topic Re: Lease Possible? in Auto Loans

Lease Possible?

antso91 — Wed, 07 Jan 2015 13:56:42 GMT

Hello everyone, I am in the market for a new car and currently have a 2015 Grand Cherokee on order. The dealer thinks I have a pretty good shot but I am just extremely nervous. Since I have 6-8 weeks to go he said he wouldnt run my credit until the car is about 10 days out because the approvals only last for 30 days so no sense in taking the inquiry now AND again later. Let me give you a run down of my scores:

EQ 659 TU 670 EX 660 pulled from myfico

Inquries: EQ 2 TU 1 EQ 13

I have had a car loan since March of 2013, never missed a payment. Always paid early and for more than the amount due. I just recently had a judgement removed from my CR's that cause my scored to jump to 675/685/670 however my amex recorded a 99% util and dropped my scores. That has now been completely paid off but the statement has not cut yet (jan 12th) so im expecting the scores to go up slightly I hope. All of my other cards and AU cards have either 0 balance very very low balances, between 0-10% utilized.

Heres my issue, I have two paid charge offs on my accounts from 2012. They were paid in 2013. They are with citi and cap one, I have tried like all hell to have them removed but no success. Is this going to be my downfall? Since these I have never been late or missed a payment on anything. I am hoping the fact that I have a car loan will help me out but its just terrible waiting 6-8 weeks before my credit is even run.

Anyone have any imput? Thank you for the help.

Re: Lease Possible?

guydiver — Wed, 07 Jan 2015 14:18:46 GMT

I think you're going to be fine. As long as your DTI is in line with their standards. Those charge offs have probably done all the damage they can do, and as long as they're paid, you will be in better shape should a manual review be required. You also should recoup some on your scores when that cc reports as paid. You will probably take a hit with your rate though, but I've seen much, much worse come out smelling like a rose. Try not to sweat too much

Re: Lease Possible?

antso91 — Wed, 07 Jan 2015 14:21:20 GMT

@guydiver wrote:
I think you're going to be fine. As long as your DTI is in line with their standards. Those charge offs have probably done all the damage they can do, and as long as they're paid, you will be in better shape should a manual review be required. You also should recoup some on your scores when that cc reports as paid. You will probably take a hit with your rate though, but I've seen much, much worse come out smelling like a rose. Try not to sweat too much

Thanks for the encouragement. I cant begin to tell you how nervsou I am, Its driving me crazy! He said I need to be atleast tier 2 to get the pricing we talked about. Dropping into tier 3 would be bad. I am rooting for atleast tier 2. These 6-8 weeks are going to be just awful ha!

Re: Lease Possible?

djshifted — Wed, 07 Jan 2015 14:25:31 GMT

Hi Antso!

From my experience, a lease should definitely be possible. I recently applied for a lease through several dealers in my search for a car, with the scores in my sig. I do have multiple C/O and collections (unpaid) from 2010 and earlier, though I had perfect payment history on auto loans since August 2012. I was approved for a lease through several companies, including Chrysler et. al. I would say it is likely you can qualify for the lease, though your money factor may not be the greatest. My scores got me in 'Tier 5' and they got me bumped to 'Tier 4' (The dealer pulled TU and EQ). This worked out to having a ~$370/mo payment on a $23,000 vehicle with $2,000 down.

Re: Lease Possible?

antso91 — Wed, 07 Jan 2015 14:29:24 GMT

@djshifted wrote:
Hi Antso!

From my experience, a lease should definitely be possible. I recently applied for a lease through several dealers in my search for a car, with the scores in my sig. I do have multiple C/O and collections (unpaid) from 2010 and earlier, though I had perfect payment history on auto loans since August 2012. I was approved for a lease through several companies, including Chrysler et. al. I would say it is likely you can qualify for the lease, though your money factor may not be the greatest. My scores got me in 'Tier 5' and they got me bumped to 'Tier 4' (The dealer pulled TU and EQ). This worked out to having a ~$370/mo payment on a $23,000 vehicle with $2,000 down.

