Will we be approved for refinancing our car?

Question

we financed a car with chase in 12/07 at 18% interest b/c we had bad credit now hubby's score is in low 600's mine middle 600's.he's borrower,i co-borrower,he works,i stay-at-home mom.we never missed a payment.

the reason i'm asking is it likely we'll be approved is b/c nothing's changed in our situation but i now have more credit cards since then that i pay on time.

i had only one then now i have 3 more all with low balances will that hurt our chances of being approved for refinancing?

i now have citibank card (my oldest one)with limit of 2,000 and balance of 183.00

capital one limit 300.00 balance 91.00

sears mc limit 420.00 balance 118.00

one more limit 400.00 balance 94.00

i will pay off the sears one soon and never use it again for a while b/c interest rate too high capital one i'll do the same i made stupid mistakes by getting them cards.

should i wait til i've paid them before trying to refinance?

our monthly payments are only 207 most go to interest.

tyia

Answer 1

My guess is you financed for 100%. The minute you drove off the lot you lost 25% of its value, and so young in the loan have not really paid any of the principle down, by refinancing you only put yourself in an even worse equity position. Would never refinance a car worst thing you can do, especially in 2-3 years when you are going to want to trade it in for a new one

Answer 2

I would wait till you have some of your cards paid off, the better your debt to income ratio is the better off you are. Since your available balance is really outstanding, once you pay off those other cards, your debt to income ratio will also follow. As your car payments are resonably low right now, wait till you have the cards paid off, you may be able to refinance for a lot better interest rate.

Answer 3

Those aren't terrible scores.  Yours is actually decent if it's in the 650 range.  As long as your haven't had any late payments in the last year or two, I think you should be approved.  If you belong to a credit union, I would try them first.  They usually have excellent rates and won't rip you off like a lot of the bigger companies will.

Keep the balances on your card below 30% of the limit, or it will start to affect your scores.  Utilization is a large part of your credit score.

Answer 4

What you need to do is pay off your balances ASAP. There's absolutelly no reason to have those hovering around. You shouldn't have gotten anymore credit cards because you're just increasing your debt to income ratio. You especially need to be careful of this because you have not income so you really don't want any debt or as little as possible. I suggest you cut up all but your capital one card...you don't need store cards...total waste...do NOT close the account, you want the credit history to help you....just cut them and stop using it and of course pay off the balance. Don't refinance unti you pay the cards off. Then try the re-finance thing...18% is a whole lot...try and negotiate down based on good past repayment history.

Answer 5

Mr Micheal James., A reputable, legitimate, and an accredited lender. they give out loan of all kinds in a very fast and easy way, Personal Loan, Car Loan, Home Loan, Student Loan, Business Loan, Inventor loan, Debt Consolidation. etc



contact e-mail:[e-mail]



They strive to leave a positive lasting impression by exceeding the expectations of our customers in everything they do. there are goal is to treat you with dignity and respect while providing the highest quality service in a timely manner.

However, they make loans to customers that want a quick response, desire courteous service and may not have another source to obtain the money they need.

They offer loan to every individuals that are in need of financial assistance at a very low interest rate of 5%. No Credit Check, 100% guaranteed.

Answer 6

Pay off your cards, and then cancel them (keep 1 or 2 credit cards at most; it's all you need).

You should be in a much stronger position once you've done that.