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Auto Loan Approvals!

Auto Loans for ANY Credit Situation. Immediate Response.
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Frequent Contributor

Re: Auto Loan Approvals!


@ridgebackpilot wrote:

@sccredit wrote:


This is normal everywhere.  Only one time did I not have a dealer pull credit but that was because it was a buddy of mine and he just submitted straight to Toyota on a lease.  Every other time it has been a dealer pull and a finance company pull.


Is there any legitimate reason that a car dealer cannot share their HP with their finance company? You would think this would be relatively easy, espcially when it's a captive finance company (e.g., Ford dealer & Ford Motor Credit). I can't think of an compelling reason for two separate HPs for one auto transaction! 


This is standard practice.  The dealership wants to make sure there are no surprises before sending to the lender.  You'd be surprised how many people buying a car think they have good credit and can't finance a candy bar.  Then the actual lender wants to pull their own copy of the report to make sure everything is on the up and up.  They also may use a different scoring model than the dealership.

Message 4011 of 4,193
Established Member

Re: Auto Loan Approvals!


@ridgebackpilot wrote:

@sccredit wrote:


This is normal everywhere.  Only one time did I not have a dealer pull credit but that was because it was a buddy of mine and he just submitted straight to Toyota on a lease.  Every other time it has been a dealer pull and a finance company pull.


Is there any legitimate reason that a car dealer cannot share their HP with their finance company? You would think this would be relatively easy, espcially when it's a captive finance company (e.g., Ford dealer & Ford Motor Credit). I can't think of an compelling reason for two separate HPs for one auto transaction! 


The only way I know it to work with 1 HP is if you go directly through the captive lender first. For example, if you apply with MB Financial or BMW Financial prior then the dealer does not need to pull anything extra because you are basically considered being pre-approved directly with the lender. To me, letting the dealer pull with their captive lender is the equivalent of asking a child if you can spend the night at their house vs going to the lender directly I see as asking the parent for permission to spend the night first. (When you go to the parent/lender you are basically going to the 1 with the actual authority first) I specifically named BMW and MB Financial due to personal experiences with those 2, not sure if you can do the same with Ford, Toyota etc. but I would think the same would apply since the lender is the final decision maker. Then again, different dealerships may do different things or have their own SOPs and preferences. Also, it depends on your situation, some people may be better off going to the dealer and letting the F&I guy/gal work their magic. He/she may be able to sell you better directly to the lender if your file isn't as clean on paper.

10/10/18: FICO 08: EQ 783, TU 800, EX 806 ; UTI: 2%
09/10/18: FICO 08: EQ 782, TU 796, EX 803 ; UTI: 5%
08/10/18: FICO 08: EQ 779, TU 788, EX 794 ; UTI: 7%
07/10/18: FICO 08: EQ 776, TU 782, EX 782; UTI: 11%
05/10/18: FICO 08: EQ 750, TU 751, EX 751; UTI: 13%
04/10/18: FICO 08: EQ 738, TU 736, EX 744 ; UTI: 18%
03/10/18: FICO 08: EQ 724, TU 727, EX 735 ; UTI: 27%
02/10/18: FICO 08: EQ 703, TU 719, EX 723 ; UTI: 31%
Starting: 01/10/18 FICO O8: EQ 641, TU 648, EX 675 ; 82% UTI
The Good: Never Missed a payment; No baddies; 1 inq
Gardening since 11/2017
*Goal: EQ 800 TU 800 EX 800*
Message 4012 of 4,193
Regular Contributor

Re: Auto Loan Approvals!

 

 

 


@MakeItAMudLight wrote:

for one auto transaction! 

This is standard practice.  The dealership wants to make sure there are no surprises before sending to the lender.  You'd be surprised how many people buying a car think they have good credit and can't finance a candy bar.  Then the actual lender wants to pull their own copy of the report to make sure everything is on the up and up.  They also may use a different scoring model than the dealership.


Do you trust the dealership not to lie?  Because I don't (I've bought cars.  They all lie, about everything.).  I don't see why a bank would, either.  No internal control auditor is going to approve lending based on information that doesn't come directly from the source. 

