was nervous I would just buy the other car, so he came down another $1400.  Anyhow, so Dealer A says that Dealer B VIN is actually at another dealer and doesn't include leather, etc.  I'm not really sure at this point what Dealer B intends to do when I show up.  From my internet shopping, I really don't see how this dealer thinks I will go for an upsell at the dealer.  He has flat out lied to me.  Could he have used a different VIN just for purposes of the quote? Is it even worth stopping by the dealership at this point to see if they would acutally honor the quote?

 

Second qestion, I have financing from PennFed.  We applied for blank check, but PenFed wants a purchase order with total amount to be paid, including down payment, title, tag, fees.  So can I get the purchase order before I actually purcahse the car? Or do I need to sign the contracts and then wait for PenFed to send the check?

 

Thanks


I would simply ask each dealer via email to give you a price quote including all dealer and state fees based on an MSRP.  It may be that neither dealer has the car and needs to locate it.  You simply want to make sure you're dealing with apples and apples.

 

Usually when a customer secures financing from CU the dealer will ask for the opportunity to compete for the loan.  If not then they will most likely require you to have the check from the CU on hand when taking delivery.  The only "contract" you will be signing at the dealer will be a buyers order.

CSP ($5k); Chase MileagePlus Explorer Visa Sig. ($6k); Chase Freedom Visa Sig. ($6k); BankAmericard Cash Rewards Visa Sig. ($5k); Amex PRG (NPSL); Amex BCE ($1k); Citi Thank You ($5.4k); Barclay Apple ($4.2k) CapOne Cash ($2.5k) CapOne Platinum ($2.5k) Wells Fargo Home Project Visa ($10.3k) Discover IT ($1.5k) WalMart ($3k); Lowes ($3k); Amazon ($5k); Kohls($1.5k)

Scores: Equ Fico 715 ~ Exp 724 ~ TU Fico 682
Established Contributor
UpNComing
Posts: 684
Registered: ‎05-02-2008
0

Re: I can help, I manage a car dealership.


emily504 wrote:

UpNComing 

We are looking to buy new car soon. My score is in mid 700 with annual income 103k and my husband abour 82k. We bought our home about 2 years ago with the monthly mortgage payment about 3000. My current report show that that i have credit card DTI about 50%. However I recently just paid off my credit bill to DTI ratio 20% but the cc report has not reflect yet still show 50% util. what is our chances to get approve for arround 55k car loan with 50% down? Should I wait till my credit report update? I have credit history about 14 years now. Have 1 car loan applied back in 2001 and paid off on 2006. A few late on the auto loan back on 2004 and 1 late 30 days back on Jan 2006 on credit card. 


You'll qualify for top tier rates now.

CSP ($5k); Chase MileagePlus Explorer Visa Sig. ($6k); Chase Freedom Visa Sig. ($6k); BankAmericard Cash Rewards Visa Sig. ($5k); Amex PRG (NPSL); Amex BCE ($1k); Citi Thank You ($5.4k); Barclay Apple ($4.2k) CapOne Cash ($2.5k) CapOne Platinum ($2.5k) Wells Fargo Home Project Visa ($10.3k) Discover IT ($1.5k) WalMart ($3k); Lowes ($3k); Amazon ($5k); Kohls($1.5k)

Scores: Equ Fico 715 ~ Exp 724 ~ TU Fico 682
Established Contributor
UpNComing
Posts: 684
Registered: ‎05-02-2008
0

Re: I can help, I manage a car dealership.


radiusrod wrote:

UpNComing wrote:

radiusrod wrote:

621 TU Score

612 EX Score

 

No lates since September of 2010 and that was one CC.

I have an auto loan through Ally that is $320/48months, 35 to go, never late.

I have a mortgage that is $912 per month that has never been late. 13 months now.

I have CC's that have about 25% usage total.

Bring home $5k a month and been at my work for 8 years.

