Oh my goodness!!!! AUTO INTERST RATE SHOCKER.?

i went to bank of america online site to fill out a pre-aproved auto loan app. i was denied like 2 seconds after i hit the enter key on my keyboard. i called them and they say because i have not used credit in almost 7 years the enhanced auto bureau credit request that they pulled would not rate me. they also say that i would get a very high interest rate because i have not used credit in so long. they said i had what is called DORMANT credit. what in the world should i do. i have worked my but off to pay of the things on my credit report and i saved and bought everything in cash. i do not even open credit card offers. they go straight to the trash. i pulled my credit report and it says i have a 708 beacon score. what is going on. i was shocked to hear this info. is it true and how do i get around the high interest rate just because i have not bought things on credit for a long time. i am in the market for a 2007 toyota tundra. PLEASE HELP........

Oh my goodness!!!! AUTO INTERST RATE SHOCKER.?credit score

You are still alright. The credit union is a good starting place, as are new vehicle dealerships, and do both. Car dealers are aggressive lenders and will do everything possible to deliver a vehicle, and then some, so you have them working for you.

What you can expect and will need to counter at the dealership is the fact that your credit score/history is not based on paid accounts and active credit, but older inactive credit. The argument from the lender%26#039;s side is that your credit reflects what you %26quot;did%26quot;, not what you %26quot;are doing” which is more reflective of how a borrower will perform.

Now, words of caution! DO NOT accept the banker%26#039;s opinion and feel like a third class borrower begging for a loan. Bankers are a different breed of lender than is a Credit Union lender or a Finance person at a car dealership. CU lenders are motivated to assist you, Finance people are motivated by assisting you and getting paid when they do, and it is their job to be certain that what is sold is financed and DELIVERED.

The other factors that will be weighed for you are (1) income, (2) current and predictable job stability, (3) savings accounts, and investments. (4) home ownership and equity, (5) gross income, (6) down payment, (7) time in the community, at your current address (not a negative if only a short time if you are a longer term area resident, (8) partner income, (9) and a previously paid vehicle loan, (10) attitude, yes attitude, an air of confidence and positivism, %26quot;I am creditworthy, I can and WILL repay, and I am not interested in your high interest quotes. I expect the best interest rate available, and I will shop till I get it.%26quot;

The reason the above items pertain to a loan is that the lender wants to BELIEVE that you CAN and WILL repay the loan. I assure you that there are buyers that can repay a loan yet are turned down for a car loan because it does not appear they will repay. Why? If they have not and are not paying other lenders why would they repay this loan?

You are in an OK place, perseverance and patience will win with a positive and confident attitude. A lender may ask you directly what%26#039;s going on in your world-be prepared to answer with a positive statement that you were maintaining your good credit so that when you were ready you could buy a vehicle. Positive is a major plus. Again, perseverance and patience will get you there.

besttoyou, Chuck

30 years/thousands of car deals

http://www.thebestdealofyourlife.com

Oh my goodness!!!! AUTO INTERST RATE SHOCKER.?

loan

It was stupid of you to never use a credit card. It IS bad to have a lot, but its smart to have one or two to build up your credit. There%26#039;s nothing you can do now because you haven%26#039;t done anything to show that you can be trusted.

Get a credit card and start paying it off. Stupid.|||Try other lenders, especially credit unions. On my last car purchase, a local credit union came up with a better deal than the bank (with which I have dealt for twenty years).|||Believe it or not, having %26quot;no%26quot; credit is worse than having bad credit when it comes to obtaining more.

Find a dealership with a really strong finance manager. This person will have many years of experience in the same market and solid relationships with local lenders, you%26#039;ll be amazed at what they can get done.|||How is this an %26quot;interest rate shocker%26quot;?