Congrats on the new car! Thanks for the help. Thats promising to say the least. I would definitely need to be atleast tier 2 so I am hoping for the best. Anything lower than 2 and I think my payment would but entirely too high. Currently for tier 1/2 it would be 399 a month for a 34k vehicle with 2295 down. Hoping for the best!

Re: Lease Possible?

antso91 — Sun, 11 Jan 2015 14:30:17 GMT

Oh another question I wanted to ask was I am an AU on a bunch of my girlfriends cards. Are those figured into DTI as well?

Re: Lease Possible?

antso91 — Mon, 12 Jan 2015 14:11:46 GMT

Just bumping this. Does anyone know if AU accounts are included in DTI? Thanks!

Re: Lease Possible?

sccredit — Mon, 12 Jan 2015 17:21:50 GMT

@antso91 wrote:
Just bumping this. Does anyone know if AU accounts are included in DTI? Thanks!

Yes

Re: Lease Possible?

antso91 — Mon, 12 Jan 2015 17:25:31 GMT

How exactly is it factored in? Do they take the minium payment or something? I'm not sure how DTI works...Thanks for the help.

Re: Lease Possible?

sccredit — Mon, 12 Jan 2015 17:36:45 GMT

@antso91 wrote:
How exactly is it factored in? Do they take the minium payment or something? I'm not sure how DTI works...Thanks for the help.

Yes they factor in the minimum payment listed on your CR

Re: Lease Possible?

antso91 — Mon, 12 Jan 2015 17:44:44 GMT

@sccredit wrote:
@antso91 wrote:
How exactly is it factored in? Do they take the minium payment or something? I'm not sure how DTI works...Thanks for the help.
Yes they factor in the minimum payment listed on your CR

Oh ok, not bad. So if things are reporting a 0 balance, the minumum payment should be 0 when they pull it, correct?

Re: Lease Possible?

Anonymous — Mon, 12 Jan 2015 17:46:56 GMT

@antso91 wrote:
@sccredit wrote:
@antso91 wrote:
How exactly is it factored in? Do they take the minium payment or something? I'm not sure how DTI works...Thanks for the help.
Yes they factor in the minimum payment listed on your CR
Oh ok, not bad. So if things are reporting a 0 balance, the minumum payment should be 0 when they pull it, correct?

Yes

Re: Lease Possible?

antso91 — Mon, 12 Jan 2015 17:48:08 GMT

@Anonymous wrote:
@antso91 wrote:
@sccredit wrote:
@antso91 wrote:
How exactly is it factored in? Do they take the minium payment or something? I'm not sure how DTI works...Thanks for the help.
Yes they factor in the minimum payment listed on your CR
Oh ok, not bad. So if things are reporting a 0 balance, the minumum payment should be 0 when they pull it, correct?
Yes

Ok thank you all for the help. Sorry for all the questions, just very, very nervous about this lease.

Re: Lease Possible?

antso91 — Tue, 20 Jan 2015 13:52:46 GMT

Small Update: a few of my cards I BT'd had the statements cut and it brought my scored up to EQ 688 TU 691 EX 690. My highest EVER. I wont app for the car until its almost in and thats not for a few more weeks, possibly a month. Hopefully my scores stay the same! I dont know how to keep them exactly like this but I am going to try!!

Re: Lease Possible?

antso91 — Tue, 10 Feb 2015 21:33:25 GMT

Small Update for those that care: I was approved today for a Tier 2 lease with Jeep today, my score he pulled was 691 but he did not say which version/CRA they used. Thank you so much for the help over the passed few eyars with this board, I hit my first 700 last week. Now I am 691/688/702.

Re: Lease Possible?

sccredit — Tue, 10 Feb 2015 21:52:14 GMT

Enjoy your new Jeep!!!!!

Re: Lease Possible?

Anonymous — Fri, 13 Feb 2015 04:52:31 GMT

Does it feel GREAT?

Re: Lease Possible?

antso91 — Tue, 17 Feb 2015 19:11:45 GMT

@sccredit wrote:
Enjoy your new Jeep!!!!!

Thank you!!

@Anonymous wrote:
Does it feel GREAT?

It feels amazing! I was shocked! Really thought I wouldnt get approved at all.