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Is 0% APR possible on a car loan a year post discharge?

New Visitor

Is 0% APR possible on a car loan a year post discharge?

Hi all,

 

im a year post discharge and I'm sure this is a dumb question, but is it possible to get a 0% apr on a car loan? There's an offer right now for "qualified applicants". According to the person I've been emailing I could still qualify, I'm just worried about getting a hit on my credit score and then not qualifying. My credit scores are 634, 660 and 664.

 

thsnks!

Message 1 of 11
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Contributor

Re: Is 0% APR possible on a car loan a year post discharge?


Hoping4TheSun wrote:

Hi all,

 

im a year post discharge and I'm sure this is a dumb question, but is it possible to get a 0% apr on a car loan? There's an offer right now for "qualified applicants". According to the person I've been emailing I could still qualify, I'm just worried about getting a hit on my credit score and then not qualifying. My credit scores are 634, 660 and 664.

 

thsnks!


I'm sure if you have no lates on your report since your bk then you could certainly get 0% financing with the right down payment. It's going to depend on if you have a down payment to offer. You will not get 0 percent apr with no money down. 

Pro Se Chapter 7 discharged July 2015
Message 2 of 11
Contributor

Re: Is 0% APR possible on a car loan a year post discharge?

I take that back, it might be possible to get 0% apr with no money down IF you have great income. 

Pro Se Chapter 7 discharged July 2015
Message 3 of 11
Community Leader
Super Contributor

Re: Is 0% APR possible on a car loan a year post discharge?

Income would play no part on obtaining 0% financing (other than DTI). Income plays a role in DTI and affording the payment. Example, have had people approved for 0% but DTI wouldn't allow the payment so loan is turned down without co signer.

 

It really depends on the lender and what they are looking for. I was able to get Nissan 0% but I was 3 years post d/c. Some lenders will have a score minimum and others won't.

Filed BK7: 7/2012 (start score EQ 560 / TU 529) Discharge 10/2012
740 EQ FICO 06/2018
750 TU FICO 06/2018
741 EX FICO 06/2018
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Re: Is 0% APR possible on a car loan a year post discharge?


Scupra wrote:

Income would play no part on obtaining 0% financing (other than DTI). Income plays a role in DTI and affording the payment. Example, have had people approved for 0% but DTI wouldn't allow the payment so loan is turned down without co signer.

 

It really depends on the lender and what they are looking for. I was able to get Nissan 0% but I was 3 years post d/c. Some lenders will have a score minimum and others won't.


I find it funny you deem my post incorrect by saying it would play no part, then proceed to explain why it would play a part, which deems my post correct.

Pro Se Chapter 7 discharged July 2015
Message 5 of 11
Community Leader
Super Contributor

Re: Is 0% APR possible on a car loan a year post discharge?


holmesnmanny wrote:

Scupra wrote:

Income would play no part on obtaining 0% financing (other than DTI). Income plays a role in DTI and affording the payment. Example, have had people approved for 0% but DTI wouldn't allow the payment so loan is turned down without co signer.

 

It really depends on the lender and what they are looking for. I was able to get Nissan 0% but I was 3 years post d/c. Some lenders will have a score minimum and others won't.


I find it funny you deem my post incorrect by saying it would play no part, then proceed to explain why it would play a part, which deems my post correct.


"I'm sure if you have no lates on your report since your bk then you could certainly get 0% financing with the right down payment. It's going to depend on if you have a down payment to offer. You will not get 0 percent apr with no money down."

 

Your post makes it sound like having a down payment would impact being approved or denied for the rate. Being approved for a loan in the first place has to do with DTI. Being approved for 0% financing has nothing to do with down payment. There would never be a time that a car dealership says, "We have you approved for 3% financing but if you put $5,000 down we can get you 0%"

 

I was simply making it clear that a down payment has nothing to do with being approved for 0%. FYI, I got 0% financing with nothing down and I wouldn't call my income "great". The point of my post was not to call you out like you may think. It is just to make sure viewers see the correct info Smiley Happy Hope you can understand that  

Filed BK7: 7/2012 (start score EQ 560 / TU 529) Discharge 10/2012
740 EQ FICO 06/2018
750 TU FICO 06/2018
741 EX FICO 06/2018
$24k NFCU Platinum | $25k NFCU cashRewards Sig | $15k NavChek | $7.1k Cap1 Quicksilver | $10k Amazon Store | $19k Cap1 VentureOne | $16k Barclay Aviator | $5k Chase Freedom | $5k Chase Sapphire Preferred | $9k Costco Visa | $20k AMEX BCE
Message 6 of 11
Contributor

Re: Is 0% APR possible on a car loan a year post discharge?


