Worth Fixing??

[Anonymous]

Looking to buy a new vehicle by June. I have been sucessful in disputing wrong information on all 3B and Im hoping for a slight increase in over all fico score after the updates process. But I dont know if the updates will impact my Auto Scores

My scores as of today are:

TransUnion:
FicoAuto Score 8: 608
FicoAuto Score 4: 603

Experian:
FicoAuto Score 8: 599
FicoAuto Score 2: 584

Equifax:
FicoAuto Score 8: 613
FicoAuto Score 5: 590

Should I apply with the scores I have now, or is it worth the attepmt to reach a new bracket? Is seems like I will end up with a subprime rate either way? Thoughts? Advice?

I have one old Auto loan still reporting. Paid off in 2009 AFTER being laid off from work. I had 2 30 day lates before paying it off that same year. 

Also, with the scores being what they are, which lenders should I target?

[Anonymous]

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@Anonymous wrote:

Looking to buy a new vehicle by June. I have been sucessful in disputing wrong information on all 3B and Im hoping for a slight increase in over all fico score after the updates process. But I dont know if the updates will impact my Auto Scores

My scores as of today are:

TransUnion:
FicoAuto Score 8: 608
FicoAuto Score 4: 603

Experian:
FicoAuto Score 8: 599
FicoAuto Score 2: 584

Equifax:
FicoAuto Score 8: 613
FicoAuto Score 5: 590

Should I apply with the scores I have now, or is it worth the attepmt to reach a new bracket? Is seems like I will end up with a subprime rate either way? Thoughts? Advice?

I have one old Auto loan still reporting. Paid off in 2009 AFTER being laid off from work. I had 2 30 day lates before paying it off that same year. 

Also, with the scores being what they are, which lenders should I target?

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I think your scores are towards the bottom of being in the 'ok rates zone', but only with some help by the dealer to get financing.

Do you recall what months the two 30 day lates were, from above?  Since they were in 2009, the effect of the lates is small, but anything will help.  If the dates would be rolling off because of the 7 year mark, it will help a little.

If you can make it till around June without buying, I think you will be better off.  I have always been told that dealers have higher prices from February till May because many people get tax refunds, it is easier to sell a car during 'refund season'.

It is generally considered that you need 3 revolving accounts to get a good chance for a score increase.  If you dont have 3, now would be a good chance to get them, even if you need to get secured CCs.

I always recommend State Department Federal CU, as long as you can get clear on the Chex System for closed bank accounts.  You can app for membership, joining the American Consumer Council first, if you dont qualify normally.  You can join ACC for free using coupon code 'consumer'.  After membership, you can contact them and deposit as low as 250 for a secured installment loan, paying it back at 4% APR for 36 months.  Take the proceeds of the loan and use it for collateral for a matching amount secured CC.  And all without a HP, an amazing deal.

Also, check the prequal site for Cap1.  You might be able to get a Cap1 Platinum CC unsecured.

My recommendation would be to wait until your scores are above 620 at least.

Another approach would be to look for a really great deal on a new car now, take the hit on a higher rate loan, and then work towards doing a refi in six months.  That would require that you have a very good LTV ratio on the initial loan now, allowing for the initial depreciation any new car takes during the first month.

And I am one that ALWAYS think it is worth fixing a CR..

HTH

[Anonymous]

The two lates are from April and June of 2009. It might be worth mentioning also that it shows up as two accounts. Started out as a lease and I financed the balloon payment afterwards. Till this very day I swear that salesman is probably enjoying many rounds of golf based off that HORRIBLE deal that I signed. I was fresh in college and knew NOTHING about auto loans. I was 5k upside down on a trade in and I put 5k down payment. 

I did manage to get approved for the Cap One Platinum ($300) and Cap One Silver ($500)  both unsecured. I was pretty suprised. I purposely did not touch anything credit based after being laid off in 2009. I just opened the new cards last month. That counts for at least 2 revolving accounts right? An old secured card that was closed in 2007 is still reporting. Nothing bad on that account other than the fact that I closed it :/

The other two reporting revolving are from Verizon, and Im pretty sure that ordeal is pretty much done with. I spoke with their credit department and they agreed for delete due to their errors. I've already recieved a deletion letter for one of the accounts. But was supposed to get one seperate letter for each account. The rep said that she was sending delete request to all 3B. When they come off, how will that impact my overall score?

[Anonymous]

Forgot to mention also that after pulling my credit, I noticed Cap One Auto Finance had montly soft promotional hits. I got trigger happy after getting approved for two of their credit cards and went in for the "pre-approved auto offer". DENIED, but they rep told me it wont show as a hard pull. 

