Auto loan after BK

[Jmharvey]

Hello,
i filed chapter 7 in 2010 my Bk has been discharged a year and a half. My credit score is 620 my husbands is 619. My car has died and I need to get a used car I am only looking to spend like 7,000 or so.. I have no other credit cards or anything I have been denied for a loan by several banks locally. Does anyone know a website or company that I could try?

[sofarsogood2]

We joined a credit union after our bk in 2009. They have been awesome with car and RV loan. Just approved us at 5.24% for 30k. Do you have any accounts with a credit union?

[sofarsogood2]

Also, Ford approved us for the same- did you try the dealer?

[Jmharvey]

We tried a dealer for a used car it was an 04, the bank wouldnt give us a loan saying it was too old! We want to do a used car we are looking at only spending about 7,000 to keep the payments lower and so we don't get ourselves back in the same boat we also tried our credit union but we just became members and they denied us because our bankruptcy is less then 5 years old!

[sofarsogood2]

I guess your credit union has different underwriting rules than ours. We had some difficulty getting any loans the first 6 mos after the discharge, but it has gotten easier now. Our credit union was the first to ok a loan and really helped us rebuild. We are so thankful for that! Hopefully you'll find some solution soon.

[msm859]

Six months ago soon after my discharge I got a secured credit card from my credit union. Went to refinance my car. At first denied then sent them a letter asking the specifics and they approved it 3.9%. It appears it is advantageous to start building a relationship with your credit union.

[CCsAreEvil]

My scores are around 680. I started out by going with the popular local credit union. I was denied both for a car loan and a credit card. I then went to CapOne which approved for 6.5%. I ended up using the dealer's 2.9% financing for used cars.

I was sure the credit union would accept me, but obviously, it seems they frown upon BKs? So, I still say it's worth trying to get a loan from a credit union.. but it's not always the best path.

Getting 2.9% on a used car seems like a deal being 2 years post discharge. I still feel I could have received a slightly better deal (on the used car price) but securing financing was key for me. Unfortunately, I'm currently not in the position to pay cash.. just needed a reliable used car (paid about $12k). I commute 40 miles one way to work.