topic Re: Capital One Auto Financing in Auto Loans

Capital One Auto Financing

Anonymous — Tue, 19 May 2015 20:15:07 GMT

I guess I may just be a cynic, but the Capital One process seems too easy to me. My current truck is getting up there in miles, so I decided to apply online for financing for a new truck. In short order, I was approved for $40,000 with far better rates than I was expecting to receive. Using their Navigator, I was surprised at the low interest rates they were offering me (my scores are in the low to mid 600's). I then read that they would require that I fill out a separate application at the dealership, which now has me skeptical about the legitimacy of the original approval. In addition, when I applied online, they said that they did not need any documents from me. I called them to ask what I needed to bring to the dealership with me and they said all I would need is a form of ID. I found it hard to believe that they did not need to verify income, residence, etc. as well before approving the loan, so I had figured this would happen at the dealership. Since I have just accepted a new job, which I start soon, I was nervous about how they would verify income and I am now nervous this will happen at the dealership, or even worse, a few weeks after I drive the new vehicle off of the lot. Perhaps these forums and others like them have just made me worried about this process and it really is just this easy.

I guess my questions are:

1.) Has anyone else received a loan from Capital One without having to provide any documents besides ID?

2.) I have read Capital One horror stories on these boards, but they all seem to be about pre-approval. Does anyone have experience with the new Capital One Auto Navigator loan process, as opposed to the old Black Check program? In applying online they pulled a hard inquiry from all three bureaus, so I am not even sure what the purpose of the loan application is at the dealership. In fact, the woman I talked to said Capital One does not pull the file again, it is just for the purpose of finalizing the actual loan documents.

3.) Has anyone been approved online and then later denied or asked to provide documents at the dealership stage? I just want to have my bases covered when I am ready to buy and not encounter any surprises.

Thanks in advance for your replies. This board provides a lot of good information, but I wanted to start a new thread that specifically deals with the new way Capital One is doing auto financing and approvals, which seems to be a recent development.

Re: Capital One Auto Financing

Mortera81 — Tue, 19 May 2015 21:30:43 GMT

Hey there! Just passing along my recent experience with them. Just so you know my scores are in the low to mid 600's as well. I applied last Tuesday on a whim thinking I would never get approved, thought what's the worst that can happen other than a no. I got an instant approval. Was approved up to 40k with an apr range of 2.24-7.65 depending on the car I would buy. I had an eye on an Audi A3 so I looked up the vin number and entered it into the auto navigator and voila up came the "estimated price" of the vehicle and the actual apr that I would get. Super easy process...keep in mind the more money you borrow the higher the interest rate. I also called capital one in disbelief like you haha, but they said everything was legit and to just go to a participating dealership which you can also find on the auto navigator. I then began my search for best price. Emailed several dealerships looking for the absolute lowest price possible, asking for actual drive out quotes and not just random numbers. Ended up choosing a car I wanted and the dealership with the lowest price. Friday afternoon I walked up in there(after completing their application online) and test drove the car I wanted. Told the guy I wanted it, told him I had capital one auto finance up to 40k and told him I had already filled out their own app online. (You have to fill out the dealer's application because that's the only way they can print out all the paperwork for you, they link your application with the capital one auto application). Had my new car within an hour. No hassle, no hey how much do you want to pay a month lets go back and forth, no down payment, nothing. It was a great experience and my interest rate was actually pretty good considering I had a repo 3 years ago(when I was inundated in debt-thankfully debt free now). So hopefully your experience is as great as mine! Keep in mind anything over the 40k you have to pay out of pocket which I had to. Total for me came out to 43k so I just paid the extra 3k. Not stressful at all and my first payment is already set up for 6/29/15. Good luck to ya!!

Re: Capital One Auto Financing

Anonymous — Tue, 19 May 2015 21:33:11 GMT

Capital One or the dealership did not ask you for any documents? This is the part that just blows my mind. Congrats on your new car. Hopefully, I will have a success story by the end of the week too.

Re: Capital One Auto Financing

Mortera81 — Tue, 19 May 2015 21:33:57 GMT

Forgot to add they also didn't request anything from me. No income verification and no employment verification. I've only been at my new job and new place since January because I relocated from Dallas to Houston. But they didn't question anything. I don't know if this makes a difference for them but I've had two CCs with them for the last 7 years and the util on one is 0% and the other I have at 1%. Maybe customer loyalty of some sort? Don't know if you have accounts with them or not.

Re: Capital One Auto Financing

Mortera81 — Tue, 19 May 2015 21:34:49 GMT

Both capital one and the dealership didn't ask for anything. At all. Only thing dealership asked for was my drivers license to test drive the car lol.