[Anonymous]

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@Anonymous wrote:

Forgot to mention also that after pulling my credit, I noticed Cap One Auto Finance had montly soft promotional hits. I got trigger happy after getting approved for two of their credit cards and went in for the "pre-approved auto offer". DENIED, but they rep told me it wont show as a hard pull. 

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You definitely want to wait a few months for all the dust to settle with the stuff you have already accomplished. Don't get in a rush.  Do as the previous poster suggested, and open an account with SDFCU, do their secured personal loan, and their secured CC. With the loan, you want to immediately pay all but 10% of it, and then just let it sit there, there won't be any payments due for two years or so. You will have your auto financing in place long before then and you can pay it off at any point after that.

[Anonymous]

I just completed what both of you suggested. 

When I request the secured loan, is there a specific amount that is in my best interest? Or does it even matter? Im somewhat famiiar with Secured Credit Cards. But no experience with Secured Loans.

[Anonymous]

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@Anonymous wrote:

I just completed what both of you suggested. 

When I request the secured loan, is there a specific amount that is in my best interest? Or does it even matter? Im somewhat famiiar with Secured Credit Cards. But no experience with Secured Loans.

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Doesn't matter, just go with the longest terms for the lowest amount. You deposit the funds into a savings account, they in turn, deposit the loan amount in the checking, and freeze the same amount of savings. Each payment you make frees up some of the savings. To do the secured card as well, you would just move the loan proceeds in the checking account into the savings account and app for the secured card. 

[Anonymous]

I believe that I read the lowest amount for an SDFCU secured loan and a secured CC is 250.

I would recommend a 36 month term.

I also think it would be best to get everything in place while you are in the process of becoming a member to avoid a HP.

GL

[Anonymous]

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@Anonymous wrote:

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@Anonymous wrote:

Looking to buy a new vehicle by June. I have been sucessful in disputing wrong information on all 3B and Im hoping for a slight increase in over all fico score after the updates process. But I dont know if the updates will impact my Auto Scores

My scores as of today are:

TransUnion:
FicoAuto Score 8: 608
FicoAuto Score 4: 603

Experian:
FicoAuto Score 8: 599
FicoAuto Score 2: 584

Equifax:
FicoAuto Score 8: 613
FicoAuto Score 5: 590

Should I apply with the scores I have now, or is it worth the attepmt to reach a new bracket? Is seems like I will end up with a subprime rate either way? Thoughts? Advice?

I have one old Auto loan still reporting. Paid off in 2009 AFTER being laid off from work. I had 2 30 day lates before paying it off that same year. 

Also, with the scores being what they are, which lenders should I target?

---

I think your scores are towards the bottom of being in the 'ok rates zone', but only with some help by the dealer to get financing.

Do you recall what months the two 30 day lates were, from above?  Since they were in 2009, the effect of the lates is small, but anything will help.  If the dates would be rolling off because of the 7 year mark, it will help a little.

If you can make it till around June without buying, I think you will be better off.  I have always been told that dealers have higher prices from February till May because many people get tax refunds, it is easier to sell a car during 'refund season'.

It is generally considered that you need 3 revolving accounts to get a good chance for a score increase.  If you dont have 3, now would be a good chance to get them, even if you need to get secured CCs.

I always recommend State Department Federal CU, as long as you can get clear on the Chex System for closed bank accounts.  You can app for membership, joining the American Consumer Council first, if you dont qualify normally.  You can join ACC for free using coupon code 'consumer'.  After membership, you can contact them and deposit as low as 250 for a secured installment loan, paying it back at 4% APR for 36 months.  Take the proceeds of the loan and use it for collateral for a matching amount secured CC.  And all without a HP, an amazing deal.

Also, check the prequal site for Cap1.  You might be able to get a Cap1 Platinum CC unsecured.

My recommendation would be to wait until your scores are above 620 at least.

Another approach would be to look for a really great deal on a new car now, take the hit on a higher rate loan, and then work towards doing a refi in six months.  That would require that you have a very good LTV ratio on the initial loan now, allowing for the initial depreciation any new car takes during the first month.

And I am one that ALWAYS think it is worth fixing a CR..

HTH

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Hi ASBinJax,

You are saying that a person can join State Department Federal Credit Union without a HP?  I did take advantage of joing American Consumer Council using the promo code you provided *Kudos* for that ;-)

Thanks in advance.

[bsal]

Does anyone have the prequel cap1 link ? I would like to apply for a cc I have the same scores he has