Post Bankruptcy Auto Loan success?

[Caliboy97]

Hello Team,

I got discharged in September all my scores are in the 640/650 range, I am looking at financing a Kia Telluride for about 40k then refinancing in a year again. What financing companies had you guys been lucky to get financing from? 

Income: Base pay is around 75K a year plus OT 

Payment isn't the biggest issue but I don't want to pay over 1K a month 

[DebtStinks]

Did you carry any loans (car, house, etc) through the BK?

I financed a vehicle less than a year from CH7 discharge and financed it with HMF/KMF on a new Sonata at their best rate on Tier 1.

DP's - I did have my student loans I carried through the BK with flawless 6-year history as well as a reaffirmed auto loan with a flawless 5+ year history at the time of approval with scores in the 690's.

Best of luck!

[Caliboy97]

The only auto loan I have is one I paid off back in 2017. My newest one was with Honda but once I filed they take it off your credit and got told even if I reaffirmed they wouldn't put it back on so I didn't. 

I also have student loans on my record but they have been in deferment was suppose to start making payments in April but due to cares act postponed it till February. 

[Mjhall85]

I append with capital one after bankruptcy and got decent rates. They were between about 5-9% on newer cars. Ultimately I went with the dealer financing from Chrysler and got 4% on a new Dodge Ram warlock. I pay just over 500 a month on a 6 year note and this was about a month out of bk and my scores were lower than they currently sit. You should be able to get a decent rate with your scores. 

[Caliboy97]

Thank you for the feedback I have seen horror stories of over 20% interest rates after bankruptcy so I didn't want to get that far up so sub 10% would be perfect. My last car was 5% and perfect payment history but due to the BK it doesn't show anymore so pointless to continue payments on it with it running up on mileage.

[Mjhall85]

I was just like you I saw horror stories of like 18-23% and I figured that would just be part of life after bankruptcy and could refinance down the road but it effects everyones credit differently.

I would honestly try to setup your own financing unless Kia has some good incentives for financing with them. Could always do a soft pull with auto navigator about when you're ready to get an idea.

You belond to any of the larger credit unions or a local one ? They are usually great and rates are solid. Best of luck in buying! When you do get it post it up so we can see it.

[Caliboy97]

Kia has some low rates but I'm not sure how they are with people with bankruptcies.

I have tried to prequalify with different companies but they always hit me do a hard pull to see rate even Capital one won't do a soft pull.

I have a few CUs. Navy Fed I have seen will refinance a car but won't finance one straight out of bankruptcy. SchoolsFirst CU declíne me a auto loan even though they granted me a unsecure line of credit. I also have Altura CU but not sure how they will work with me since I never really used them. 

[DebtStinks]

Try this link for Capital One:

https://www.capitalone.com/cars/prequalify/

Kia (KMF) and Hyundai (HMF) are the same thing...I got my loan (as previously referenced) less than a year out of my BK.

The sweet spot is having a score of 640+ on the bureau they pull...the bureau is dependent upon your regional buying center.

Best of luck!

P.S. Not only did I get a loan with HMF (same as Kia) but I worked in Finance @ a Hyundai dealer for 7 years.

[Caliboy97]

Yeah I have tried that link multiple times and I don't know if they blocked me but I never get a prequal from Cap1 Auto even with having a card with them know.

That's good news to hear about their financing. I pulled the trigger on NavyFed they have been good to me and didn't burn them so I'll see what happens there then pull trigger with Kia financial.

[sccredit]

If I recall correctly Altura likes to see 2 years after BK with a solid rebuild, minimum score of 640. Give them a call though, their reps and underwriting have always been pretty informed in the past.