CapOne blank check experience

[TwentyTwelve]

I filed in 04/10, discharged in 09/10. I applied 3 weeks ago for a blank check and was approved at 7.31% for 60 months on a 2010 or newer vehicle. I received my check and held on to it until I could see what I was eligible for elsewhere. Was turned down at the bank and by ford. They told me I would have to put 6k or 7k down in order to finance through them. I whipped out my blank check and the finance guy wanted to try to beat the interest rate. I told him it was 7.31% and he said he couldn't even come close. I was out of the dealership within an hour and there's a brand new car sitting in my yard as I type. I plan to pay extra on the payments every month and try to payoff within 48 months or sooner.

7.31% isn't the greatest rate, but it's pretty darn good considering.

If you have any questions, feel free to ask.

[PHXDWTN]

Congrats! What was your credit score and with what bureau? Also, did you ask for an amount or do they just let you know the max? How much did they give you?

[wmunn]

my score is 653 from experian. I only asked for 25k, but they automatically upped that to 30k. I will not be using the full 30k, instead choosing to remain very close to my originally requested amount.

[TwentyTwelve]

My score in the back of their booklet was 600 and I'm not sure which bureau they used. When Ford pulled it, they came back with 650.

I asked for 18000 and they approved up to 21000.

I have seen other people on here say they get turned down for no reason. I'm not really sure what the magic word is, but I can tell you a little about myself. I included a capital one card in my bankruptcy, so that seems to be a non-issue for them. I have never before had a mortgage or a car note. Right after discharge I applied and was approved for a capital one credit rebuilding card. I've used it infrequently and kept it paid down. My income to debt ratio looks good because I recently picked up a third job. It probably also helped that I applied for a pretty conservative amount of money.

[PHXDWTN]

my score is 653 from experian. I only asked for 25k, but they automatically upped that to 30k. I will not be using the full 30k, instead choosing to remain very close to my originally requested amount.

Where did you pull your Experian score? I was able to get my Equifax and Transunion on MyFico.com but not Experian.
I saw Experian offers it on their site but I want to make sure it's a real Fico score, not some other made up inflated score.

Also, what interest rate did you get?

[mikemike]

WOW! congrats! good interest rate. Considering coming out of BK. I tried applying for the blank check last month and again this month and got denied twice. My score is 605 not sure if its faco. Im planning on putting a nice Dp of about$8000. but the blank check program doesnt give a option of putting a dp so they not aware im putting any. So hopefully when i got next month for a car itll go smoothe

[dspii]

Auto financing apparently uses their own FICO scoring model that uses your past auto loans as a their qualifier...not sure, but I financed as many others, within a year after BK. I was never late on any car payment...ever. I can only assume that is why we were elgible for Capital One and many others aren't. Not sure if anyone really understands a companies credit qualifications in today's world.

[wmunn]

WOW! congrats! good interest rate. Considering coming out of BK. I tried applying for the blank check last month and again this month and got denied twice. My score is 605 not sure if its faco. Im planning on putting a nice Dp of about$8000. but the blank check program doesnt give a option of putting a dp so they not aware im putting any. So hopefully when i got next month for a car itll go smoothe

You can do a downpayment at time of purchase at the dealership. Whatever amount you put down will simply reduce the amount you need to make the check out for.

[mikemike]

You can do a downpayment at time of purchase at the dealership. Whatever amount you put down will simply reduce the amount you need to make the check out for.

Im eager to get my car already. Been without one for almost two years. Next month hopefully it all goes well. should i tell them straight off the back how much dp im putting? or say 5k just to see what they say than up it to my 8k?

[wmunn]

downpayment should not be discussed at all until final out the door numbers are presented to you. Check and understand this line by line very carefully so you understand each entry. Don't be afraid to haggle on questionable fees like detail and final inspection or other weird sounding entries. Once your comfortable with this, then you can discuss a downpayment amount of your choice, now, here is the critical part, when they present you with paperwork for final out the door including your down, carefully check over every single line AGAIN, looking for anything they may have added after you told them of the downpayment. Your paying cash out of pocket combined with the blank check is an open invitation for the dealer to try and slip something past you, coming entirely from your down money. I would in fact NOT make a downpayment to the dealer at time of delivery. Using only the blank check they are pretty much forced by cap one to do a clean, fair deal, since cap one won't approve anything beyond 110% loan to value ratio. Once your out the door with the car, then you could consider giving that 8k as a payment to cap one, thus shortening your loan terms.

[wmunn]

One more thing, but this likely won't apply to most here. If your upside down on the trade-in, then you will likely need to put money down at the time of sale, since the cap one LTV ratio of 110% still applies. In this case, you would need to put cash down to get you back to that 110% or less LTV ratio.

[mikemike]

Good advise. But i didnt get approved for the blank check program so i will just be going to the dealership and applying there. Now they always ask at the beginning how much will i be putting down. Also when they put the application through to get me the loan wont it be better that the loan bank knows im putting down a hefty downpayment and make my chances of getting approved higher? Also if i wait to get the loan and not put a downpayment wont that make my monthly payments higher? Just want to get everything clear. U def gave good advice.

[wmunn]

obviously if your not using the blank check program, then yes, a large down on the papers will get much faster approval from banks. That being said, you still need to make sure you understand everything line by line, and squeeze the junk out of the process. My experience is most dealers WILL try and sneak something past you.

[mikemike]

obviously if your not using the blank check program, then yes, a large down on the papers will get much faster approval from banks. That being said, you still need to make sure you understand everything line by line, and squeeze the junk out of the process. My experience is most dealers WILL try and sneak something past you.

I should wait to see whats the best price they give me for the car before saying how much down im putting right? Should i lie at first on the downpayment until they ready to process the application? Yea ill def give a good look at the paper work.

[scuguy77]

Curious, what was the LTV on the CapOne blank check? Does this vary or is it pretty standard 110%?