Will I Qualify for Honda Lease?

[Dennis885]

I’ve read a lot of varying reports on what it takes to qualify for leasing with Honda. Wondering if these scores will do. I settled a 3 credit cards which is hurting my scores, on the positive I have a 100% payment auto loan on file and student loans are my only current debt. I have one current credit card which has been open for about 7 months I never change more than $35 to it without paying. Thanks for your help.

Scores pulled today:

Experian (690)

Fico Auto 5/4/2 = 742
Fico Auto 8 = 708
Fico Auto 9 = 721

Equifax (695)

5/4/2 = 711
8 = 714
9 = 732

TransUnion (696)

5/4/2 = 700
8 = 715
9 = 705

[Anonymous]

Yes.

Source: I have a buddy that’s a Sales Manager at an Acura store and told me Honda Financial buys down to 600s for leases.

[Dennis885]

Thanks for the reply.  I guess what I should have asked was will I qualify for a good money factor on a lease? 

I'm not sure which bureaus and/or scores they'll pull.  I found the published chart below which is based of Equifax Auto 9, which would actually put me in a pretty high tier.  Equifax was my second best Auto score (732) only behind Experian Auto 2 (742) which seems older and less likely to be used.

https://www.hondaofseattle.com/rates.html

[Anonymous]

Honda Financial pulled Equifax for my 2019 Acura lease. I was a 695 at the time and fell in tier two for money factor, 700 was the cut off for tier 1.

I can look through my paperwork tomorrow and see what scoring model they used and report back, but I’m pretty sure it’s Equifax Auto 9.

[Dennis885]

I've read quite a few posts with Honda pulling Equifax, so I'm optimistic. 

I've researched the top tier MF on Edmunds and would obviously love to get that, but worst case sounds like I could get into second tier.  It would be my first lease, I want to make sure the dealer doens't pull any funny stuff with the money factor to boost their profits.

Thanks again, really appreciate it.

[Dennis885]

How far will Honda look beyond the score?  I have some baddies on my report (credit cards settled less than full balance) that I'm worried about, and also I only have one secured credit card currently with only a $500 limit.

On the positive I have a 100% payment auto loan on file and my debt to income is about 17% on a ~$55k income.  I'm just worried I'm going to get my hopes up for the lease, get there and be denied or given a garbage money factor.  I did prequalify with Capital One Auto Nav 60 months @ 4.34% so I could finance the vehicle, but I'd prefer to lease with low/no down payment, and get something new in a few years anyway.

[IPIF]

does a loan from Honda Financial report as a CFA?

deos a Honda lease also report as a CFA?

[Dennis885]

What is a CFA? I tried to google it not sure I was finding the right topics.

[IPIF]

CFA=consumer finance account

A CFA on a credit report will reduce FICO score by a small amount for possibly 10 years.

CFA is usually an installment loan from a store to buy something such as furniture.

But there are some posts on one of the other FICO forums that say that Honda Financial is coded as a CFA.

I don't understand how a lease is reported to CRAs.

I asked the question because I am thinking about buying a new Honda. I will get preapproved at credit union, but I am sure that the dealer will want to try to beat the rate. If Honda Financial is coded as CFA, then I will tell the dealer that I am not interested in Honda financing.

[Dennis885]

I understand. I highly doubt an auto loan/lease would be categorized the same a rent-a-center, but maybe someone else can chime in.