Good morning,
How does this work? Who & what does Chase pull from for prequalifying? Also, as I have always leased or financed at my local GMC dealership, how does the whole process work? Does this allow for leasing or only financing? I have not done this before so I am wondering which route is best. The last time I leased in 2020 the dealership ran 10 HP's (obvi due to my crappy credit so that's on me) but with my credit far improved and with more knowledge about credit, I want to make sure I set myself up for the best choices from here on out. Thanks in advance!
Starting Score: 461
Get a solid offer or pre approval from a bank and show them.
@Mdowning30 thanks for the reply. Not to ask a question from a question but.....so you are saying that Chase doesn't do the financing themselves? I assumed if I was prequalifed through their auto link that they would be the ones giving me the check? That is why I asked how it worked, I thouhgt maybe if I prequalified and chose them that i would then take something from Chase to the dealership to buy said vehicle. There ya go, seems as I REALLY don't know how this works, lol! Thank you again.
Your offer from Chase i would take it to the dealership and show them. That way they dont try and shop you around with their finance companies and hard pull your credit multiple times. January 2021 i had no choice due to having poor credit, Toyota ran my credit 5-6 times resulting in nearly 50 point loss. Now i can say i can qualify with Chase, which they're my primary bank. But i plan on going through the process again but this time on much better terms to refinance that loan.
Thank you again for the info. So I would do the prequalify on Chase Auto and once I have that in hand I then bring that offer into any dealership and tell them to not try running my credit as I am using Chase? How does it all get wrapped up then? Sorry for all the extra questions. I have tried researching how this works and I end up with more questions than answers. TY again!
@IamWesty12 Its a fairly straight forward process, very much in a simplified form as to what you describe. One thing that I noticed last year when I bought my new explorer was a good number of dealerships are trying a pitch "That they are not accepting outside financing at this time". This is a fight or flight moment as far as I am concerned, when I expereinced this, I told them they would take my financing or I would walk. In the end they took my financing, but not without several attempts to let them shop me.
@JM427 woah....wow, I guess nothing is unheard of during times like this?!?! I so appreciate your help and advice. I would hope that in the same moment I would also do exactly what you did and hold your ground.
I am in a pickle and can't quite decide what is better. I have a higher lease payment due to obvious past credit issues. I was prequalified for my very first mortgage last summer and although I know I will need to reapply again due to the time line, I am trying to better situate myself. During my mortgage prequal, the lender told me that although my DTI was ok, if I could do anything about my monthly lease payment that would be benefiical overall. Flash forward to now, 2 years since I took out the lease with a higher payment and my credit scores are much better and with my stellar payment history I am quite confident I would be able to turn in my current lease early and then take either buy/lease a new vehicle but at a much lower monthly payment. BUT, from all my research and also with the great info on this forum, I know it is not a good idea to pay off/take out any new loans in the 6-12 months prior to applying for a mortgage. Here within lies my conundrum. What do I do? I know ultimately I can only decide this but honestly, I just don't know. I have never bought a home before and to even be prequalified last summer was a huge accomplishment for me. I am just praying that I will be able to find our first home once I apply again. At least the end of June this month the mortgage apps will turn one year old so those inquiries will not affect me moving forward. Also, in October of this year, the 10 (yes I did mean 10) inquiries the dealership ran to get my high lease approved will also turn 2 years old and go bye bye. So lots of optomism but also lots of unknowns. I will be greatly appreciative for any and all advice on this. Oh, and part of the above is also why I was asking about how Chase Auto prequal happens. I was approved for a new cc with Chase and also opened a checking and savings account with them as I read lots of good things about them in terms of interest rates and banking in general. Sorry to go off on a tangent, but again, thank you to all for any advice! It means quite a bit. Have a great night all!
@IamWesty12 wrote:@JM427 woah....wow, I guess nothing is unheard of during times like this?!?! I so appreciate your help and advice. I would hope that in the same moment I would also do exactly what you did and hold your ground.
I am in a pickle and can't quite decide what is better. I have a higher lease payment due to obvious past credit issues. I was prequalified for my very first mortgage last summer and although I know I will need to reapply again due to the time line, I am trying to better situate myself. During my mortgage prequal, the lender told me that although my DTI was ok, if I could do anything about my monthly lease payment that would be benefiical overall. Flash forward to now, 2 years since I took out the lease with a higher payment and my credit scores are much better and with my stellar payment history I am quite confident I would be able to turn in my current lease early and then take either buy/lease a new vehicle but at a much lower monthly payment. BUT, from all my research and also with the great info on this forum, I know it is not a good idea to pay off/take out any new loans in the 6-12 months prior to applying for a mortgage. Here within lies my conundrum. What do I do? I know ultimately I can only decide this but honestly, I just don't know. I have never bought a home before and to even be prequalified last summer was a huge accomplishment for me. I am just praying that I will be able to find our first home once I apply again. At least the end of June this month the mortgage apps will turn one year old so those inquiries will not affect me moving forward. Also, in October of this year, the 10 (yes I did mean 10) inquiries the dealership ran to get my high lease approved will also turn 2 years old and go bye bye. So lots of optomism but also lots of unknowns. I will be greatly appreciative for any and all advice on this. Oh, and part of the above is also why I was asking about how Chase Auto prequal happens. I was approved for a new cc with Chase and also opened a checking and savings account with them as I read lots of good things about them in terms of interest rates and banking in general. Sorry to go off on a tangent, but again, thank you to all for any advice! It means quite a bit. Have a great night all!
Obviously every mortgage lender is different, I closed on our first house in a very long time a couple months back in March. In the previous year before the mortgage app, I got 3 new credit cards, refinanced my wifes car to lower the Interest rate, bought a new car for me, and bought a new car for one of my boys. The lender asked me about the inquiries from 2 aspects, did they result in an account, and is the account on my credit report. The only other questions was the reasoning for the accounts, which in my case like yours was to lower debt burden and DTI. In my case they were totally fine with it, and my mortgage process was super smooth, and I had quite a bit lower scores, mid mortgage in the 650 range. I say all of this to make the point that if there is a good reason for making a financial move, I think you will be fine, just do it as soon as possible, and thus further before the mortgage app, and nothing once you get into the mortgage process.