Scupra wrote:

holmesnmanny wrote:

Scupra wrote:

Income would play no part on obtaining 0% financing (other than DTI). Income plays a role in DTI and affording the payment. Example, have had people approved for 0% but DTI wouldn't allow the payment so loan is turned down without co signer.

 

It really depends on the lender and what they are looking for. I was able to get Nissan 0% but I was 3 years post d/c. Some lenders will have a score minimum and others won't.


I find it funny you deem my post incorrect by saying it would play no part, then proceed to explain why it would play a part, which deems my post correct.


"I'm sure if you have no lates on your report since your bk then you could certainly get 0% financing with the right down payment. It's going to depend on if you have a down payment to offer. You will not get 0 percent apr with no money down."

 

Your post makes it sound like having a down payment would impact being approved or denied for the rate. Being approved for a loan in the first place has to do with DTI. Being approved for 0% financing has nothing to do with down payment. There would never be a time that a car dealership says, "We have you approved for 3% financing but if you put $5,000 down we can get you 0%"

 

I was simply making it clear that a down payment has nothing to do with being approved for 0%. FYI, I got 0% financing with nothing down and I wouldn't call my income "great". The point of my post was not to call you out like you may think. It is just to make sure viewers see the correct info Smiley Happy Hope you can understand that  


I'm sorry but that's wrong. If you have horrible credit you can get a low rate if you have great income, the same applies to getting a low apr if you have good credit, even since a bk discharge. High volume dealers can get the finance arm of the car company they represent to push through a loan if you have a good down payment to qualify for promotional financing. It depends on the volume of the dealership. Low volume dealer would be less likely to get it done. 

Pro Se Chapter 7 discharged July 2015
Message 7 of 11
Community Leader
Super Contributor

Re: Is 0% APR possible on a car loan a year post discharge?

Was a new car sales manager for years at a high volume dealership and it's not like that.
Filed BK7: 7/2012 (start score EQ 560 / TU 529) Discharge 10/2012
740 EQ FICO 06/2018
750 TU FICO 06/2018
741 EX FICO 06/2018
$24k NFCU Platinum | $25k NFCU cashRewards Sig | $15k NavChek | $7.1k Cap1 Quicksilver | $10k Amazon Store | $19k Cap1 VentureOne | $16k Barclay Aviator | $5k Chase Freedom | $5k Chase Sapphire Preferred | $9k Costco Visa | $20k AMEX BCE
Message 8 of 11
Frequent Contributor

Re: Is 0% APR possible on a car loan a year post discharge?

If it helps at all -- I'm a manager a credit union. Rates here are not tied to income. They are tied to credit score (which does not factor income). Income determines DTI and loan affordability. 

 

I wouldn't bet my life on this, but tying rates directly to income would likely be a good way to fuel fair lending suits. Consider that regions with lower income may be more predominantly protected classes. One could, I think, easily make the claim that the lower-income applicants would be unfairly discriminated against by penalizing them with higher interest rates, although there may be no evidence of lesser repayment history.

 

If you have examples of where income is tied to interest rates (vs. loan amount approval), please share.

Message 9 of 11
Contributor

Re: Is 0% APR possible on a car loan a year post discharge?

The OP specifically said the dealer was offering 0% percent promotional financing so it is possible to get that rate if you have decent credit since discharge, albeit in a short amount of time, and good income without a down payment.

 

You don't have to agree. My opinion is my own. I'm not stating this is always the case. If I was, I would stating it as fact. 

Pro Se Chapter 7 discharged July 2015
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