Re: Capital One Auto Financing

CH-7-Mission-Accomplished — Tue, 19 May 2015 23:39:46 GMT

@Mortera81 wrote:
Hey there! Just passing along my recent experience with them. Just so you know my scores are in the low to mid 600's as well. I applied last Tuesday on a whim thinking I would never get approved, thought what's the worst that can happen other than a no. I got an instant approval. Was approved up to 40k with an apr range of 2.24-7.65 depending on the car I would buy. I had an eye on an Audi A3 so I looked up the vin number and entered it into the auto navigator and voila up came the "estimated price" of the vehicle and the actual apr that I would get. Super easy process...keep in mind the more money you borrow the higher the interest rate. I also called capital one in disbelief like you haha, but they said everything was legit and to just go to a participating dealership which you can also find on the auto navigator. I then began my search for best price. Emailed several dealerships looking for the absolute lowest price possible, asking for actual drive out quotes and not just random numbers. Ended up choosing a car I wanted and the dealership with the lowest price. Friday afternoon I walked up in there(after completing their application online) and test drove the car I wanted. Told the guy I wanted it, told him I had capital one auto finance up to 40k and told him I had already filled out their own app online. (You have to fill out the dealer's application because that's the only way they can print out all the paperwork for you, they link your application with the capital one auto application). Had my new car within an hour. No hassle, no hey how much do you want to pay a month lets go back and forth, no down payment, nothing. It was a great experience and my interest rate was actually pretty good considering I had a repo 3 years ago(when I was inundated in debt-thankfully debt free now). So hopefully your experience is as great as mine! Keep in mind anything over the 40k you have to pay out of pocket which I had to. Total for me came out to 43k so I just paid the extra 3k. Not stressful at all and my first payment is already set up for 6/29/15. Good luck to ya!!

Can I ask what the final rate you received was?

Re: Capital One Auto Financing

Mortera81 — Tue, 19 May 2015 23:54:06 GMT

Sure, the final rate I received was 4.56 and that was with me borrowing the full 40k.

Re: Capital One Auto Financing

ezdriver — Wed, 20 May 2015 01:27:17 GMT

Congratulations.

My experience with CapOne is downright weird. I applied online several weeks ago and have heard nothing from them ... nada! I'm wondering now if my online app was ever really completed.

Re: Capital One Auto Financing

Dj4Money — Wed, 20 May 2015 02:24:24 GMT

EZ did you call Capital One?

I am just waiting for my scores to update and my first target is Capital One.

Another posted was approved for 19K and the lowest rate was 4.56% depending on how much she borrowed. To my knowledge that rate is variable because they have no idea what your going to buy with the money. If you get a new car, I am fairly sure the rate will be reasonable.

But she's going in another direction hoping a local Nissan dealer will come through (maybe it has, I haven't scrolled down yet). It helps to know what you want like the OP does, an Audi A3.

The person I am talking about just wants to get out from under a high interest car loan....

Re: Capital One Auto Financing

Anonymous — Wed, 20 May 2015 11:47:42 GMT

@Mortera81 wrote:
Sure, the final rate I received was 4.56 and that was with me borrowing the full 40k.

will you let me know how many total inquiries did you have on each bureau after you sealed the deal? One inq on each bureau would be IDEAL.

The rate for 40k or 19k seems to be the same from posts here? what gives? Did you do a joint application with Cap1. Is approval different with Joint (not a co-signer).

Is it recommended to do joint if

FICO Scores Varies(500's v/s 600's)

Paystub available for joint

Previous Auto Loan Experience already (would that really bring down the rate).

@Mortera81 wrote:
Sure, the final rate I received was 4.56 and that was with me borrowing the full 40k.

Re: Capital One Auto Financing

Mortera81 — Wed, 20 May 2015 17:06:33 GMT

They did one inquiry on each bureau for me. As for the approval amounts I'm assuming that's based on income. And it was not a joint app. Just me.

Re: Capital One Auto Financing

Anonymous — Thu, 21 May 2015 01:54:41 GMT

You are saying the dealership did not have their own inquiry aside from 3 inquiries for cap1? interesting?

Re: Capital One Auto Financing

Anonymous — Fri, 22 May 2015 18:53:00 GMT

Thanks for these posts. I had two previous auto loans through Cap One, and both were at high interest rates. The last one was with the old blank check. After reading your posts, I applied online because I need to buy a car in June. The rate range quoted was between about 2 and 5%. No verification was requested, and it is a load off my mind to know that I won't need to provide it at the dealer either. My scores are in the mid to upper 600s, with two of them nearing the 700 mark. While I have good income, the process of verifying it would have been cumbersome. I'm so happy!

