Advice needed for Auto Loan Approval

[Anonymous]

I am reaching out for some advice:

We have been in the US for 2.5 years.  Credit history with AAoA just shy of two years.  Oldest account is a Cap One Credit Card with limit stuck at $600 (age just over 2 years) and then Amex card with limit of $54K (age 1.5 years and limit thanks to this forum and 3x credit limit increases).  Credit scores from Creditcheck Total are all 750+ across the three credit bureaus.  Only 2 enquiries across the board.  No installment loans and no mortgage or any other form of credit.  Individual income greater than $100K and we currently rent.  Current vehicle is on my wife's name (bought a 2004 Lexus RX330 when we arrived in 2016 for $10K).  She has a very similar credit profile and income.

We need a different car as the current one is slowly but surely packing up.  I have applied for pre-approved financing through Cap One's Auto Navigator tool (only in my own capacity, not using wife's income as additional source of income since we don't want her to incur another credit enquiry) but did not get approved.  Reason stated "too short credit history".  Looking at nothing more than $25K.   

I don't want to go to a dealership and incur multiple hits as we are also looking to buy a house in the next year or two so want to only take the one hit and then be done with it.  Needless to say this requires a pretty decent shot of getting approved at a bank or CU.  

Once again, taking into account the fact that I have not been successful through Cap One's Auto Navigator tool, would I get approved for "pre-approved" financing at a bank or CU?  I'm not too fussed about rates.  Just want to find out what the best options are?

Sorry fot the long post.  Appreciate any feedback.

[Anonymous]

I have no experience with Cap One's Navigator tool other than the dozens of approvals and email they've sent me over the past few years.  You are correct in your approach to line up financing directly with a lender before approaching car dealers.

My suggestion is to acquire membership in a credit union; either online or in your local community.  One of the more popular credit unions in these forums is PenFed; you should be eligible to join by making a small donation to one of their military charities.  They will pull Equifax and you can get membership and loan products, including an auto loan, with one credit inquiry.

Navy Federal would be another great option but I don't imagine you'd be eligible to join unless you can find someone to sponsor you.  You have the credit scores and profile to easily get an auto loan so don't stress too much about it.

[RonM21]

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@Anonymous wrote:

I have no experience with Cap One's Navigator tool other than the dozens of approvals and email they've sent me over the past few years.  You are correct in your approach to line up financing directly with a lender before approaching car dealers.

My suggestion is to acquire membership in a credit union; either online or in your local community.  One of the more popular credit unions in these forums is PenFed; you should be eligible to join by making a small donation to one of their military charities.  They will pull Equifax and you can get membership and loan products, including an auto loan, with one credit inquiry.

Navy Federal would be another great option but I don't imagine you'd be eligible to join unless you can find someone to sponsor you.  You have the credit scores and profile to easily get an auto loan so don't stress too much about it.

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+1

I agree with this and going the credit union route.  I think your chances would be a lot better, and maybe even your rates would be better than the normal banks out there.  

[KLEXH25]

Hi Polar_DP. I was in a similar situation last month (short credit history, similar scores), and was denied by Capital One Auto Navigator. I went to DCU and was approved for an auto loan (they have a program for first time auto loans). I think with your profile, you have an excellent chance of getting approved. When I went to the dealership, I also had them pull my credit (5-7 inquiries, so I don't recommend), but Toyota Financial Services approved me, so if you are looking at Toyota, you probably have an excellent chance with them too. Good luck! Let us know how it turns out.