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Established Member
6speed
Posts: 26
Registered: ‎02-23-2013
0

Where to App w/ 600 and Cosigner for Blank Check

Hey all, 

 

I've got a car that has a) a horrid interest rate (thanks to my past, but it's getting better relatively fast) and b) incredibly fast-dwindling value (it's a Saab). I'd prefer not to lose my gardening spade, but now is the time to dump this for greater long-term financial "gain". The short of it is that I'm not sure exactly which car I want yet (21k budget), and would prefer to go into a dealer with pre-approved financing if possible. I'll be putting down a max of $4,000 and can get out of my trade for what I owe with a little negotiating. I have full access to USAA, as can the cosigner I'll be using once I add her, and I'll more than likely be using their car buying service. Would it be a good idea to go to USAA first when the situation is this:

 

Me - 603 EXP; perfect auto loan history, $10k/year income (full-time student, part-time university employee)

Cosigner - 655 EXP; perfect auto history, new mortgage and home equity loans in August '13; $35k (on paper, verifiable) income 

 

Or should I try and go through Chase (my other bank), Cap1, etc? I'd like as few inquiries as possible; ideally, I'd like to see the first pull yield an acceptable approval (<8-9%). Any input? I've been reading around and all indicators point to my using the cosigner as the 'primary' borrower, even though I'll be the one paying for it. Thanks in advance to all who reply!

 

For reference, if it makes a difference, my top choice is a 2013 Civic Si, and I MUCH prefer to buy new due to the (supposed) easier approvals/willing to play ball on my trade/interest rates/USAA car buying discount.

Hereby sentenced to no fewer than 12 months in a maximum security Garden for my crimes against my FICO. (10/11/13)

Starting Score: 475 (2/11/13)
Current Score: 624 (12/24/13)
Goal Score: 650, for now
Valued Contributor
Dustink
Posts: 3,097
Registered: ‎10-02-2012
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Re: Where to App w/ 600 and Cosigner for Blank Check

Sounds like income and credit are both issues here.

 

Might be rough getting an approval.

 

Have you logged into USAA to see if you have a pre-qual?

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%
Established Member
6speed
Posts: 26
Registered: ‎02-23-2013
0

Re: Where to App w/ 600 and Cosigner for Blank Check

I don't on my own, so (as a rep stated) it wouldn't be offered with my current income levels. For the record, this will be my fourth car loan (all but the current have been prime, with SunTrust). I've had approval on my own by Santander at 16%, which is clearly ridiculous and would be a lateral move.

Hereby sentenced to no fewer than 12 months in a maximum security Garden for my crimes against my FICO. (10/11/13)

Starting Score: 475 (2/11/13)
Current Score: 624 (12/24/13)
Goal Score: 650, for now
Established Member
6speed
Posts: 26
Registered: ‎02-23-2013
0

Re: Where to App w/ 600 and Cosigner for Blank Check

Update: I got financed yesterday, on my own, for a 2014 Toyota Corolla S Plus. 9.29% through Toyota directly. Can't believe how smooth everything went. Not the greatest rate, but less than the gouging I got from Santander on my last car.

Hereby sentenced to no fewer than 12 months in a maximum security Garden for my crimes against my FICO. (10/11/13)

Starting Score: 475 (2/11/13)
Current Score: 624 (12/24/13)
Goal Score: 650, for now
Regular Contributor
KoolDev
Posts: 230
Registered: ‎09-26-2013
0

Re: Where to App w/ 600 and Cosigner for Blank Check

Congrats !

My Sock Drawer: Care Credit $4200-0, JCP 2100-0, Chase 3000-0, Chase Freedom $4500.00-0, WF $1000.00-0.00
In Use: NFCU Visa Sig $17.5k- 0.00k
I still have too MANY CARDS
Starting Score 538
Current Score Oct 30-14 701 fico Eq-- 745 Fico Tu-- 713 Fico Ex
Established Member
6speed
Posts: 26
Registered: ‎02-23-2013
0

Re: Where to App w/ 600 and Cosigner for Blank Check

Thank you! It's really the small steps that lead to the big victories that make maintaining/improving your credit worth it. I never thought I'd have jumped back into prime territory (for cars or credit cards) so soon. These forums are a goldmine!