The only people who care about hard pulls are people here, the additional pull is a non issue. 

Message 4013 of 4,193
Highlighted
Established Contributor

Re: Auto Loan Approvals!


@LINYGirl wrote:

The only way I know it to work with 1 HP is if you go directly through the captive lender first. For example, if you apply with MB Financial or BMW Financial prior then the dealer does not need to pull anything extra because you are basically considered being pre-approved directly with the lender. 

Great point! I'm sure you're right; if you show up at a dealership already pre-approved by their captive lender (such as MBFS or FMC), there would be no reason for the dealer to pull your credit themselves. I'll remember that next time I'm in the market for a CPO or new car.

 

Message 4014 of 4,193
Frequent Contributor

Re: Auto Loan Approvals!


@ridgebackpilot wrote:

@LINYGirl wrote:

The only way I know it to work with 1 HP is if you go directly through the captive lender first. For example, if you apply with MB Financial or BMW Financial prior then the dealer does not need to pull anything extra because you are basically considered being pre-approved directly with the lender. 

Great point! I'm sure you're right; if you show up at a dealership already pre-approved by their captive lender (such as MBFS or FMC), there would be no reason for the dealer to pull your credit themselves. I'll remember that next time I'm in the market for a CPO or new car.

 


I showed up at the dealership pre-approved...dealer and Chase pulled the report, and both pulled again on the day she was picked up when i signed the papers (Tier 1, best rate, no VOI, yada yada).  As always YMMV, but just FYI. 

 

Edit: Mods, this thread is getting off topic, maybe a new one can be created?

Present Day...Equifax: 767, TransUnion: 777, Experian: 774
Sept. 2016...Equifax: 652, TransUnion: 608, Experian: 597
PenFed CLOC: $500

Message 4015 of 4,193
Established Member

Re: Auto Loan Approvals!

APPROVING BANK: Capital One
BUREAU PULLED: TU
CREDIT SCORE:595
CUSTOMER STATE OF RESIDENCE:Indiana
NEW/USED:Used
YEAR OF VEHICLE:2017
MAKE:Nissan
MODEL:Sentra
MILEAGE:21000
RETAIL/LEASE:Retail
AMOUNT OF LOAN:11,500
TERM CONTRACTED:60 months
APR/LEASE RATE:4.01%
MONTHLY PAYMENT:242.50
MISCELLANEOUS COMMENTARY:
Three weeks after Discharge of Chapter 13.  Daughter needed a car.  ALOT of research on this forum about acquiring an autoloan after Discharge.  Came across one thread that said have Capital One do a prequal.  So I did.  AND BINGO, 4.01%  The only caveat is you have to go through their website to find dealers that will except it.  The good news.  LOTS of dealers do.  I had my preapproval in hand and setout to find a good deal.  I believe we did.  We did 60 months, but will pay it off in 36.  
Message 4016 of 4,193
Member

Re: Auto Loan Approvals!

APPROVING BANK: Capital One
BUREAU PULLED: EQ
CREDIT SCORE: ~ 665 (For both of us)

SOFT PULL/HARD PULL: Hard
CUSTOMER STATE OF RESIDENCE: Missouri
NEW/USED: Used
YEAR OF VEHICLE: 2015
MAKE: Honda
MODEL: CR-V EX-L AWD
MILEAGE: 99,186
FINANCE/LEASE: Finance

PURCHASE PRICE: 14,460

AMOUNT OF LOAN: $15560 (with Warrenty and Gap)

DOWN PAYMENT: $1500
TERM CONTRACTED: 60 Months
APR/LEASE RATE: 9.93%
MONTHLY PAYMENT: $331
ANNUAL INCOME: Joint Application/not sure
DEBT TO INCOME RATIO:~
MISCELLANEOUS COMMENTARY: Not the best vehicle due to mileage, but it's a one-owner with well kept service records (all done at their Honda dealer) and the price falls within the value given by multiple sources. Had there not been such good record keeping (verified by Carfax) I would have skipped this car, but it was truly babied in the previous owners care. The dealership also took 2,000 off of it's original price due to it sitting on the lot for exceptionally long time for them (~75 days).  Since I needed an AWD vehicle for an upcoming move to a city much further north I jumped at this vehicle because the others in the price range were truly awful and didn't have much less in terms of mileage with far fewer options.