I was planning to go through DCU, but I wouldn't save any in the end, so I'm not going to bother. They would probably ask for income verification, which I don't have time to bother with right now.

Re: Capital One Auto Financing

Anonymous — Sat, 23 May 2015 00:40:46 GMT

Well, I just found out I was denied from DCU (don't really understand why). So, I figured I would try out Capital One. I applied online and was instantly approved! I couldn't believe it? Additionally, they aren't asking for any proof of income?

For all of you with experience through Cap One Auto financing, my questions to you are this:

1. How accurate is the 'Offer Calculator'? I put in the vin of the cars that I have picked out (just a matter of which one I can get the best price for).

2. Does Cap One not consider brand new 2014 cars a brand new loan? The one I put in was a 2014 brand new but it was giving me an error message until I selected the 'used' option.

3. The estimated loan amount and APR for the brand new 2014 was $37,251 / 3.35% APR & for the USED 2015 (4,500k mi) was for $38,569 / 2.45% APR. Is it really that much better to get a loan for a new year car even though the 2014 is brand new still?

The estimated approval for a 2015 brand new is for the full $40k / 1.96% APR. That is better than anything I anticipated and especially after I just got denied from DCU?

Last question - I have to go through an 'eligible' dealer? I will then essentially need to apply again there?

I just don't want to get my hopes up again and then be denied... thank you all in advance for your help!

Re: Capital One Auto Financing

Dj4Money — Sat, 23 May 2015 05:59:10 GMT

One problem with Capital One is they no longer offer Blank Checks. They work more like a captive lender as you have to work inside their network of dealers which work for used and new cars. Now most dealers don't know that and they'll try to beat it; it's an important tactic to get pre-approval. However most importantly is to talk price, price, price, price until a price is agreed on.

As to your 2014 NEW question, just tell the dealer what Cap One offered don't need to tell them they won't do it on a new '14. The captive lender will beat it...

Re: Capital One Auto Financing

Anonymous — Sat, 23 May 2015 13:28:58 GMT

Thank you.

So I can count on the loan / APR quotes Cap1 gave me online?

Re: Capital One Auto Financing

Anonymous — Sun, 24 May 2015 18:38:52 GMT

I would ask why would you think there will be a problem?

You have an approval don't you? I would definitely count on my cap1 approval and go heads high.

The only thing I would ask at the dealership is if they will pull a HP again on you at the dealership.. If you are absolutely happy with the APR you got from them ask to sit in front of the F&i manager and watch his screen at the dealership. I don't trust F & i managers at dealerships. have a paper ready to showing the F & I manager explaining his willingness to sign a document saying there won't be any HP on any bureau without your permission. Watch his reaction to it. Should be fun.

Let me know if any additional HP pull occurs at Dealership.

Re: Capital One Auto Financing

Mortera81 — Tue, 26 May 2015 04:32:03 GMT

The offer calculator is 100% accurate. Whatever is on the wheel is what you pay and you qualify for. Now keep in mind, the dealer might want to tell you otherwise. They did try telling me my interest was higher than it was in the wheel but as soon as I told them I called Cap One and confirmed the exact apr and I knew 100% I was correct they backed off. Just another shady dealer practice I guess

Re: Capital One Auto Financing

Anonymous — Tue, 26 May 2015 06:00:00 GMT

That's interesting, I noticed Capital One Auto Financing at dealership near where I live. My score is the upper 600's but I'm 21 and just starting to build my credit. I am just afraid of being denied. But congrats on your new car!

Re: Capital One Auto Financing

Anonymous — Wed, 27 May 2015 15:22:41 GMT

UPDATE

So i went ahead and applied with Capital One Auto Finance. I made a joint application with wife who has scores in the late 500's. My auto enhanced and Fico 8 scores are in the mid 600's. I had one hit on each credit bureau for both of us .

We got APPROVED with CONDITIONS. Our rate was between 6.95-11.4% depending on the loan amount. It was not an approval i thought would be without any documentation. My last auto loan was paid off in May 2008. since then no auto loan on CRA's. Auto loan from cap1 is listed as Auto Finance v/s credit card hard inquiry.

I was required to provide with

3 Refrences

Copy of our drivers license

Proof of Income.

All needed to beuploaded on Navigator before approval.

Capital One requested a phone interview for me. I am afraid to explain all income info to them for i am self employed. Since hard inquiry is made its worth getting fully approved or denied.

Now i m wondering if the hard inquiry was worth it. My wife has never been listed before on any loan. She has no previous auto loan experience but i do.

What this means is if you are new to auto loans its a good idea to apply via Dealerships. If you have worked many years 2+ at your job its very easy to b approved with Cap1.