So... Last Thursday I went to my local branch to refinance my 2017 truck at the behest of my banker. I currently have a 5.6% loan I got in Feb. with a 650ish FICO across the board at the time. Now it is about 40 points higher. While there I applied and was instantly approroved for a Visa Rewards with a starting limit of $10k. Haven't had any dings in more than five years and all major derogatory are removed.
The refi went into review and was denied yesterday. The branch manager was more shocked than I was. He reconned for me, but they refused. They are looking at six and seven years ago he said.
Just amazed they would issue me $10k on a Visa and not redo a truck I've been paying more than the principal every month since I bought it. I work in that car business and I'm scratching my head.
IMO that is a sign of tightening auto credit vs. a healthier credit card market; not much you can do except try another bank/CU
^^^Agree with this assessment.
Banks are going to be at the front end of this tighening. Plus each individual bank/CU or other lender makes portfolio decisions on a regular basis. Check into a CU rather than a bank. OP, it sounds like you are making all the right moves. Don't take their rejection personally.
I would definately try going to a credit union to try and refinance your truck. I am unsure of what PNC's underwriting guidelines are but you may be in excess of their LTV limits which could be a reason for denial. From my experience in recent time's I have found that CU's are becoming increasingly aggressive in the auto lending industry while other lending institution's such as Ally, Wells Fargo Dealer Services, among other's have been tightening up a bit in light of the increased default/delinquincy rates in the Auto Loan Industry. If you do a little research, the car market, specifically in the lending area has been struggling recently, largely in part due to loose lending in the subprime market.