@Dj4Money wrote:
@Anonymous wrote:
I just applied on line with American Honda Finance for a new car loan with $6000 down payment and a credit score of 800. Received email that my application had been denied. No reason given. $300K equity in my home, good job, money in the bank and previous honda finance customer. No payments missed. What gives with this company
What is your DTI (Debt to Income) Ratio? In other words if you have too much debt, that might be a reason. Another is what is your credit card utilization? If that's way over 30%, that is usually a red flag to banks.
American Honda is one of the harder places to get a loan because they don't do sub-prime loans at all.
You may want to try to see what's on your credit report and try a Credit Union, you are likely to get eaiser requirements and better terms.
+1.
What is your DTI right now?
Do you have a high mortgage payment, and/or multiple car loans and leases? Sometimes its hard to get approved for a 3rd or 4th car loan / lease. Your dealership may need to call in to explain why you need so many vehicles.
Check your credit reports. Is your previous loan account at 0, or could there be unpaid interests left in the account?
And you should call them to find out about why you are denied as well.
