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Do I qualify for auto loan

Established Member

Do I qualify for auto loan

Hello, im looking to see if I would qualify for an auto loan. All feedback is appreciated. Im looking to apply through NFCU.


Credit Score: 612 Equifax score 8 ( I plan on paying down some credit card balances and Myfico simulator states i'll be at 639)
Income: $1500/month
length of Employment: 2 years
Previous Loan Experience: N/A
Debt-to-Income (DTI): Have no bills besides utilities
Year of Car: 2013
Miles: 45k
Purchase/Refinance: Finance
Requested loan term : 60 - 72 months
Down payment amount: $1000
Co-borrower/Co-Signer: N/A

10 credit accounts all being paid and never late.

1 charge off account unpaid - $6k One Main - Nov 2015 was the first missed payment

1 collections unpaid- 6k for One Main - date assigned Jan 2017

1 charge off paid - Bank overdraft $355


Any suggetions that will help me will be much appreciated. 

Message 1 of 9
Community Leader
Super Contributor

Re: Do I qualify for auto loan

I don't see it in your initial post but what is the cost of the car you are looking to finance?

Message 2 of 9
Established Member

Re: Do I qualify for auto loan

I'm looking to get $12k in total
Message 3 of 9
Established Member

Re: Do I qualify for auto loan

Message 4 of 9
Regular Contributor

Re: Do I qualify for auto loan

Id say you will np let us know
Message 5 of 9
Valued Member

Re: Do I qualify for auto loan

Need to know your debt to income ratio.  Do you have rent or mortgage?  DTI is not just credit, but also your rent or mortgage paymnent in relation to your income.

Current FICO 743, no baddies
April '16 550 4 collections

Current credit and limits (in order of approval)
Discover It (Unsecured at 6 mos) 4.6k -- Cap 1 Quicksilver One (900) -- Overstock (3800) -- NFCU Cash Rewards (25k) -- Share Secured Installment (500 - paid down to 40ish) -- Amex PRG (NPSL) -- Amex BCP (25k) -- Amex EDP (15k) -- Citi Advantage (10k)
Message 6 of 9
Established Member

Re: Do I qualify for auto loan

I do not pay rent. My phone bill is $150 and internet $50. And my quicksilver payment is $75 at the moment. Besides that I don't have any bills more than $25.
Message 7 of 9
Valued Contributor

Re: Do I qualify for auto loan

I would work with a credit union.  That One Main account is going to be your biggest barrier, if you could negotiate that debts with the collectors you would be better off.  Open collections like that are pretty big red flags.    A dealer will likely get you a loan but the interest will be high so trying a credit union first is going to be worth the effort.

Gardening till 2018, Goal of 700's by the end of 2017
MyFico Scores Aug 2017: EQ 675 TU 695 EXP 698
Message 8 of 9

Re: Do I qualify for auto loan

I think you would get approved at higher interest rate...probably around 21% with $1k down for a $12k car... do you currently have previous auto loans? If not then it will be a bit tough but doable with a higher interest rate. 


Auto loan lenders wnat to see how well you pay your car payments, not much more emphasis is placed on other loans. With no other auto loans on your reports then they feel that they are taking a bigger risk. Refinance after about year once you got some auto credit under your belt. 


Example, my friend who works for one of the largest BMW dealers in the nation sees guys who come in with a score in the high 500s and get Tier II approval because they do pay their car payments on time and not much else.. 

BK7 08/2016 DC 12/2016
Cap1 Venture One $3500 | Cap1 Quicksilver One $3000 | Merrick Bank $1400 | Barclays Apple Rewards $2500 I CFNA $1200 (Survived BK7)
I Starting Score 10/2016 Fico8: TU 597 I EX(LP) 607 I EQ 592
I Current Score 5/2018: TU 658 | EX 662 | EQ 668
Message 9 of 9