Question about DCU ltv

[thewupk]

So my family is expanding and we are going to be needing a bigger vehicle within the next 6 moths. Currently I am roughly $3K in negative equity on our current car. The car that I am looking at is currrently has a $25K NADA retail value. The dealership currently has it listed as $20K due to rebates and their incentives. So if I rolled my negative equity into it the price would be $23K without the taxes and other fees. So with that being said this is from the DCU auto loan page.

• Borrow up to 120% of Price – Qualified borrowers can finance up to 120% of NADA retail book value or 120% of the purchase price – whichever is less, PLUS DCU GAP and DCU Warranty. DCU will only finance over 100% when it's DCU's GAP and Warranty, not dealer add-ons.

Considering it's only 100% when not including DCU's gap, etc would they be basing that LTV value going off of the NADA retail value of $25K or  the $20K value which includes their rebates and incentives.

[Anonymous]

Whichever is less- so 120% of purchase price

[Luscher]

I think if they are rolling the 3k into the 20k then your purchase price would be 23k and you would have no problem

[thewupk]

After looking at it again I figured that's likely what it would be. So essentially the purchase price is the final amount of what the loan would be. Which includes any negative equity, price of car, rebates, tt&l if includes, etc. Is that correct?

[Luscher]

Yes, but you should double check with the lender