Interesting conversation...


Izach, I say you pick a credit union and move ALL your banking there. After six months of using this credit union, go in and talk to them about getting an auto loan. Not only will all those new credit cards you opened in November have aged, but the credit union with have the last six months of data showing all your direct deposits and the way you handle cash. This will also give you some time to see if your credit scores go up. My credit union has this neat PDF chart where you can see which APR bracket you fall into, before applying. Click here to see this chart.

Regarding how to pick a credit union; I would definitely make sure it's in some kind of shared network. The shared network permits you to bank at other credit unions inside this network, my network has over 4,000 participating locations. See this link for info about this shared network. The myth about credit unions not being convenient has been proven wrong with these shared network tactics.

To conclude, I think it would be wise for you to be patient and wait this out at least another six months.


PS. Lenders typically look at the last six months of hard pulls as the most critical. You have several hard pulls in November, waiting six months will decrease your odds of denial in this retrospect as well.

Great question Meya, from working Part Time at the Used car Lot many Times we ask borrowers to provide the follwing
Pay Stubs - 2011 YTD, 4 most recent
Bank Statements - last 60 Days
Utility Bills - Lights - Cable and Phone
6 Refrences

I have Created a little packet of paper work to take with me with all of the above Information Included, I also plan on visiting theses places during the weekday... Dealer played that game with my Cousin who purchased a car on Saturday, they got him and approval signed the papers took the car then they called him back, oh cause the banks were closed we thought u were A+ credit but now we see your really a C and the rate has jumped....dont want any dealer SHANINIGANS

Basically thats called a spot delivery, the F&I manager pulls the customers credit, and makes an instant decision to deliver the car to a customer. Me being a business manager is totally against this method! I have worked for other car dealers who have practiced that same type of behavior and basically one or two things happen, either the dealer couldnt get the loan approved and you have to track down the customer, which can be a VERY painful process, or we get the vehicle back and its damaged and destroyed because lets face it, buying a vehicle is an emotional purchase, you promise someone something and take it away from them, things can get ugly! Call me old fashioned, but I believe in the old way of waiting for an approval, and if they buy somewhere else because they have to wait, so be it! Atleast I know Im not putting my self or the business on the line if things got ugly. Also too, each lender uses a different scoring model, like I said before, Auto 04 model or classic 04 model can very depending on what the dealer pulls at spot delivery. Were talking a 38-50 point difference and that can make or break each deal, so you are much better off knowing what your working with than to guess.

Also check with local lenders and ask them, do you base your approvals off of risk based pricing? Basically is a scored tiering model, most of them do, however, I have saw alot of community banks and credit unions that dont, and that can be to your advantage! With that kind of equity/cash down there should be NO reason why some lender close to you wouldnt want to earn your business, that kind of cash down puts any lender in a very low risk situation. If you end up having to finance through a dealer, have your ducks in a row, know your scores, and also ask them if they pull credit and what scoring model they use, for expample TransUnion FICO Auto 04/08 or Equifax FICO Auto 5.0, auto enhanced scores in this industry have been known to be higher than classic fico scores.

Great Info Patrick,[/quote]Affinity Federal Credit Union[/B]
Affinity Headquarters
Mountain View Corporate Center
73 Mountain View Blvd.
Basking Ridge, NJ 07920
800.325.0808

Capital One Bank
Morristown
133 South Street
Morristown, NJ 07960
Phone]United Financial Services Community Federal Credit Union[/B]
320 Park Ave
Scotch Plains, NJ 07076

Ally Auto Financing and Leasing
https://www.ally.com/auto/

When I first Decided it was time for a New Car, I went to Multi Chevrolet picked out a Car....33K OUCH, and wanted only to put $5000 down (MY TRADE) and was Declined...NOT SURE WHAT I WAS THINKING, yet Cap One and Ally pulled my report INQ SHOWN)....Should I stear clear of them all together or give it another shot with my larger down payment.

Also how does my trade factor into all of this? Should I sell my car Private Party and Simply put 10K down as Cash?? Do the banks look at this Favorably or not?? I no I could get more from a private party sale, but then i will have to go without a car while a BANK hopefully approves me for the loan, a risk I DO NOT want to take...Partick I no you said I should have no problem but I have to GUARANTEE a way to work...(NO WORK NO EAT)

In addition, there is a Fraud Alert on my Credit file, Placed when i disputed a few accounts in my credit file, the Finance Manager at the dealership said that was also a factor on why I was denied...???? is this true or was he just mad that he proably had to actually pick up the phone and call someone as oppsed to hitting a few keys on his computer...

