HELP getting bank approval
Thread Starter
Instructor
Joined: Aug 2010
Posts: 124
Likes: 0
From: Houston Tx
HELP getting bank approval
Sorry if this isn't the right section to post in, but:
I'm 23, make close to 6 figures a year, had a house built 5 months ago, good credit, and i cant get approved from my bank to get a car loan for an '05 C6.
I currently lease an IS250, and my payments on the loan would be the same as my leased car (which I'm getting rid of/transferring to someone else).
Anyone got any suggestions to get approved? I'm trying to get a loan for a private party seller, i dont like dealerships.
REALLY want to get this done. And tomorrow is my birthday, so a big stamp of approval from a bank this weekend (yes, some are open) would be awesome!
Thanks for any help!
(mods move thread if needs to be somewhere else!)
I'm 23, make close to 6 figures a year, had a house built 5 months ago, good credit, and i cant get approved from my bank to get a car loan for an '05 C6.
I currently lease an IS250, and my payments on the loan would be the same as my leased car (which I'm getting rid of/transferring to someone else).
Anyone got any suggestions to get approved? I'm trying to get a loan for a private party seller, i dont like dealerships.
REALLY want to get this done. And tomorrow is my birthday, so a big stamp of approval from a bank this weekend (yes, some are open) would be awesome!
Thanks for any help!
(mods move thread if needs to be somewhere else!)
Le Mans Master
Joined: Aug 2005
Posts: 6,709
Likes: 1
From: Pacific Northwest
St. Jude Donor '06
Is the problem that the IS250 lease is not yet transferred so still shows as your liability? If so, it's possible no bank will approve you until you unload it.
Also, does transferring the lease take you off the hook completely or do you still have some liability?
Have you asked the bank why you don't qualify? Is it your total debt, credit score or what?
Also, does transferring the lease take you off the hook completely or do you still have some liability?
Have you asked the bank why you don't qualify? Is it your total debt, credit score or what?
Thread Starter
Instructor
Joined: Aug 2010
Posts: 124
Likes: 0
From: Houston Tx
The IS250 is still in my name, but i was told they would run it showing no liability to it, since i will NOT have it when i need this loan, or it wont overlap more than a few days worth. And yes, transferring the lease completely withdraws my name from the IS250 account.
The bank said its because of my "limited credit history". I just find it hard to believe since I've had, and paid for and paid off credit cards since i was 18, and my current status of being a homeowner.
Not knowing all the in's and out's of credit, its just hard. I know i can make the payments (since the highest it would be is my current payments), but yet they tell me i cant do it. All of the sudden, i feel like I'm a child and they are telling me I cant have a new (used) car for reasons they cant explain to me (I know its different than that, but thats the immediate feeling i get).
The bank said its because of my "limited credit history". I just find it hard to believe since I've had, and paid for and paid off credit cards since i was 18, and my current status of being a homeowner.
Not knowing all the in's and out's of credit, its just hard. I know i can make the payments (since the highest it would be is my current payments), but yet they tell me i cant do it. All of the sudden, i feel like I'm a child and they are telling me I cant have a new (used) car for reasons they cant explain to me (I know its different than that, but thats the immediate feeling i get).
Pro
Joined: Jan 2010
Posts: 613
Likes: 1
From: Apache Junction AZ
Credit is tight, they learned there lesson from a few years ago. Zero down on houses people couldn't afford, paying interest only loans. What are you putting down? Maybe if you were to put more down and finance less it would be more feasible for the bank?
Melting Slicks
Joined: May 2010
Posts: 2,142
Likes: 78
From: Rancho Santa Margarita California
Assuming you really have decent credit and can afford the car, I'd just start calling every bank around. Chase has good rates. You can also apply online for many of them, but a phone call to the right person at the local branch will usually get the ball rolling faster. If one says no, move on to the next. I wouldn't get discouraged until they give you some concrete reasons that can't be overcome (i.e. your debt to income ratio with your house and this car loan puts you in a position that they won't accept). Either way...just be responsible for what you can handle, and keep plugging away....don't forget...they're not your friends...its purely a business transactions. Make 5 phone calls...now....you'll get it done.