 

I want to trade in my 02 Denali, hoping to get $6-7K for it and buy something around $16,17000. Should I look around now or should I wait until my score rise, if they ever do. They have been here (+-15 points) for about 2 years now. What kind of rate could i possibly expect?


Depends on the year of the vehicle you're buying.  Near new would get you between 8% to 12% IMHO.  How many miles on your trade?



I'm looking for maybe an 06-07 with something around 50K miles. My yukon has right at 160K miles.


IMHO you are $2000 to $3000 high on your trade hopes.  I think you'd qualify for a rate high single digits.

CSP ($5k); Chase MileagePlus Explorer Visa Sig. ($6k); Chase Freedom Visa Sig. ($6k); BankAmericard Cash Rewards Visa Sig. ($5k); Amex PRG (NPSL); Amex BCE ($1k); Citi Thank You ($5.4k); Barclay Apple ($4.2k) CapOne Cash ($2.5k) CapOne Platinum ($2.5k) Wells Fargo Home Project Visa ($10.3k) Discover IT ($1.5k) WalMart ($3k); Lowes ($3k); Amazon ($5k); Kohls($1.5k)

Scores: Equ Fico 715 ~ Exp 724 ~ TU Fico 682
Regular Contributor
MsTucker09
Posts: 225
Registered: ‎02-16-2009
0

Re: I can help, I manage a car dealership.


UpNComing wrote:

Lilybuggy wrote:

UpNComing, hi there, thanks so much for this thread.  I have two questions: I am trying a negotiate a 2012 Buick Enclave with leather package.  I've been going back and forth between various dealers.  Dealer A gave me a great price upfront.  About  $2k below the others.  I then shopped it to Dealer B.  He claimed he could beat it, but of course insisted on the VIN and other specifics I didn't have.  He gave some scare tactics about baiting and switching. I think the salesman was nervous I would just buy the other car, so he came down another $1400.  Anyhow, so Dealer A says that Dealer B VIN is actually at another dealer and doesn't include leather, etc.  I'm not really sure at this point what Dealer B intends to do when I show up.  From my internet shopping, I really don't see how this dealer thinks I will go for an upsell at the dealer.  He has flat out lied to me.  Could he have used a different VIN just for purposes of the quote? Is it even worth stopping by the dealership at this point to see if they would acutally honor the quote?

 

Second qestion, I have financing from PennFed.  We applied for blank check, but PenFed wants a purchase order with total amount to be paid, including down payment, title, tag, fees.  So can I get the purchase order before I actually purcahse the car? Or do I need to sign the contracts and then wait for PenFed to send the check?

 

Thanks


I would simply ask each dealer via email to give you a price quote including all dealer and state fees based on an MSRP.  It may be that neither dealer has the car and needs to locate it.  You simply want to make sure you're dealing with apples and apples.

 

Usually when a customer secures financing from CU the dealer will ask for the opportunity to compete for the loan.  If not then they will most likely require you to have the check from the CU on hand when taking delivery.  The only "contract" you will be signing at the dealer will be a buyers order.


I had the same question.....so if I go to the dealer on Sat (CU is closed) and I decide to purchase the car, will they give me something to give to the CU so they can get their check? Also so iif I chose to use my CU, could they sell the car to someone else over the weekend until they receive the check from the CU and would I give them my DP after I get the check from the CU to give to them?


Starting Score: EQ 462 9/30/11
Current Score: TU 577 4/10/12 EQ 607 4/10/12 PLUS 627 4/10/12 Beacon 5.0 621 lender pull 4/13/12
Goal Score: 650


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Established Contributor
UpNComing
Posts: 684
Registered: ‎05-02-2008
0

Re: I can help, I manage a car dealership.


GrowingCredit wrote:

Qsnoodle wrote:

If you get financing FIRST to CU and then go to Dealer for him to beat it - are you not running a "hard" credit check twice? I have a 736 score one the 2nd credit check will bump me down. :smileysad:

 

I wanted to do this BUT I have 3 inquiries and we need two cars - buying 2 weeks apart so that will make 4 inquiries ( 2 cars- 1st CU then Dealer.. OUCH).

