Showing results for 
Search instead for 
Did you mean: 

Auto loan with 686 equifax score

Established Member

Auto loan with 686 equifax score

I'm new to auto loan field since I never financed a car before. I'm planning to by a used car (16K) with ~ 6k down payment. I need 10K auto loan. I make ~ 75K a year (no morgage). I don't want to be denied. 


Any suggestions >??



Message 1 of 6
Super Contributor

Re: Auto loan with 686 equifax score


Hi !  Welcome to the forums !!


With auto financing, your terms will improve as you put more money down.   You should be in good shape IMO with putting that much money down.  


Do you have any previous installment loan history, or any negatives showing on your credit reports ?  

March2010 FICO® ~ 695 TU, 653 EQ, 697 EX
Message 2 of 6
Established Contributor

Re: Auto loan with 686 equifax score

With that down payment and your salary, you are not going to have any issue. They might pitch a high interest rate stating you never had an auto loan. If I was at your position, I would start with nearest Credit Union.

Message 3 of 6
Established Member

Re: Auto loan with 686 equifax score

No just 3 CC. This is my first loan ! 

Message 4 of 6
Valued Member

Re: Auto loan with 686 equifax score



Go with Capital One Blank Check, I got approved for $21,600 with a 11% APR for 60 months WITH NO down payment $0.


Ended up paying $15200 (Tax Title etc)  and payments came to 340 or so for my 2009 Honda Accord LX with 22k miles. 


CapitalOne is easy to work with but the dealer hates customer that walk in with financing already and they'll try to get you to finance with one of their lenders. I can promise you, if you go into a dealer already financed, whether its through  CapitalOne or any other lender, the dealers cannot match the rate you bring in. 


This is coming from my personal experience. I just bought the car and brought it home yesterday, originally, I signed the contracts with the agreed price last Thursday but they told me they can't give me the car till the agreed amount for the car was first funded to them. So, I waited a week, CapitalOne paid them and now I have the car with the lowest rate I can get with my Credit background.


My dealer tried to match the rate I brought in but the closest they got was at 15% APR with a down payment. So I said no.


If you decide to go this route, just make sure you never give them your Social Security for Credit Report viewing (I gave mine up out of curiosity but that was my mistake), they will find a lender and tie you into a contract with that bank. To better explain, they will write a contract for the price of the car for your CapitalOne check and also tie in the lender they found with the high APR and say, "if Capitation doesn't pay within 3 Days, your Cap1 check is no good and you will fall into the lender we found for you with the higher rate". This is what happened to me but CapitalOne paid within the 2 days and I was home free.


If you don't give them the SS#, they will probably say we can't give you the car today because we can't identify your identity. Therefore, we will hold your car with the agreed amount till CapitalOne check goes through and the money is funded to us. It is probably safe if you do that, you don't want to be taking the risk of binding yourself with a lender they find for you at a high rate. You never know what might happen on CapitalOnes end, like document errors or lost that prolong the process and so on.


In short, if you go into the dealer financed, NEVER GIVE UP YOUR SOCIAL SECURITY #, you don't have too. But if you MUST for registration purposes, have them write a contract or preferably you write the contract stating that the dealer will NOT use your SS# to pull Credit Reporting and use the SS# for registration purposes ONLY! And have the Dealer/Store Manager, Sales Manager, Sales Person and Finance Manager sign the contract. Then forfeit your SS#.


By the way, if your in Southern California, DO NOT GO TO BUENA PARK HONDA.


Good luck. 

Message 5 of 6

Re: Auto loan with 686 equifax score

Youbby - You won't have an issue! Don't worry. I would suggest as others say... try going through a bank first to see what rate and terms you can get. I think you'll have no problem getting a loan with good terms. That way you go into the dealership knowing you won't get ripped off because you never had an auto loan. You'll already have an idea of what you can get from a bank. You might want to start with your personal bank first where you do your checking or savings. I got my car back in 2009 for $7,000 through TD Bank (whom I've been a customer of for many years) with a 7.45% APR. I'm sure I could have applied for a higher loan amount, but I didn't feel the montly payments on a larger auto purchase were in the realm of what I could afford. My FICO scores were in the 680 range. I didn't have anything negative on my report. It was a piece of cake. Oddly enough, they never even verified my employment and salary with my then employer. They took the information, just didn't check. I let the dealership see if they could beat my deal from the bank but they couldn't.


phrza81 - Did they disclose all of this up front before you signed the papers? That they could put you into a contract????!??!? This absolutely did not happen to me. Could it just be this particular dealership's policy? My dealership had asked me to put down a deposit to hold the car, and the salesman asked for $1,000. BIG MISTAKE! I put that on my credit card, and when I got home I read the fine print that if I didn't come back and purchase the car (if my loan wasn't approved) I would not get my money back. Luckily I did get approved, but had I not I would be out $1,000. And I later read online that you should never put down more than a few hundred at most on a deposit on a car. That's the only thing they got over on me. To further clarify... I had already applied for a loan on another more expensive car. I was approved for a loan but not on the vehicle I wanted because it was a few years too old than what they wanted, so I just had to reapply for another car that met what the bank wanted.  

Starting Score: EQ 634 2/24
Current Score: EQ 670 3/9
Goal Score: 700

Take the FICO Fitness Challenge
Message 6 of 6