Gun shy and afraid to pull the trigger

[martinsoka17]

I posted here about a month ago how the dealership I was going through shopped my credit out to about 15 different financial institutions, resulting in 11 lovely HPs. They have since aged a tiny bit, and I made sure to contact the person who shopped my info out to have him tell the financial institutions to ensure the pulls were for an auto loan. All of them.

Anyway, I am now in limbo with my student loan rehab, waiting for Sallie Mae to start reporting positive tradelines and for my old, negative tradelines to go away, thus increasing my score. My PB at my CU told me I qualify for a 3.5% interest rate for a 48 month term, so I will probably be financing through them just to save myself 10 more HPs.

Has anyone purchased a vehicle from auction? And if so, did you have any issues financing it? One of my father's employees has his dealers license, so he would be able to purchase the vehicle from auction for me. I'm not 100% sure if I want to go this route mainly because GM's warranty on vehicles purchased from a dealership is phenomenal.

[Remember0]

Hey there!

So first thing first, sorry about the INQs! If you go back to the dealership to purchase, please freeze your credit files so they can't pull. Otherwise no matter what they say, odds are good they'll pull. In most states it costs $10/bureau (some are cheaper), but the $30 to freeze and $30 to unfreeze a few months later are well worth it!

You shouldn't have issues financing a car from auction. But that said, you may have to upfront the cash and then finance the car and get the money. It really depends on the auction companies' policies and your credit unions policies (do they give you a blank check that the auction accepts/are they willing to give you a certified check after the auction closes with a pretty quick turnaround time?) You'd need to see what the auction accepts and what your CUs policies are...just ask them, they should be familiar. Regardless, worst case, most CUs are fine with giving you a loan after its bought from the auction.

Also you can get some decent deals at auction. Usually cars go for around KBB Very Good if we're talking about cars that MSRP'ed for ~20k. Personally, it's the only way I'll buy a car. Yeah, there isn't as good a warranty, but with the auction route you can get a much newer/fewer miles car in the first place. Just be sure to check out the car well before buying it! Some cars that go through auction, are f'ed up (often in ways that are not immediately visible).

[pipeguy]

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@Remember0 wrote:

Hey there!

So first thing first, sorry about the INQs! If you go back to the dealership to purchase, please freeze your credit files so they can't pull. Otherwise no matter what they say, odds are good they'll pull. In most states it costs $10/bureau (some are cheaper), but the $30 to freeze and $30 to unfreeze a few months later are well worth it!

You shouldn't have issues financing a car from auction. But that said, you may have to upfront the cash and then finance the car and get the money. It really depends on the auction companies' policies and your credit unions policies (do they give you a blank check that the auction accepts/are they willing to give you a certified check after the auction closes with a pretty quick turnaround time?) You'd need to see what the auction accepts and what your CUs policies are...just ask them, they should be familiar. Regardless, worst case, most CUs are fine with giving you a loan after its bought from the auction.

Also you can get some decent deals at auction. Usually cars go for around KBB Very Good if we're talking about cars that MSRP'ed for ~20k. Personally, it's the only way I'll buy a car. Yeah, there isn't as good a warranty, but with the auction route you can get a much newer/fewer miles car in the first place. Just be sure to check out the car well before buying it! Some cars that go through auction, are f'ed up (often in ways that are not immediately visible).

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Fee shchedule for costs - most states do NOT charge for unfreezing, but it varies

http://defendyourdollars.org/document/guide-to-security-freeze-protection

http://www.transunion.com/personal-credit/credit-disputes/credit-freezes.page?accordion=2#accordionC...

https://help.equifax.com/app/answers/detail/a_id/75