Can I get 30k auto loan?

[man03999]

Hello myFICO,

I thinking to get a new car around christmas and wanted to know what are my chances of getting approved for 30k auto loan with zero down. I have 2 years of banking relationship with my local CU. (UWCU) Here's my credit profile.

50k income

AAoA of 1.7 years with oldest being 5yrs and 5 mos

1 INQ within the last 6 months (CHASE on 11/18/13)

Credit Scores are in my sigs (recently paid off 2k balance on Amex and 1k on GE/Lowes so scores are not reflected)

Have 5 accounts:

Amex Green Card NPSL

GE/Lowes 10k

Chase Freedom 1k

Discover  2k / 2.2k

Cap One 1.25k

UWCU 0.5k

All cards have zero balance except for Discover at 2k.

Utilization is at 7.47% (Amex Green Charge card is not factor in the calcaution since it has no preset spending limit)

I'm planning on to sell my current car for 20k but wanted to know my chances with 30k loan. (I think i have a pretty good chance with 10k loan with zero down)

[Kratos-TM]

That discover balance is hurting your score. You got a card maxed and FICO doesn't like that. Pay that balance down to less than 200 if you want more points on your score.

Are you saying the 30K car will only be 10K because of 20K you'll get from selling the old one. If so, you won't have a problem getting your loan.

[man03999]

Yea the 30k car will become 10k since I'm selling my current car and putting it towards the new car. (Not sure if i can sell it that fast. Snow+ sport car doesn't go well together)

If i pay the discover balance off will it increase my chances of getting it approved? I know my credit report won't be updated for another month.

Can I bring in my own report showing all accounts are satisfied with zero balance. Can my local credit union/banks use that to determine the approval?

[Kratos-TM]

Don't pay it off. Paying all the CC's to zero will cause you to lose points. The rule for max FICO score is one card reporting less than 9% of it's limit, while all the others report zero balance.

As for your other question, I wish you weren't in such a hurry. If you could just wait for the statement to cut, you wouldn't have to "hope" the lender honors your balance ledger outside of the report. I can't say whether a lender will or won't honor it. They are all different.

[man03999]

Thanks for the tip!

Idealy I want to get my car sold then use part of the money to pay off Discover (leave 9%) then finance whatever the amount I need to meet the 30k price. 

I just fell in love with that car and letting my emotion decide . I was planning on to apply for BCE to backdate but it will have to hold off until I get this car.

[Kratos-TM]

Sounds like a great plan. Let me know how many points you get on your score when the card goes down. I catalog all of this type info. I myself received 60 points on my score by playing with the credit card rules of FICO. Don't know how much you'll get, but any points is better than none!

[Anonymous]

Can't the OP request a mid cycle update from discover?

[Kratos-TM]

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@Anonymous wrote:

Can't the OP request a mid cycle update from discover?

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Yes.

[Anonymous]

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@Kratos-TM wrote:

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@Anonymous wrote:

Can't the OP request a mid cycle update from discover?

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Yes.

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So if you pay down discover, and then request an update before they pull your credit, you'd show the new paid down balance without waiting for the update to automatically run for that month.

[Kratos-TM]

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@Anonymous wrote:

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@Kratos-TM wrote:

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@Anonymous wrote:

Can't the OP request a mid cycle update from discover?

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Yes.

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So if you pay down discover, and then request an update before they pull your credit, you'd show the new paid down balance without waiting for the update to automatically run for that month.

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Yes. But you need to check your report first before you have the bank run it again....just to make sure the CRA has posted it.