topic Re: Refi Current Auto Loan with Unpaid Tax Lien in Auto Loans

Refi Current Auto Loan with Unpaid Tax Lien

jetsfan2013 — Sun, 30 Dec 2012 20:44:50 GMT

My current car loan is through Cap One, and I purchased in March 2012. At time, loan was for 17,000 at 12.6% for 60 mo(08 Toyota Camry).

I have continued to rebuild my credit since then, and at the 1 year mark, I was thinking of trying to refi. I attempted to in October, but local CU denied me due to the

unpaid federal tax lien(though I have an installment plan in place with IRS). Ironically that wasnt an issue with Cap One when this loan originated.

Any thoughts on possible options? I plan on keeping this car, but would like to lower interest and payment if possible

Re: Refi Current Auto Loan with Unpaid Tax Lien

pizzadude — Mon, 31 Dec 2012 02:32:38 GMT

I'd definitely keep trying to a refi. Was the tax lien an issue because it was hurting your scores or because it was negatively affecting your DTI, or just because it was unpaid ?

Re: Refi Current Auto Loan with Unpaid Tax Lien

Anonymous — Mon, 31 Dec 2012 10:28:08 GMT

Re: Refi Current Auto Loan with Unpaid Tax Lien

jetsfan2013 — Sun, 06 Jan 2013 21:44:02 GMT

From what I understand, the CU made it an issue because it was unpaid. I showed them proof of the installment agreement the IRS has in place for me and asked for a recon with that payment amt but was still shut down. I was kinda bummed because I hate wasting inq on my credit, and though I love the current car I have, I dont wanna pay the rate I have forever.

Re: Refi Current Auto Loan with Unpaid Tax Lien

Anonymous — Mon, 07 Jan 2013 13:02:12 GMT

Tax liens can be considered worse than bankruptcy to lenders. I'm sorry you didn't get approved. You can keep trying or wait until the tax lien is paid off.