Three months after my Chapter 7 discharge, I was able to buy a much-needed car! Around a month after I was discharged, just to see where I would be, I tried the Capital One preapproval. They offered me up to $40K for a range of APRs up to somewhere in the 10% range.
About two months after that (3 months past discharge), I tried again and was offered up to $40K at 2.59%- around 5%! I spend a lot of time researching cars and looking for the right one and was able to get a 2014 Escape Titanium with 7,400 miles (yes that's accurate- it was a lease) on it for about $19,500 out the door. I opted for the long haul (72 months) at 4.24%. The dealer tried to beat the Capital One deal and couldn't even come close. He said my Fico auto score was the highest he had ever seen (717) for someone in my situation in the 23 years he's been doing his job (proud moment . Despite the higher score, the recent BK meant I was denied by quite a few lenders he tried or the rates were not even in the ballpark. The second best offer was around 7% and it went up considerably after that.
I can't say enough about Capital One and the chances they have given me already (a QS card as well with a $3K limit for now). It was wonderful to go in knowing I had a rate I could live with and that I was leaving with a car regardless of any financing through the dealer. I know it's been mentioned often in other posts, but they will do a soft pull for the preapproval and as far as I can tell from my research, they are the only ones who do this.
About two months after that (3 months past discharge), I tried again and was offered up to $40K at 2.59%- around 5%! I spend a lot of time researching cars and looking for the right one and was able to get a 2014 Escape Titanium with 7,400 miles (yes that's accurate- it was a lease) on it for about $19,500 out the door. I opted for the long haul (72 months) at 4.24%. The dealer tried to beat the Capital One deal and couldn't even come close. He said my Fico auto score was the highest he had ever seen (717) for someone in my situation in the 23 years he's been doing his job (proud moment . Despite the higher score, the recent BK meant I was denied by quite a few lenders he tried or the rates were not even in the ballpark. The second best offer was around 7% and it went up considerably after that.
I can't say enough about Capital One and the chances they have given me already (a QS card as well with a $3K limit for now). It was wonderful to go in knowing I had a rate I could live with and that I was leaving with a car regardless of any financing through the dealer. I know it's been mentioned often in other posts, but they will do a soft pull for the preapproval and as far as I can tell from my research, they are the only ones who do this.
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