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DCU Auto Refinance Approval

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Regular Contributor

DCU Auto Refinance Approval

I applied to DCU yesterday via a phone call for the refinance of the 2015 Toyota Highlander that I had earlier financed last year through Penfed at 7.02% APR with a 48month tenure. Not the most comfortable conversation as the CSR wanted to know even my blood group and genotype Smiley Very Happy After what seemed like forever, she said an underwriter would get in touch within 24hrs as they were a bit backed up. 

 

I called later in the evening and got a more pleasant fellow who immediately looked up the app and within 5 minutes of being on-hold, approved for 2.74% with the 0.5% DD discount applied. He said the EQ4 they pulled was 719 and their 2.49% goes with a 730 score. Oh well. Accepted the offer. Received a link via email for the loan docs (One paystub and refinance form). Sent them over immediately but since it was already 9.05 pm, I decided to call back this morning to finalize the loan process.

 

Called today and they sent in the DocuSign agreement. I promptly signed it and now the account has shown up online along with the free checking account. (For some odd reason, 2 free checking accounts popped up, must be an error).

 

As DP, they valued the car at $22.5k and I financed only my outstanding which is $16.3k. i.e 71% LTV. I chose a 65month tenure because I wanted to drastically reduce my DTI on paper. So monthly payment is now $276 down from $522(FYI: I still expect to pay off the loan in 2years). Also added their $295 GAP to it even though I don't really need it, for $5 a month. Could take it off for a full refund if cancelled within 60 days from today. Hope to give it more thought.

 

One point of contention with the initial CSR who took the app, was my income as she insisted on using only my part-time gig that had a more traditional paystub, so income used was $25k but it didn't really matter in the words of the UW that finally approved the loan since I had substantial equity in the car already.

 

I was also offered a credit card this morning, which I roundly declined to the CSR's surprise(i have made a decision not to accept any card if I am given the option if it has less than a $10k SL). Funny enough, she insisted on leaving the approval on my account till Monday after which she will cancel it if I don't call back. I found that really curious. I insisted she cancels it immediately to be safe, as I will not change my mind as a $5k card does not fit in with my overall credit strategy at this time. It was a very pleasant exchange, though. where she cited my income $25k as the barrier and I insisted it was a barrier they erected given my overall profile and my 1-year history with them.

 

I joined DCU a year ago and I have used their 6.17%-APY savings account for a while but only had a pre-approval for that 22% 1k loan. Hope I covered all the bases to help others looking to go the DCU way. Pls, feel free to inquire further if anymore DP is needed.

 

DP in my signature is up to date. Cheers folks!




2 REPLIES 2
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Super Contributor

Re: DCU Auto Refinance Approval

Congratulations on your approval!

 

Thank you for sharing the data points.

Message 2 of 3
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Moderator Emeritus

Re: DCU Auto Refinance Approval


@Kad4life wrote:

I applied to DCU yesterday via a phone call for the refinance of the 2015 Toyota Highlander that I had earlier financed last year through Penfed at 7.02% APR with a 48month tenure. Not the most comfortable conversation as the CSR wanted to know even my blood group and genotype Smiley Very Happy After what seemed like forever, she said an underwriter would get in touch within 24hrs as they were a bit backed up. 

 

I called later in the evening and got a more pleasant fellow who immediately looked up the app and within 5 minutes of being on-hold, approved for 2.74% with the 0.5% DD discount applied. He said the EQ4 they pulled was 719 and their 2.49% goes with a 730 score. Oh well. Accepted the offer. Received a link via email for the loan docs (One paystub and refinance form). Sent them over immediately but since it was already 9.05 pm, I decided to call back this morning to finalize the loan process.

 

Called today and they sent in the DocuSign agreement. I promptly signed it and now the account has shown up online along with the free checking account. (For some odd reason, 2 free checking accounts popped up, must be an error).

 

As DP, they valued the car at $22.5k and I financed only my outstanding which is $16.3k. i.e 71% LTV. I chose a 65month tenure because I wanted to drastically reduce my DTI on paper. So monthly payment is now $276 down from $522(FYI: I still expect to pay off the loan in 2years). Also added their $295 GAP to it even though I don't really need it, for $5 a month. Could take it off for a full refund if cancelled within 60 days from today. Hope to give it more thought.

 

One point of contention with the initial CSR who took the app, was my income as she insisted on using only my part-time gig that had a more traditional paystub, so income used was $25k but it didn't really matter in the words of the UW that finally approved the loan since I had substantial equity in the car already.

 

I was also offered a credit card this morning, which I roundly declined to the CSR's surprise(i have made a decision not to accept any card if I am given the option if it has less than a $10k SL). Funny enough, she insisted on leaving the approval on my account till Monday after which she will cancel it if I don't call back. I found that really curious. I insisted she cancels it immediately to be safe, as I will not change my mind as a $5k card does not fit in with my overall credit strategy at this time. It was a very pleasant exchange, though. where she cited my income $25k as the barrier and I insisted it was a barrier they erected given my overall profile and my 1-year history with them.

 

I joined DCU a year ago and I have used their 6.17%-APY savings account for a while but only had a pre-approval for that 22% 1k loan. Hope I covered all the bases to help others looking to go the DCU way. Pls, feel free to inquire further if anymore DP is needed.

 

DP in my signature is up to date. Cheers folks!


Thank you for that UW datapoint, one thing I've always liked about DCU is they've always told me, and apparently you, their tiers.

 

I'm really considering just refinancing my own vehicle with DCU, hard for me to get over their 3 month pay ahead rule but at any 2.X rate I'm going to be well below my mortgages and as such I'd just let it ride to full term naturally autopay style.  Their relationship discount and in my case EV discount all stacks for a totally winning rate.




        
Message 3 of 3
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