Thread Starter
Instructor
Joined: Aug 2010
Posts: 124
Likes: 0
From: Houston Tx
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Le Mans Master
Joined: Aug 2009
Posts: 5,437
Likes: 4
From: Bucks Co. / outside Philadelphia PA
5 years is not a long credit history. 40 years is.
Being a home owner is not an indication of being a good credit risk. If you have not heard, there is a slight 'foreclosure thing' going on.
Being a home owner is not an indication of being a good credit risk. If you have not heard, there is a slight 'foreclosure thing' going on.
Le Mans Master
Joined: Oct 2004
Posts: 5,040
Likes: 416
From: hardyston new jersey
St. Jude Donor '09-'25
That being said, have you tried the bank that has your mortgage? If you do not have a mortgage have you tried for a equity loan? The interest on an equity loan may give you a tax deduction while a car loan will not. Also try a local community bank.
Good luck.
Thread Starter
Instructor
Joined: Aug 2010
Posts: 124
Likes: 0
From: Houston Tx
Thanks for the thoughts guys. My last attempt (which likely, should have been my first) is asking a family friend who is VP of a banking division. It's not a huge chained bank, and not in my city, otherwise i would have thought of this.
If she cant pull any strings, i suppose my dreams will have to wait.
If she cant pull any strings, i suppose my dreams will have to wait.
Thread Starter
Instructor
Joined: Aug 2010
Posts: 124
Likes: 0
From: Houston Tx
Mom doesnt have good credit after a bad recent divorce (i dont know details, but thats the story).
Step-dad - not sure about his credit.
Either way, I might rather wait than have a co-signer, I feel more independent that way. But on the other hand, it could get me into a vette...
Step-dad - not sure about his credit.
Either way, I might rather wait than have a co-signer, I feel more independent that way. But on the other hand, it could get me into a vette...
Le Mans Master
Joined: Sep 2004
Posts: 5,116
Likes: 5
From: Livonia MI
Good luck on that, as thing's have really changed. I remember about 10 years ago when I could basically walk into my credit union, sign my name and get just about any kind of loan I wanted. My credit rating's very good, but last time I applied for a car loan, they basically reamed me a new one. I'd start by checking your credit report, and paying down as much outstanding debt as possible. Sound's like you're trying to be responsible, but because of your limited credit history, you may want to consider a cosigner, such as a parent or co-worker.
Navigator
Joined: Nov 2009
Posts: 9
Likes: 0
If you have a Credit Union account you MAY have a better chance of getting a loan as long as they have access to debit from the account or from your pay check. They tend to want to loan money and aren't tied to the national bank organizations. Being 23 and newly into a house will certainly have the credit managers with eyes wide open. On a side note, have you actually checked or had checked your credit scores?
Team Owner
Joined: Dec 2003
Posts: 57,408
Likes: 164
From: queensbury ny
If your description of yourself is accurate in your original post,the only reason I can see is crappy credit score or debt to income issue.
In which case a credit worthy co signer will alleviate both of those issues.
In which case a credit worthy co signer will alleviate both of those issues.
Race Director
Joined: Dec 2007
Posts: 19,574
Likes: 167
From: Frederick, MD
Check around, just be quick about it. Leave a big gap between hard credit checks hurts your credit rating. Are you putting any money down? Down payments is what the banks care about these days.
And 5 years isn't that big of a credit history. That is only a couple years before the recession officially started.
I would NEVER have anyone cosign my loan. I've been on my on since I was 17 (1986). You are OWNED by that person. I won't cosign for anyone also, especially for a car.
And 5 years isn't that big of a credit history. That is only a couple years before the recession officially started.
I would NEVER have anyone cosign my loan. I've been on my on since I was 17 (1986). You are OWNED by that person. I won't cosign for anyone also, especially for a car.
