Tesla Model Y Financing

[ChemE_Bear]

I am looking to finance a Model Y in the next 3-6 months but was wondering if I would even qualify for such a large auto loan based on my previous small auto loan amounts and young file or if I should apply with my husband who has a marginally older credit file and use our household income.

FICO 8 EX/EQ/TU: 748/747/741

FICO Auto Scores EX 2/8/9: 779/749/755, EQ 5/8/9: 733/747/765, TU 4/8/9: 720/766/749

My scores have dropped slightly from new accounts but my inquiries are EX/EQ/TU: 3/0/1

Revolving Accounts in signature, with four cards opened in the past year (February Disco, July AMEX, August Citi and Apple) and one 4 year old AU account.

Installment accounts: 2 student loans original loan amounts $12,500, about 93% owed as I recently graduated, paying twice the minimum so that should continue to decrease over the next few months but won't likely reach the 65% owed level before auto loan application. One auto loan closed July 2020 (opened September 2018) with perfect payment history of 2x the monthly payment but was only for about 6k.

I was wondering if I would be able to be approved for an auto loan of 48-52k with an income of 105k (with <1yr employment at this position) and a DTI of <25% or if I should apply jointly with my husband in order to use our household income and given my short credit history?  I am currently at 4% credit utilization and am in the process of implementing AZEO, not sure how much that impacts FICO auto scores or the loan amount.  Our household income is 305k and my husband has scores similar to mine, although I don't have the exact numbers after he recently opened an auto loan. He has 8 years employment history with his current job. Any advice is appreciated.

[CreditCuriosity]

Be intersting as might run into a term I call sticker shock although income is fine and DTI is good and can afford payments on own 105k salary your last auto loan of only 7k and probably pretty low payments would hurt your chances.  What I am referring to with regards to sticker shock is you will suddenly say go from having a 200 auto loan payment to around 900 loan payment which is a good percent increase and scare some lenders away.  I wouldnt use tesla financial.  Actually my good friend just bought a model S from tesla two days ago and used NFCU and got 2.2% rate he has ficos in the 800's and a long credit history though although i was also worried slightly about him as didnt get instant approval came about 4 hours later as asked for 80k on 150k+ salary.  I was worried he would also possibly get hit by sticker shock as his last car was 400ish payment and no instant approval which I am use to always getting when I apply due to a thick installment and car loan history.

You might be better offer applying with your husband if he has had a higher car payment in the past than yourself.  I wouldnt use tesla financing either as you can find better through various CU at a rate of around 2.x-4.x will probably be your rate depending.

Sure others will weigh in here that are more familiar with tesla I know @Revelate recently bought a model 3 and not sure who he used and some other tesla owners, etc and their experience.

[ChemE_Bear]

Thanks for the informative response! I'm not sure if applying jointly will help me much as my husband's auto loan was opened very recently so although the payment is higher than my closed auto loan, he has a large amount owed and its a new account so not a long history with that payment.  I thought if I applied through Tesla financial they might be able to leverage their relationship with the lenders they use to make it happen with just my income, although I know on the Tesla Motor Club forums they have a spreadsheet of multiple CUs that have lower interest rates.  I don't qualify for NFCU, but I do qualify for a local CU listed on the TMC spreadsheet.  I know shopping around is part of the auto loan game but I'm trying to minimize the number of inquiries and choose lenders who are open to my profile/large auto loans.

[CreditCuriosity]

Glad you found that forum has some good data points and spread sheets.  When we was pending on his approval I was getting a bit worried for him so was planning to help him on a plan B with other lenders, etc..  Just from what I have read usually tesla financing never seems competitive to various other CU's as I am sure you have seen as well although they say they will match after you find another loan, etc...  Is it really worth it at that point?  That spread sheet was interesting and gives some insight on various lenders and terms.  I am sure others will weigh in tonight/tomorrow, etc..

[Revelate]

I actually used Tesla financing, wound up with 3.85% but probably could've done maybe 1% better at the time with a CU.

Wasn't really worried about it and this was late 2018, rates have moved downward since then, as is I'm just looking for the right time to just pay the darned thing near off.

In my case I haven't driven enough to have justified a new car in 2018, and today I surely wish I had my old one when a darned truck kicked up a rock on an overpass and cracked my windshield .  Oh well, the service center is bugging me anyway to get the new FSD hardware installed and it is far and away the most brilliant and awesome car I've ever driven personally.  I just bought it right after going on the road or working from home 99% of the time and that was before COVID, whoopsie.

[ChemE_Bear]

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@Revelate wrote:

I actually used Tesla financing, wound up with 3.85% but probably could've done maybe 1% better at the time with a CU.

Wasn't really worried about it and this was late 2018, rates have moved downward since then, as is I'm just looking for the right time to just pay the darned thing near off.

In my case I haven't driven enough to have justified a new car in 2018, and today I surely wish I had my old one when a darned truck kicked up a rock on an overpass and cracked my windshield .  Oh well, the service center is bugging me anyway to get the new FSD hardware installed and it is far and away the most brilliant and awesome car I've ever driven personally.  I just bought it right after going on the road or working from home 99% of the time and that was before COVID, whoopsie.

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Ha - you don't have to convince me!  I am just trying to determine if waiting 6 months vs. 3 months is going to be a big enough impact on my scores as accounts age to make a significant difference in rates/amount I am loaned as I really don't want to put down a downpayment larger than my $5k trade-in + $5k or so.  I am tempted to apply for financing through Tesla just because its so convenient - I have read some others getting 2.99% through Chase when applying through Tesla financing.  Are there multiple inquiries when applying through Tesla financing and if so how many HPs did you have? I may try to apply with my own income through Tesla and if I'm not offered low enough rates or high enough loan amount do a joint application with my husband through a local CU.  We have banked with Chase for 15 years and have a couple of Chase cards, I'm not sure if that would help us getting financing through them.

[CreditCuriosity]

@ChemE_Bear just a word about Chase I wouldn't use them..  My best friend now drives a 200k+ car, but back when he was working his way up the career later about 5-7 years ago he at the time was driving i beileve a mercedes I believe around a 70k car or so.. Making 200k+ a year at the time he applied for financing for a Porsche Cayenne at the time over 100k thinking around 120kish, forgot the exact amount and also banked with chase.  They turned him down due to what i mentioned earlier sticker or payment shock as it was a considerable jump in payment per month and I believe he just went with porsche financing and ended up getting financed and he also had 800+ scores and a good income, etc.. Chase is one of those lenders that will look at last vehicle payments and current vehicle payments and deny for that reason alone.  

Tesla financing might be the best best, but i dont know if they do one HP and shot lenders with that HP or if each lender they try to get with you with does their own HP.   Someone hopefully can answer that for you.

[ChemE_Bear]

Oh, that's good to know about Chase. Thanks!

[Cjethompson2017]

@ChemE_Bear I am using penfed to finance my Y. I was approved on my own for $45k, and my income is $66k. I am planning to add my husband to see if we can get it a little higher. Here in Texas, Tesla uses Alliant Credit Union. Not a fan. They use transunion vantage score 4 instead of a fico score. 

[ChemE_Bear]

@Cjethompson2017  Thanks for the information, I will definitely check them out.  I've seen Tesla uses Chase, Wells Fargo, and US Bank a lot.  I'm in CA, not sure what they pull here. Can I ask what your credit history length is and if you have other auto loans that were close in payment previously?