I have been in the slumps lately over a car loan. I kept getting turne down. Credit scores 576-tu, 526-Exp, and 530-Equifax. I needed a new car but jept getting turned down, I was even turned down by Road Loans because some of my income comes from self employment. Long story short. I saw on here were somebody went to a dealership that sold large volumes of cars and was approved. I tried this and it worked. I went to an dealership in my state. I had already been turned down 3 times today, but I was bored and had nothing better to do. Low and behold, American Honda Financial APPROVED me with a 7.9% interest rate on a brand new 2007 car!!!!!!!!!! I am soooo happy. I actually saw the approval letter so I know they will not come back and tell me something different later. How I did it. I had to lay on a sad story to the GM. He called and asked for this deal to be approved and it was. Just like that. Because he deals in volumes he can get things approved. My suggestion to anyone, go to your largest volume dealership and ask to speak with the GM. Tell him your story and have explanations for the derrogatory credit. My credit is bad becaue of past due student loans. I had four collection accounts on my credit report, two paid and two unpaid!
That is awesome that you are approved! Just make sure you are paying a good price too on that vehicle! It is often easier for people with lower credit to buy new than to buy used. Another great place people with low credit shoud try is carmax. No I don't work there, but their lenders finance higher risk because carmax will buy back the car from the lender if there is default. so the lender then really has no risk borrowing to bad credit!
I've been also approved with American Honda and got the car yesterday. They checked only Equifax for me. My score is 737 and I got the car with $0 down and 6.29 APR. The price paid for an Accord SE 2007: $18,500 (MRSP was $22,200). Way to go Honda.
Does Honda do their own financing? From their site, looks like Chrysler/Jeep does their own financing too. Are these companies that do handle their own financing any easier to get loans with? Just curious. I'm gonna try the suggestion people here have given going to a bigger dealership also might try my luck with carmax, just found out from my uncle that my cousin got a car from them and got a good deal.