I was told that a FRAU alert does not have any bearing on your Report.

Sorry for being a PEST with all the questions, just I want to be PREPARED AND REALALISTIC....as stated before being laughed out of a finance office Hurts and back in 2009 was my motivation to save save save and never have to go threw this again...yet i have learned credit repair is no overnight process, takes time and persistance...

Thanks for all the feedback also

Hi Patrick12 and Izach1978! I really love your feed Patrick12, Izach1978 has received good information from not only a member but from someone with experience. I wanted to add something to the subject matter, when Izach1978 provides the pay stub (at the salary listed below), isn't there another factor that dealers weigh in order to provide some type of assurance of repayment? From my past experience, the dealer weighed my overall expenses such as a complete breakdown of my overall monthly expenses. Although there are some applicants who lives within a household rent or bill free, I was wondering should Izach1978 be prepared for that as well and have your company used this method prior to making a decision?

Great question Meya, from working Part Time at the Used car Lot many Times we ask borrowers to provide the follwing
Pay Stubs - 2011 YTD, 4 most recent
Bank Statements - last 60 Days
Utility Bills - Lights - Cable and Phone
6 Refrences

I have Created a little packet of paper work to take with me with all of the above Information Included, I also plan on visiting theses places during the weekday... Dealer played that game with my Cousin who purchased a car on Saturday, they got him and approval signed the papers took the car then they called him back, oh cause the banks were closed we thought u were A+ credit but now we see your really a C and the rate has jumped....dont want any dealer SHANINIGANS:embarrassed:

IZACH1978, can your understand your want for a Bimmer, have two convertibles. Love the cars but take into account the maintenance involved should you decide to purchase

Can you take me for a ride in one....


If I ever get a BMW which I will, its going to be Brand New, with the Scheduled Maintence included...Yea a few of my friends have BWM's and the Doctor Bills are no Joke, same with Range Rover and Jag...those are truly BIG BOY TOYS

Also check with local lenders and ask them, do you base your approvals off of risk based pricing? Basically is a scored tiering model, most of them do, however, I have saw alot of community banks and credit unions that dont, and that can be to your advantage! With that kind of equity/cash down there should be NO reason why some lender close to you wouldnt want to earn your business, that kind of cash down puts any lender in a very low risk situation. If you end up having to finance through a dealer, have your ducks in a row, know your scores, and also ask them if they pull credit and what scoring model they use, for expample TransUnion FICO Auto 04/08 or Equifax FICO Auto 5.0, auto enhanced scores in this industry have been known to be higher than classic fico scores.

Great info Patrick, Yet where do you think I should start? I have a Checking\Savings\Credit Card with with Wells Fargo, but have a feeling to stay away. I have created a List of places to visit. I also feel the need because of my situation to speak with someone in person, I compled and online application with lendingtree, but they dont even ask how much downpayment your looking to use..I got declines from Cap one and Ally, many say those 2 usally work with subprime...

Also will the Bank look at my trade as equity or should I sell it first, then just walk into the bank with cash in hand ? My car is fully paid off, clear Title... I No I could get more on a private party sale but if I sell my car I might have to go without one while the banks work to get me approved...

Affinity Federal Credit Union
Kind of Large Credit union in the area
Affinity Headquarters
Mountain View Corporate Center
73 Mountain View Blvd.
Basking Ridge, NJ 07920
800.325.0808

Capital One Bank -DENIED ME ONLINE
Speak with a Loan Officer face to face
Morristown
133 South Street
Morristown, NJ 07960
Phone]United Financial Services Community Federal Credit Union
Small Local Credit Union[/B]
320 Park Ave
Scotch Plains, NJ 07076

Ally Auto Financing and Leasing
DENIED ME at MULTI CHEVROLET, when I only wanted to put down $5000 and the car was 33K
Before I did my research i went straight to the dealer thinking ok my credit is a lil better and I have $5000 cash, I want this 33K car...DENIED

I just want to stear clear of places Like Credit Acceptance and Westlake Financial not only do they give 24.9% intrest they have sometimes A $2000.00 bank fee. I work at a small used car lot about 80-90 cars Saturday Mornigs only, doing paper work and the stuff I see come across my desk is WILD!!! Cars with 120K miles and a 57 Month term, where the finance charges almost match the price of the car...

