Personal Loan affect Auto Loan?

[wendyh17]

My husband recently took out a personal loan for 19K with a 12% APR (to consolidate credit card debt) and we are in the market to purchase a new vehicle (finance). I realize that it may not have been the perfect time but the interest rates on those cards were going to drown us. Will the personal loan affect his chances of receiving an auto loan with a decent APR? He had been preapproved by Capital One early last week before taking out the loan. If you've had experience with this, can you please tell me how it impacted you? Thanks!

[Shooting-For-800]

Fico Scores?

If you use the money to pay off other cards, you should be fine.

If he qualified for $19k unsecured I would think you both could qualify for $30k - $40k secured.

Utilization?

Check Cap One prequal.

Wait till paid cards report if you it will help.

GL!

[wendyh17]

I appreciate your insights. His scores now are in the 680 range, but according to multiple credit simulators (I know it's not concrete) -- it should be in the 700s-720s range. He used the loan to pay off most of his debt except about 25%, which he is still working on getting down.

[Shooting-For-800]

I got Cap One lowest rate (2.49% @ 72 months) when my scores were under 700.

I did have multiple cards with Cap One though.

Just make ale sure you check options BEFORE going to the dealer.

GL!