Capital One Auto?

[Anonymous]

Has anyone had any problems with Capital One Auto Loan? I was preapproved by them for ~8% (phew!) for up to $24000 (I asked for $20000 and am now planning to use only about $15000) but from looking elsewhere online it seems like there are a lot of complaints about them (although not so much on these forums at least, so it makes me wonder if the people complaining about them might be somewhat at fault as well). My credit scores are decent because I've never missed a payment  on anything (724-733 from myFICO) but my DTI is very high (and something I need to change) so I was denied by the local credit unions (I will need a car to commute to a new job, otherwise I would definitely not be looking at financing a car now).

[sulaw00]

About 3 years ago I was pre-approved for Cap One's "Blank Check" for up to $15K - interest rate was 10%.   I went to BMW to buy a used 05' 328xi and got some push back about using Cap One financing.  For one, they make money off using BMW financial - but I was also able to get a much lower interest rate from BMW (8.8% i believe).  Second, you have to wait for the check to actually clear from Cap One.  It can take about 7-10 days - at least that's what they told me.  So I couldn't drive the car off the lot if i purchased it using Cap One. 

Not sure what car you are looking at, but the in-house dealer finance departments are much easier to work with if you are having trouble securing credit.  My credit was 630 at the time.  My annual income is about 120K, so that may have helped - but i did have a number of open collections on small dollar items (unpaid parking tix, costco unpaid bill, etc.). 

Anyway, that was my experience with Cap One.  Thanks.

Ben

[Creditaddict]

I think Cap1 Auto blank check got so much flack was if you didn't qualify for Cap1 they had a second chance company called Road Loans and those terms were not quite as good and a lot of fees if you messed up.... but I really don't think for the most part Road Loans was at fault... they gave me 10% for 72 months... yes that's not good to take an auto loan for 72 months and I ended up being upside down but at the time that was the only company that approved me... I never had any problems with them until the accounts got sold to Santander and they got reported incorrectly on CR but I found Santander very easy and quick to fix the reporting.

Now for poster, with scores in the 700, I would let the dealer try to beat your rate because I would think you could do much better than the 10% range.

I also had no delays from using the blank check to buy, I drove the car home that day, I believe the dealer can call cap1 and tell them purchase price and LTV and cap1 will tell them if the check will clear.

[Anonymous]

Thanks for the replies. I'm just concerned that some people claimed that Capital One was slow to release the title on the vehicle at loan payoff or when needing to register the car in another state (which I'll probably have to do later this year) or trying to trip people up by suddenly changing the payment due date, but of course it's impossible to know the exact circumstances for each person...also I saw on this forum a post from someone who'd been preapproved by Cap One only to have it taken away a few days later for unknown reasons; does that seriously happen?? My DTI is too high to be healthy, but also apparently since I've recently been trying to pay off bigger portions of some balances, Wells Fargo thought that my required minimum payments on those accounts were those amounts and were about to deny me based on that being such a substantial chunk of my monthly income (they are re-evaluating now but I don't know what the status is yet). Since I need the car I would like to be able to take the Cap One offer without worrying that it could be rescinded and then try to refinance in another year or so when my DTI is better and I've also been able to show that I've been able to make consistent payments.

[Anonymous]

Over the past seven years I've financed two new cars with Cap 1 afer receiving pre-approval mailings.  The interest rate was high (10-12%) but then my credit scores were not great then.  I had no problems whatsoever with Cap 1 or the dealers.  In fact, I think I received a promo once from a dealer offering me pre-approved financing with Cap 1.

[meka1984]

They are very easy to work with. When shopping for another car, they were faithful in approving me for a 2nd loan.