Refinance Auto Loan

[Anonymous]

So now you know that DCU uses the Equifax Mortgage score.  Don't worry about the middle score that's only for Mortgages for the most part where they take the middle score.  Since you say your middle score is 607 maybe Equifax is higher?

DCU used to publish what score range was Poor, Below Average, Good, Excellent and Superior but I can't seem to find that.

Once you make it into their Below Average on the Equifax mortgage score then up to a 65 month refinance would be at 5.49%.

Found it see image.

They may have other requirements like I know it's either a hard or virtually impossible policy to circumvent to offer loans until 2 years post discharge so having collections may be cause of a denial.  There may also be other limitations because of the age of the car.

They have a 24 hour loan hotline I don't know how knowledgable the call center is on policies like the above but maybe you could give them a call and find out.  

This is just one example.

Consider the following - dealers and driveline want to make money off you and offer you the highest rate you will accept.  If the dealer arranged the financing they made something on it and could have skipped their cut and given you a lower rate so it makes sense other places could offer a lower rate.

Also every lender is different.  Despite just refinancing for 3.75% for 72 months I guarantee you other lenders would have charged me much more some maybe even over 10% or 15% just depends on the particular score they use.

What a win it would be if you could refinance at 5.49%.  If your Equifax mortgage score is above 600 then it might just be worth a shot trying DCU.  Not pushing DCU in the least just speaking about what I know and I primarily bank with them.

However you should google and see if you can find more about their requirments like current collections, time since late....

We are rooting for you.

[dytch2220]

Equifax mortgage is 634. Will give DCU a look.

[Anonymous]

If you do apply at DCU 1 inquiry is good for 30 days maybe a little longer so after you get approvedf or the car loan maybe apply for their Visa too.

[Anonymous]

I think the age of the car will be a factor in refinancing.  The good news is you have the best possible credit union in Navy.  You have some rebuilding to do but you certainly will have options with Navy when you have scores in the 600's.  I would put the goal of the refinance on the back burner and focus my effort on addressing your scores, until they improve as you know your options are limited.  The rebuiling thread here is a great place to go, they helped me tremendously and it feels great to rebuild to a score that allows you to get credit at reasonable rates.  In the mean time it would be a good thing if you could pay down the balance on that car loan, it isn't going away (unless you file for bankruptcy) and chances are refinancing given its age is going to be a challange so the best way to limit your interest costs is paying downt the balance early.  Once your scores improve you may be able to get a checking line of credit or personal loan to help accelerate that process at lower interest expense and refinancing may be an option with Navy.  I am afraid USAA is far too conservative to refinance you with a repo history.  

You can work through this, it will be tough but you'll get through, it is a marathon not a sprint so hang in there.

[dytch2220]

I threw caution to the wind and applied with NFCU, APPROVED!!! I haven't even made my first payment to Bridgecrest yet. The interest fell from 22.259% to 7.09% - I was floored. Same term and saving 78 bux a month.

[Anonymous]

That is awesome!