@Chuggybear68 wrote:
1st of all, thank you guys so much for the responses. My head is swimming a bit with all this information. Follow up question: Am i better off finding a lender that uses my Experian score, which is 30 points higher than the other two, or just going into the dealership and working with their finance person and assuming that one of the lenders they work with will be pulling my Experian score?
@cashorcharge wrote:
@pizzadude wrote:
@Chuggybear68 wrote:
Trying to do my due diligence on an upcoming purchase of a new car for my wife. When i look at my auto loan fico scores on MyFico it shows all (3) scores for my FICO8, and then at the bottom it tells me what my interest rate might be based on the middle of the (3) scores. My question is: if a lender pulls all (3) scores, is he basing my APR off of the highest of the (3) or the middle score?
Almost all auto lenders will use a single CR for approvals, or possibly two. The exception here is Cap1 which is a triple pull all day all the time.
Precisely! And I would add...if you're going with a big bank/captive finance like Toyota Motor Credit, Ford Motor Credit or GM....a bank dedicated to a particular make and model and NOT an alternative like Ally or Chase....they're usually just looking at F8 or F9. In the last XX years...as long as I can remember...and I've gotten a lot of cars over that time....you are always given a credit score disclosure in finance and that has always matched up with my F8 or F9 depending on the bank...I've have not been confronted with my Auto Scores when using those captive banks for loans. (Captive Banks is the term used for a bank that a dealership sends the majority of their business too..and it's usually tied into the Flooring (the credit line for all the cars on their lot) and it's typically the primary lender from a specific manufacturer.
Once you start going to other sources like Cap1 or Ally or X then it's a mixed bag of options. Lastly, if you're F8 or F9 is over 700...approval is pretty much done and these days, if they are offering an exclusive "2.9% APR for "well qualifed buyers offer" that you may see advertised, that is typically in the 760/770 range.
Well....I would say YES....but based on your geography and lenders/dealers in the area...trying to pinpoint someone that would only pull EX isn't as clear and easy. Additionally, some banks as a rule may just pull say EX and if you're score is good enough...go from there. If you're on the cusp, they may also pull TU or EQ (again, based on location) and then while you may likely still get approved even though the scores vary...you may not get the best rate.
When you go car shopping, before you even get into Finance you ask the salesman which bank they tend to send loans to and a sales manager can also tell you which CB's they pull and if they pull more than one. Another item of note...sorry, I'm not making this complex just tranparency...some dealership systems are automatically set up to pull 2 or 3 reports automatically and some will pull all 3 and blend them for a different score that their captive bank may use....it's not as cut and dry as applying for a credit card to nail down what they'll do...so you should ask those questions in advance if you want to nail down those data points.