 

This is my first car loan and my only prior credit experience was cards, installment, and student loans (all with 100% on-time payments). Since the vehicle is high mileage I took the extended warrenty (after haggling off $1000) to calm my dad's worries (he's the other applicant) and gap just in case it get totaled.

 

Since the interest is high I plan on paying an additional $5000 this year on top of my normal payments then doubling payments for the remainder of the loan. My goal is to pay it off in 2 1/2 years and drive it until the wheels fall off. Hope this wasn't an information overload I usually read, but rarely post.

 

Edit: I should have added that Capital one denied our prequal as my income wasn't verfiable before even going to the dealer, so it's shocking that's who we ended up with in the end. That being said we didn't even have to show proof of income, so  ¯\_(ツ)_/¯.

My cards:

US Bank Secured (Opened March '16) - $300 CL (Closed July 2017)
Capital One Quicksilver (Opened September '16) - $500 CL
Walmart (Opened March '17) - $2000 CL
Amazon (Opened March '17) - $4500 CL
Capital One Quicksilver One (Opened September '17) $500 CL
Target Redcard (Opened September '17) $300 CL
Paypal Credit (Opened July '19) $250 CL

Scores: Transunion - 663 Equifax (FAKO) - 621 Experian - 660(Updated Feb. 2019)
Message 4017 of 4,193
Established Contributor

Re: Auto Loan Approvals!

APPROVING BANK: GM Financial
BUREAU PULLED: TU Fico Auto 9
CREDIT SCORE:786
CUSTOMER STATE OF RESIDENCE:Utah
NEW/USED:New
YEAR OF VEHICLE:2019
MAKE:Chevy
MODEL: Equinox 2.0 AWD Premier
MILEAGE:2
RETAIL/LEASE:Lease
AMOUNT OF LOAN:$13,125
TERM CONTRACTED:36
APR/LEASE RATE:1.22%
MONTHLY PAYMENT:$375
MISCELLANEOUS COMMENTARY: DW Picked this up last week easy its basically fully loaded dealer did one HP on EX GM Financial did one HP on TU.  No docs or POI was requested but my last lease was with them so that may have carried weight.
Message 4018 of 4,193
New Contributor

Re: Auto Loan Approvals!

Got approved today through audi financial for a C.P.O. 2017 s6. Total loan amount @$65000 with 5% APR. CREDIT SCORE :635 EXPERIAN. Payment is 1100 per month
Message 4019 of 4,193
New Contributor

Re: Auto Loan Approvals!

APPROVING BANK:Audi Financial
BUREAU PULLED:EXPERIAN/TRANS.
CREDIT SCORE:630

SOFT PULL/HARD PULL: HARD PULL
CUSTOMER STATE OF RESIDENCE:NEW YORK
NEW/USED:USED 11910 MILES
YEAR OF VEHICLE:2017
MAKE:AUDI
MODELSmiley Frustrated6
MILEAGE:11910
FINANCE/LEASE:FINANCE

PURCHASE PRICE:
AMOUNT OF LOAN:65000
TERM CONTRACTED:72
APR/LEASE RATE:5%
MONTHLY PAYMENT:1100
ANNUAL INCOME:135000
DEBT TO INCOME RATIO:43
MISCELLANEOUS COMMENTARY:AUDI financial does not use EQUIFAX, because of the data breach 2-3 years ago. ALLY approved me but needed $25000 down with 11%; capital one approved with 9%, but was able to offer me 5%. I'm still in shock. Already switch plates and insure. Vehicle should be certified by dealer and submitted such certification within 72hrs. Finance manager says the car should ready in only a few hours. I should be driving off in my S6 soon!!! Thanks fico forum.
Message 4020 of 4,193
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