I'm 6 months into my auto loan with Toyota Financial Services @ 5.99% interest and I checked out Cap1 Auto Nav to see if there are any better refinancing options. It told me I didn't prequalify and I got the letter today. I figured maybe the LTV was too high, or something similar.
The actual reason: "There is insufficient credit history." It listed an EQ auto score of 727.
I know I've only had the loan for 6 months and about a 1 year credit history at this point, but they did approve me back in October (@ 10%) after getting denied with them a month prior, so what gives? Do they mean not enough auto loan history? It was hard enough to get the original TFS offer and rate (DCU also approved @ 7.5%), so I'm not even sure I'll get a better refinance rate at the moment....especially if rates are going up. Anyone have any insight? Should I just hold off for now?
@Anonymous wrote:That is interesting. I have 2 loans with them and when I got the first I really didn't have much on my file at all and I know my scores were not as high as yours. In fact, they keep sending me mailers and emails to do another loan.
Are you sure there is nothing else in your file? Your interest rate does seem high for your score.
No derogs, lates, baddies, nothing. I do get that alot (about my scores), but I basically have no credit history, so I'm a "risk" I guess. I just don't understand how they could give that as a reason for denial, if 6 months prior to that they had approved me.
@Jnbmom wrote:
Personally I don't think cap one always gives the best auto rates.
I got 4.79 for my used car loan from citizens bank after numerous emails and mailers from cap one I thought I would see what they had to offer 6 months into my loan. They came back to me with 9.84 I was like are you guys serious lol. That is such an insult.
Oh I know. I'm just using them first since it's a soft pull. If they deny me, the chances of getting approved somewhere better are slim then. I'd rather not add any unnecessary inquiries.
Personally I don't think cap one always gives the best auto rates.
I got 4.79 for my used car loan from citizens bank after numerous emails and mailers from cap one I thought I would see what they had to offer 6 months into my loan. They came back to me with 9.84 I was like are you guys serious lol. That is such an insult.
Oh I know. I'm just using them first since it's a soft pull. If they deny me, the chances of getting approved somewhere better are slim then. I'd rather not add any unnecessary inquiries.
@Jnbmom wrote:
Personally I don't think cap one always gives the best auto rates.
I got 4.79 for my used car loan from citizens bank after numerous emails and mailers from cap one I thought I would see what they had to offer 6 months into my loan. They came back to me with 9.84 I was like are you guys serious lol. That is such an insult.
It depends on credit file, history, and how good the car deal is with them.
Cap One gave me 2.49% for 72 months with $0 down and no POI on a new car.
