any suggestions

[rohan0784]

Good afternoon forums.I just got my score up to 650 and all my credit card balances to about 7% and i want to apply for an 25,000 auto loan.I am a member of a credit union for about 6mo and  was wondering should i wait or apply now and if denied are there any other reccomendations.I have (1) paid charge off from a yr ago,(1) 6yr old collection for 121,and (1) more baddie from almost 2yrs ago which shows as still open. i also gross about 200,000 but only net 75,000. One other note my debt to credit raio is in the low 40s, i have 3 credit cards totaling 1200 all open and paid on time for 1yr,(1)auto loan paid on time for the past 2.5 yrs with only a 2000 balance that i will pay off if approved,a student loan and lease also paid on time for the last 1.5 yrs. I am new to this credit game and  any help would be appreciated thx

Message Edited by rohan0784 on 07-16-2009 05:14 PM

Message Edited by rohan0784 on 07-16-2009 05:20 PM

[203bravo]

Based on the facts that you've posted - you should be fine.  Things that will help:

* Do you have a cash savings

* Stable work history? - been at your current income and job awhile (1 - 2 years?)

* Do you have a significant down payment - Would probably be ok to use the moneies that you have to pay off some of your smaller debts as a down payment instead.

* I would get a copy of your credit report - take it to your credit union and speak 1:1 with the loan officer.. see what he/she has to say and their recommendations about underwriting standards.. this will give you a clear view without having to go thru the credit app and credit pull if they think there are no chances at this time.

Best of luck.. and make sure you hold out for a decent interest...You probably will not quailfy for the lowest teir but you should be at the highest tier either with your score.

[rohan0784]

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@203bravo wrote:

Based on the facts that you've posted - you should be fine.  Things that will help:

* Do you have a cash savings

* Stable work history? - been at your current income and job awhile (1 - 2 years?)

* Do you have a significant down payment - Would probably be ok to use the moneies that you have to pay off some of your smaller debts as a down payment instead.

* I would get a copy of your credit report - take it to your credit union and speak 1:1 with the loan officer.. see what he/she has to say and their recommendations about underwriting standards.. this will give you a clear view without having to go thru the credit app and credit pull if they think there are no chances at this time.

Best of luck.. and make sure you hold out for a decent interest...You probably will not quailfy for the lowest teir but you should be at the highest tier either with your score.

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Thanks for the advice and to answer your questions i do have a savings and have been at my current job for 20 months. And at this income for 15mo.I was hoping to get the loan with 0 down that way i can pay off my other auto loan.Once again thx for the reply i guess i will give it a try