IZACH1978, can your understand your want for a Bimmer, have two convertibles. Love the cars but take into account the maintenance involved should you decide to purchase

Hi Patrick12 and Izach1978! I really love your feed Patrick12, Izach1978 has received good information from not only a member but from someone with experience. I wanted to add something to the subject matter, when Izach1978 provides the pay stub (at the salary listed below), isn't there another factor that dealers weigh in order to provide some type of assurance of repayment? From my past experience, the dealer weighed my overall expenses such as a complete breakdown of my overall monthly expenses. Although there are some applicants who lives within a household rent or bill free, I was wondering should Izach1978 be prepared for that as well and have your company used this method prior to making a decision?

Also check with local lenders and ask them, do you base your approvals off of risk based pricing? Basically is a scored tiering model, most of them do, however, I have saw alot of community banks and credit unions that dont, and that can be to your advantage! With that kind of equity/cash down there should be NO reason why some lender close to you wouldnt want to earn your business, that kind of cash down puts any lender in a very low risk situation. If you end up having to finance through a dealer, have your ducks in a row, know your scores, and also ask them if they pull credit and what scoring model they use, for expample TransUnion FICO Auto 04/08 or Equifax FICO Auto 5.0, auto enhanced scores in this industry have been known to be higher than classic fico scores.

I am a general manager for a used car dealership, I can honestly tell you, your best bet would be to arrange your own financing outside of the dealership if at all possible! Me being in this business for well over 8 years, and working with credit unions and banks can honestly tell you that you will pay a higer rate going through a dealership, also, finance managers have been known to bump buy rates, which is a rate that the lender normally charges to buy the contract, so once it gets into the dealers hands if there is any room left many dealers will mark that rate up to make a even bigger spread, basically, 3 points, and that can prove BIG profits for the dealer and more interest charged to you! I think you have done a great job getting your ducks in a row so my advice to you is definately get pre approved through a local bank or credit union before you would even consider financing with a dealer.

2009 I wanted a BMW so bad I could taste it, my credit was HORRIBLE (525 average Score)but my Income was great and I lived at home. I saved $11,500 cash as a down payment. I figured even with Horrible Credit with that large of a Down Pament I could get qualified. Long story short, I left the BMW dealership with a Used 2006 Dodge Stratus R/T 20,830 Miles PAID IN FULL NO CAR PAYMENTS.... 11.5K down and a 500 per month payment on a BMW was just crazy...

2012 my Stratus now has 66K miles and I want to trade it in before its worth nothing, In the past 2 years I have been working hard on my credit, score is not where I want it to be still concidered subprime. But I need and want a new Car and paying cash for my stratus was a good move but didnt help my credit at all...


After researching online I have found, when you credit is not up to par, the best bet is to get prearanged financing with a Credit Union if possible, I just want to be sure before I go I wont be laughed out of the Office.

If anyone is a Auto Finance Manager or has 1st hand knowladge and can give me feedback on Loan Approval or what I should Expect before setting foot in the Creit Union would be greatly Appreciated

Below are the Numbers I ran

2011 Income Per My Last Pay Stub $48,390.00
Experian Score as of Just now 586
Equifax Score as of Just now 623
Orchard Card 04/2011
First Premier 06/2011
Wells Secured Just Opened 11/11
BOA Secured Just Opened 11/11
Cap One Secure Just Opened 11/11
Citi Secured Just Opened 11/11
All have $500 CL and paid as agreed


$5,000.00 Cash Down
$5,000.00 Trade In
Total $10,000 Down]

MSRP	$25,200.00
RS Package	$1,675.00
Moonroof	$900.00
Comfort And Connect	$350.00
Destination	$900.00
MSRP	$29,025.00
Tru Car Price Report (ONLINE SEARCH)	$26,848.00
Difference	$2177.00
NJ Sales Tax 7%	$1873.00
Registration	$215.00
Doc Fee	$200.00
Total Amount	$29,136.00
Trade Amount	$5000.00
Cash Down	$5000.00
Total Down	$10,000.00
Amount Financed	$19,136.00
Payments 15%@60 Months	$455.00
Payments 20%@60 Months	$507.00
Payments 25%@60 Months	$562.00
Payments 15%@72 Months	$405.00
Payments 20%@72 Months	$458.00
Payments 25%@72 Months	$515.00