 

Thoughts?>??? 

 

I was thinking just enforce to the dealer that you need the 1.99 that they offer and you wont tolerate commssion off your rate. 

 

Ideas?


You can see if the 1st dealer beats the your pre approved rate. If he does than you can take that same preapproval to second dealer and ask him to beat that and if he does than you can simple discard the preapproved auto loan.


If you get a dealer that is willing to give in to your no commission demand then they may be willing to show you your approval and give you buy rate.  You can't expect the dealer to make no money on your transaction though.  You have to expect the dealer will make something while at the same time keeping yourself guarded.

CSP ($5k); Chase MileagePlus Explorer Visa Sig. ($6k); Chase Freedom Visa Sig. ($6k); BankAmericard Cash Rewards Visa Sig. ($5k); Amex PRG (NPSL); Amex BCE ($1k); Citi Thank You ($5.4k); Barclay Apple ($4.2k) CapOne Cash ($2.5k) CapOne Platinum ($2.5k) Wells Fargo Home Project Visa ($10.3k) Discover IT ($1.5k) WalMart ($3k); Lowes ($3k); Amazon ($5k); Kohls($1.5k)

Scores: Equ Fico 715 ~ Exp 724 ~ TU Fico 682
Established Contributor
UpNComing
Posts: 684
Registered: ‎05-02-2008
0

Re: I can help, I manage a car dealership.


MsTucker09 wrote:

I had the same question.....so if I go to the dealer on Sat (CU is closed) and I decide to purchase the car, will they give me something to give to the CU so they can get their check? Also so iif I chose to use my CU, could they sell the car to someone else over the weekend until they receive the check from the CU and would I give them my DP after I get the check from the CU to give to them?



MsTucker09, once you pick out a car the dealer will require a deposit to secure it and supply you with a buyers order to take to your CU.  Make sure they have a stock number and VIN on the buyers order.  If they sell the car out from under you after that point then they are not someone you want to do any business with.

CSP ($5k); Chase MileagePlus Explorer Visa Sig. ($6k); Chase Freedom Visa Sig. ($6k); BankAmericard Cash Rewards Visa Sig. ($5k); Amex PRG (NPSL); Amex BCE ($1k); Citi Thank You ($5.4k); Barclay Apple ($4.2k) CapOne Cash ($2.5k) CapOne Platinum ($2.5k) Wells Fargo Home Project Visa ($10.3k) Discover IT ($1.5k) WalMart ($3k); Lowes ($3k); Amazon ($5k); Kohls($1.5k)

Scores: Equ Fico 715 ~ Exp 724 ~ TU Fico 682
Regular Contributor
MsTucker09
Posts: 225
Registered: ‎02-16-2009
0

Re: I can help, I manage a car dealership.


UpNComing wrote:

MsTucker09 wrote:

I had the same question.....so if I go to the dealer on Sat (CU is closed) and I decide to purchase the car, will they give me something to give to the CU so they can get their check? Also so iif I chose to use my CU, could they sell the car to someone else over the weekend until they receive the check from the CU and would I give them my DP after I get the check from the CU to give to them?



MsTucker09, once you pick out a car the dealer will require a deposit to secure it and supply you with a buyers order to take to your CU.  Make sure they have a stock number and VIN on the buyers order.  If they sell the car out from under you after that point then they are not someone you want to do any business with.


okay great, thank you so much.  I am going to try one of their preferred lenders first so I can drive away in the car the same day and wont have to wait until monday to take delivery on the car.


Starting Score: EQ 462 9/30/11
Current Score: TU 577 4/10/12 EQ 607 4/10/12 PLUS 627 4/10/12 Beacon 5.0 621 lender pull 4/13/12
Goal Score: 650


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