Chances of getting approved

[Anonymous]

Im looking buy a vehicle since my current vehicle is on its last legs. My current scores are

EQ 592

TU 590

EX 597

I have 2 cc 1 w/800 limit and a 400 balance the other has 500 limit with a 250 balance. Im intending on paying them down a bit this week to catch the next repoting cycle to the credit bureau so hopefully the scores will go up some. I have one negative and thats a State Tax lien which I disputed and the results should be coming through mid next month.    

I've become addicted with this forum and see that some people are getting approved with lower scores. Im just a little leary because I dont want to apply to prematurely and not get approved then watch my scores go down from loan inquiries. 

Any suggestions on my chances and any suggestion on where to apply if I have a chance. 

[Anonymous]

Hate to break it to you, but if you do get approved be prepared for a sky high APR.  With scores like that, a baddie and such a thin file you pose a pretty high risk to lenders.

Good luck.

[Anonymous]

think more in lines of what you can afford by putting down car pricing - down payment -rebates-discounts = actual mortgage and calculate your rates at 5% and 10%. Then adjust it towards how much exactly you are willing to pay for your car payment + full insurance + gap insurance and go out and get it. In between 5% and 10% should be the maximum interest you should be willing to pay.

You must definitiely know what you can afford. then car buying should become fun.

goodluck

[Anonymous]

My scores were a littel bit lower than yours and I had 4 positive trade lines and about 7 baddies (all pretty old). I went to my local credit union after everyone denied me or offered mt a 20% APR. The Credit Union was able to approve me for a 22K auto loan at 10.7% APR for 66 months. I would say try the local credit union is at all possible. 

[Anonymous]

Thanks for the info..

As far as credit unions, do I need to be a member or have an an account with a cu in order to apply for a loan - im sort of new to how credit unions.

[Anonymous]

Yes you will need to become a member. I chose one that was local and my one time membership fee was $10. I opened a checking and savings and asked them about their auto loans and the banker offered to run it while I was there. I explained my past collections upfront and I also told her what I was trying to do as far as my credit (don't know if it helped with my approval). From my experience reading the boards a credit union is the way to go. And even if you don't get aproved for the auto loan it's a great relationship to have and they can help you get where you need to be.

[Anonymous]

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@Anonymous wrote:

Thanks for the info..

As far as credit unions, do I need to be a member or have an an account with a cu in order to apply for a loan - im sort of new to how credit unions.

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Yes, you do need to be a member.  If you are in the military, NFCU is a great credut union to consider.

[karn101]

What's your income?

[Anonymous]

My income sits around 28/30k and my monthly bills are at a miniimum. Rent is about 200 plus the other necessities cell, electric and so forth. So overall around 550/600 a month.