arghhhh

I just got denied from PenFed and now have to come up with a financing plan. My configured car w/ taxes/fees/etc came out to $30K, I plan on putting at least $6K down (can do more if needed). Ideally I would like to finance $24K for 60 mos. I have had past credit problems that are all fixed now but still appear on my reports (they are about 5 years old). My score isn't in subprime category as it is just under 700 (depending on the credit agency) and I have absolutely no consumer debt. I am a professional with a high income. Its so frustrating.

What do you think the likelihood is of getting financed through MINI? At this point I really don't care about the rate as much as just ensuring I get the $$.

If the chances of MINI financing are slim, any suggestions as to alternatives?

Also if I do get financed through the dealership or elsewhere, I would like to refinance (depending on the rate) in about a year. Hopefully my score would go up w/ ontime payments for a year.

 

have you tried Capital One?

 

Hi woohoo,

Here is what I would do in your position.

1: Go deposit $50 in a savings account at a local credit union.

2: Go to the loan officer and ask for a loan to buy the car.

3: Take the check they give you and go pick up your new Mini.

Even if they give you a poor rate, you can always refinance a year or two down the road. Good luck!

 

A credit union will definitely be the best way to go. I was in a little worse situation than you and got everything financed with 1K down.

Good luck!

 

I did that already. I put $$ in a PenFed credit union account and applied for a loan...got denied.

As for capital one, I read some posts about MINI dealerships not accepting capital one financing? And I don't want to have too many inquiries that's why I'm trying to get feel for the likelihood of dealer financing.

 

woohoo, if i remember correctly, all credit inquiries made within a certain time period (30 days?) will only count as one inquiry (or something like that, you can look it up on google). this allows you to shop around for better rates in situations like this.

you can also try http://www.eloan.com/

 

I meant a local credit union. Somewhere you can deal with a loan officer in person. PenFed, while it may seem like they're handing out loans left and right, can still throw a curve once in a while. If you really have things that are 5 years out and not current, a decent credit score, plus 6K to put down and verifiable income, there is no reason you can't get financed. Don't just assume that PenFed is the be all end all of credit unions. Check locally. Did you also try your usual bank?

 

14 days, and yes, it would be ideal to keep looking during this window.

 

thanks for the suggestions! I'll try my local credit union. HEWFCU

 

i put 2200 down with a soso credit score and i was approved for the mini select financing. It's not what i wanted to do but i'm buying the car and not leasing it.

 

THe money people are getting very tight with loans these days. What passed for good credit 6 months ago may look like a risk now. If you're still sub 700 you should be asking up front before you apply for the loan. I'd get out the phonebook and call every credit union in your area until one pony's up a loan. It will be more efficient and better for your credit if you just ask up front instead of opening accounts all over town and then applying for credit and getting soft or hard hits on your score. You're not doing yourself any favors there.
Why not get a used Mini? You could get a smaller loan which will be easier to approve. You can also pay it off faster which will only add to your credit score. Plus you don't take the same depreciation hit. Thats a trifecta!
Today's economy is not a good time to take risks with your credit.

 

chpsk8, have you priced used mini's lately? they ain't cheap i am very surprised by the resale value they are asking for them. just go check out carmax.com. i was looking into it, but given the short supply of used minis (lack of choice), it is almost cheaper to get a new one done up the exact way you want it.

 

Its also often more difficult to finance used.

The credit union idea I think is the best.

But I think the mini dealer will finance you if that doesn't work out.

I have on my credit report a house forclosure that I actually
sold the house and paid it off in full a few years ago. I guess
they hit the wrong button???

(yes, I've tried to fix it the credit reporting companies have a
financial incentive to not fix it according to clark howard, so
now i'm trying to work through the credit union where I had
the loan to get it fixed but it takes time. Aparently A LOT of
time)

The point being mini financed me with a foreclosure on my
score and that is one of the big no-nos to The Man.

 

I used Capitol One, 4.55% for 36months. The way my M.A. explained it is that Capitol One uses two types of loans, both are called checks however one of them takes 6weeks to clear where as the other clears within 24hrs, I had the one that clears in 24hrs. Why and how the difference? Not a clue.

 

The reason I didn't want a used MINI is because I can afford to have a car payment. I have a good job that isn't going anywhere, I get paid well, I have no debts and minimal financial obligations (i.e.-rent). Why should I settle for a car I don't want when I can afford one that I do want?

 

I hear ya. If you have your heart set on a new one, then thats the way to go for you.
I'm just saying that it would be pretty easy to find a used one for $18k, toss your $6k at it and finance $12k. (yes it's very easy to get a used car loan if you're not upside down right out of the gate)
Pay that $12k down in 2 years and you've bumped your score and have a paid off car.
Although maybe not for woohoo... someone else might want to have a second thought about it.

 

Did this make a difference in terms of leaving with your MINI? I've secured financing with Capital One and was hoping to write the check and leave. I'm asking because I live in Bham, AL and am driving to Nashville to pick it up. It's not exactly a convenient schlep. I don't want any issues when I get there.