I have good news and bad news... First the bad news: My local credit union pulls Ex (my worst report score wise). Good news: They base their decision off of their review of my and my wife's credit history...Not score! I have a collection from 6.5 yrs ago that I cannot get off for the life of me. It is for $60. I also have a 30 day late cc payments from 1/99 and 1/01. I don't owe any CC debt. I have 10 tradelines (excluding the collection), including a fully paid car loan. My wife has nothing wrong w/ her history at all. It is perfect. And we just paid down her CCs to almost nothing. She has 8-10 tradelines, including a couple from this credit union that have been fully paid. Our combined income is a little over $100k and we are buying a $25k car. I think we will get accepted, but I wonder what type of rates we will be offered. Any guesses?
BTW, my income is the larger of the two (65% of it). This is our first loan together...Does anyone know how they will look at our reports to determine our rate? For example, will they take the better, worse, or average of the two? Thanks for you help!
If you've just paid off the balances on the credit cards, make sure that the statement cycles before you apply. That way, the balances will have updated. EX seems to be the fasted at updating balances. Really, though, your numbers are probably not so bad and your debt/income seems quite reasonable.
If you are buying a new car any of the captives will should approve you at special apr's depending on the make/model 0% 1.9% etc.. they will submit the higher score/higher income 1st on the application. The dealer will pull the primary bureau for your state (IL would be TU). A used car 98 or newer should be in the 6-10% range for up to 60months.
I don't think you will have any probs getting a car loan. My CU approves at their best rate for scores over 650...with a previous auto loan, you should be good to go. Have fun!
Go with a Captive Finance Company, Ford Credit, GMAC, etc... it sounds like your score should be good enough to get 0% or similar, and I'm sure your CU can't compete with that.