Hereby sentenced to no fewer than 12 months in a maximum security Garden for my crimes against my FICO. (10/11/13)

Starting Score: 475 (2/11/13)
Current Score: 624 (12/24/13)
Goal Score: 650, for now
Valued Contributor
Dustink
Posts: 3,097
Registered: ‎10-02-2012
0

Re: Where to App w/ 600 and Cosigner for Blank Check

You got approved for a new car on $800 per month income?

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%
Moderator
Revelate
Posts: 9,732
Registered: ‎12-30-2011
0

Re: Where to App w/ 600 and Cosigner for Blank Check

[ Edited ]

Dustink wrote:

You got approved for a new car on $800 per month income?


Less than 50% DTI, napkin math 356ish payment on a 17k loan at that APR and it's not like any real taxes are paid at that income.  Near 20% downpayment plus cosigners for students throw off a lot of things: it's an easy loan to make when we're talking secured loans, and I can certainly see TFS underwriting that loan.

 

That car likely keeps it's value pretty well, looking at it from an underwriting perspective, probably break even or better if the individual flakes in the first couple of years, and they can always go after the cosigner: it's one thing when the big faceless bank is sending nasty grams regarding payment to an individual, it's another thing entirely when a likely family member is banging on your door :smileyhappy:.

 

6speed: congrats on the ride!

 

 

 

 

 

 

 

 

Starting Score: EQ 561, TU 567, EX 599* (12/30/11, EX lender pull 12/29/11)
Current Score: EQ 04 673, EQ 8 707, TU 720, EX 702* (09/02/14, EX older)
Goal Score: 700 on EQ '04 (01/01/15)


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Valued Contributor
Dustink
Posts: 3,097
Registered: ‎10-02-2012
0

Re: Where to App w/ 600 and Cosigner for Blank Check

[ Edited ]

Revelate wrote:

Dustink wrote:

You got approved for a new car on $800 per month income?


Less than 50% DTI, napkin math 356ish payment on a 17k loan at that APR and it's not like any real taxes are paid at that income.  Near 20% downpayment plus cosigners for students throw off a lot of things: it's an easy loan to make when we're talking secured loans, and I can certainly see TFS underwriting that loan.

 

That car likely keeps it's value pretty well, looking at it from an underwriting perspective, probably break even or better if the individual flakes in the first couple of years, and they can always go after the cosigner: it's one thing when the big faceless bank is sending nasty grams regarding payment to an individual, it's another thing entirely when a likely family member is banging on your door :smileyhappy:.

 

6speed: congrats on the ride!

 

 


" I got financed yesterday, on my own"

 

I assumed no cosigner, and it seems more like 10% down after tt&l.

 

I guess the banks will do anything to try to get a 10% return on their money. It doesn't seem like a matter of dti, but rather a matter of having no money left over each month. Car payment, insurance, gas, and maintence will be around $800 per month.

 

Congrats on the OP. I'm sure you have other income streams so it's fine. Just from a stated income perspective, you got a tough loan.

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%
Established Member
6speed
Posts: 26
Registered: ‎02-23-2013
0

Re: Where to App w/ 600 and Cosigner for Blank Check

[ Edited ]

I have a trust that I also draw off of while I'm in school to pay for expenses, plus my income. That allowed me to show a bit more, and was likely what sealed the deal. I ended up putting $6k down to compensate for negative equity.

Hereby sentenced to no fewer than 12 months in a maximum security Garden for my crimes against my FICO. (10/11/13)

Starting Score: 475 (2/11/13)
Current Score: 624 (12/24/13)
Goal Score: 650, for now

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