Navy FCU Help!

[Anonymous]

Hi,

I am an e4 in the Navy looking at getting an auto loan. My wife has been freaking out lately, and I wanted to ease her mind. We applied for the loan on 4/20/2009, and we still have a pending status, We were just turned down for USAA and PenFed for an auto loan.

I wanted to know what the chances for us getting an auto loan for 13.5K for a used 2007 Honda Fit with 23K miles on it. My EQ fico is 688 with no baddies.

The reason why we were denied with USAA is because of a lack of established credit history. I have had my credit card for 1 yr, 1 month, and that is all the credit I have. My credit to debt ratio is at 28%.

Thank you

[Anonymous]

1- STOP!!!

2- GO TO FRIDGE!!!

3- MAKE A COCKTAIL!!

4- DRINK COCKTAIL!

5- RELAX!!!!

OK that being said.

General rule of thumb: Most conventional  Financial institutions do not give automobile credit to E4 and below.

USAA- is NOT FRIENDLY with the loans to the lower ranks. They were started by officers, until recently you had to be an officer to be a member, and they are still not as financially "friendly" to the lower ranks. I could have told you they would have denied you. Before you applied.

PENFED: so conservative that you had no chance at all. I find them worthless. I would quit dealing with them and transfer your assets to NFCU. PENFED is a great institution if you have AWESOME CREDIT and a high income otherwise they are happy to take your money but stingy to extend credit. They are very score dependent too, not being above 700 seems to pretty much cause an autodecline.

NFCU: BEST STARTER BANK/CU OUT THERE, especially for MILITARY..

You will probably be approved there unless: you are 1 year or less to EAS. They do not approve in that case. Sorry. (nor do they approve if you are less then one year on a new job, so EASing and taking a new job kills you for 2 years...)

And as long as you do no thave a high DTI ratio, any derogs, and have the free income to pay the loan you should not have a problem getting credit.

UNDERSTAND YOU ARE SOMEWHAT CHALLENGED IN GETTING A LOAN.

NFCU sees that and they have taken your information and are in committee with it. It may take a few days. You can easily call them and see whats up. They may have tried to call you.

But yes it is nothing new to need a few days for them to review your loan request. You applied the 20th. A human probably did not even get the paperwork until today.

Long Island Iced Tea?

Message Edited by usmc58555 on 04-22-2009 07:04 PM

[Anonymous]

BTW:

Your case is the prime example of why I cringe every time I hear the whilly nilly advice given on the boards of simply "try your local credit union."

Credit Unions are not banks.

They are not publicly held companies that are slaves to Wall Street profit estimates.

Since their members are the "stock holders" they are viewed as being more friendly to the needs of their members and more likely to extend credit to those members.

The only thing is, thats a rule of thumb. Not the law.

Credit Unions have their own individual lending standards and those could be equal or even more stringent then your national BIG BROTHER bank.  Just because its a credit union does not mean you will get financed from them. Or that you cannot get financed from another.

Yes, credit unions trend to work for their members, yes they trend to take a more personal interest in each case, but that does not mean by default that all credit unions will, or do, or even can help you.

I think you are going to get approved.

I think you should get an insurance quote from USAA and from Geico using your NFCU membership discount.

Keep the PENFED open, who knows you might actually become a citizen in their eyes and be able to use them. Personally I don't like parking my money in a place that won't extend credit to me, so just put a little in every quarter or so.

[Anonymous]

Great news: We were approved. My wife was freaking out so much, she gets streesed over everything.

Anyways, we have one car already, and she doesn't like driving the standard in traffic, which is why we are getting the new one.

I have been with USAA since I was 9, my dad was an officer and set up the account. I was a little disappointed to see that I was denied, but oh well.

We do have insurance with them, and I doubt that we will switch.

Thanks for all the help guys.

[Anonymous]

congrats!!

Let us know the details: amount, rate, term, payment please

[moondog7324]

Take USMCs advice and at least get a qoute from GEICO- through the NFCU website- you may be surprised. I don't know if you can get a USAA quote- but insurance co.'s offer affiliation discounts that can be decent. I also suggest since you got the loan with NFCU try the loan calculator and see how much you will save, time and money by making bi-weekly payments.

[Anonymous]

We already planned on doing bi - weekly payments.

It is going to be $270 per month at 6.75%