Itching for a car but can I get approved?

[Anonymous]

I first want to say that I would like to buy a car by this time next year. Only problem is I have a charge off from Chase Auto Loan from Oct. 2011. According to my CR, the loan shows as owing $0. Since then, I bought a little beater that I have been driving around in for almost 3 years. 

Here's a quick breakdown of my CR:

Student loans are in good standing (deferement)

Capital One cc is in good standing (6 months old)

This is the only credit I have right now

Baddies include

Chase charge off as mention above (sent them a GW letter at the beginning of the month no word back yet)

My house was sold as a Deed in lieu (could no longer make the payments and shows as owing $0)

Collection from 5 years ago from my old apartment complex (carpet fee's $425)

My TU score is a 700 (pulled by Barclaycard), Equifax is 655 (myfico) and I'm not sure what my Experian is (a few months ago and it was a 608 but I'm sure its higher now).

I currently have 3 inq on my CR and I make $25,000 (basically part time) and pay $350 for rent.. (split with my bf)

Just curious what Im looking at.. Oh and also I want to spend around $18 and put $5k down.

[Dj4Money]

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@Anonymous wrote:

I first want to say that I would like to buy a car by this time next year. Only problem is I have a charge off from Chase Auto Loan from Oct. 2011. According to my CR, the loan shows as owing $0. Since then, I bought a little beater that I have been driving around in for almost 3 years. 

Here's a quick breakdown of my CR:

Student loans are in good standing (deferement)

Capital One cc is in good standing (6 months old)

This is the only credit I have right now

Baddies include

Chase charge off as mention above (sent them a GW letter at the beginning of the month no word back yet)

My house was sold as a Deed in lieu (could no longer make the payments and shows as owing $0)

Collection from 5 years ago from my old apartment complex (carpet fee's $425)

My TU score is a 700 (pulled by Barclaycard), Equifax is 655 (myfico) and I'm not sure what my Experian is (a few months ago and it was a 608 but I'm sure its higher now).

I currently have 3 inq on my CR and I make $25,000 (basically part time) and pay $350 for rent.. (split with my bf)

Just curious what Im looking at.. Oh and also I want to spend around $18 and put $5k down.

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 As long as you take care of your negatives between now and the end of 2015, you'll easily get excellent rates from DCU. 

 Based on 75% of your yearly income, that will mean a new car loan around $18.7K-$19K 

 You can get more car than that with $5K down and USE TrueCar before you even set foot into a dealership.

[djshifted]

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@Dj4Money wrote:

... and USE TrueCar before you even set foot into a dealership.

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I agree with this 100%.  And if you have or can become a member of USAA, their car buying program is powered by TrueCar, and with some makes/models you get an additional discount.

I would say you have a good chance of getting approved, my credit looks much worse than that, with scores ~20-50 points lower, and I managed a 6.49% preapproval from my local CU (6.75% used).

[Dj4Money]

 My car buying program with Macy's is powered by Truecar as well.

[Anonymous]

Thanks!! I feel a little hopeful now.

[Creditaddict]

what do you want to buy?

[Anonymous]

You have an excellent chance of getting a very good rate. Having the big down payment will help tremendously.

[Anonymous]

I just checked Experian.com and they show my CS as being a 691 w/ no collections and 2 inqs. There are a few lates from my mortgage but that's the only baddie really.

I would like to get a 2010 or 2011 BMW 3 series,  Dodge Challenger, Mercedes GLX, or a Jeep Patriot (newer model). I feel so bougie wanting a luxury car but it's what I want. 

[Creditaddict]

i don't think you will have a problem getting approved but you picked all high expense mant. cars... i would look into a certified bmw with warranty if you go that route, same with mercedes... don't know about the other 2.

[Anonymous]

Thanks CreditAddict. Hopefully I can hold out for a year.. it might be 6 months from now... who knows.