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Boat Loans and Credit Score

Old 06-06-2003, 02:13 PM
  #1  
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Default Boat Loans and Credit Score

I just had a very educational phone conversation with an experian supervisor!
I have been trying to get a low rate on a boat loan , but they keep telling me my score is too low for the low rates (score 680) all my bills are paid on time and I have no credit card debt!
There in is the problem , even though all my home truck and equipment loans are paid on time, my score will never go up unless I get some credit card balances and pay the minimum every month (can you believe this).
The higher the balance and the more on time MINIMUM payments the higher the score (unreal)
I guess that a guy with no plastic doesn't rate
in this market anymore.
Oh yeah the more fixed debt you have the worse it is too (This is from an experian supervisor)
Urghhhh
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Old 06-06-2003, 02:22 PM
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Your credit score should be higher than 680 if what you say is true. You need to check your credit report.
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Old 06-06-2003, 02:23 PM
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MY JOB IS GETTING PEOPLE CAR LOANS.
IM A FINANCE MGR.
I MY RATE SHEET WITH YOUR SCORE, A NEW BOAT WOULD BE 4.25% SO I DONT KNOW WHY THEY WONT GIVE YOU A GOOD RATE.
IF YOU WERE OVER 700 FICO SCORE YOUR RATE WOULD BE LOWER BUT ONLY BY HALF A POINT OR SO.
IF YOU HAVE ANY QUESTIONS PLEASE ASK ME.
ITS WHAT I DO ALL DAY.
GUNSLINGER
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Old 06-06-2003, 02:26 PM
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quote:Originally posted by foster:
Your credit score should be higher than 680 if what you say is true. You need to check your credit report.
I did check it online thats why I called the
experian people (did you read my entire post ?)
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Old 06-06-2003, 02:30 PM
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6.75 best one

quote:Originally posted by GUNSLINGER:
MY JOB IS GETTING PEOPLE CAR LOANS.
IM A FINANCE MGR.
I MY RATE SHEET WITH YOUR SCORE, A NEW BOAT WOULD BE 4.25% SO I DONT KNOW WHY THEY WONT GIVE YOU A GOOD RATE.
IF YOU WERE OVER 700 FICO SCORE YOUR RATE WOULD BE LOWER BUT ONLY BY HALF A POINT OR SO.
IF YOU HAVE ANY QUESTIONS PLEASE ASK ME.
ITS WHAT I DO ALL DAY.
GUNSLINGER
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Old 09-03-2003, 04:47 PM
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Gunslinger, We were just turned down today with a credit score of 775 for a boat loan. I have sold my boat to buy another and now may end up boatless. I'm still shopping.
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Old 09-04-2003, 10:27 AM
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In addition to credit score, the loan rate is dependent upon the loan amount or purchase price, and most importantly the loan term. Generally, the more you borrow the lower the rate, and the shorter the term, the lower the rate. The interest rate on boat loans is generally higher than the reate on car loans.
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Old 09-04-2003, 11:13 AM
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debt to income ratio is a biggie in the loan business. so even if you have all your loans current, if you have a lot of them, then that can lower your score.

also, another issue can be "available" credit. if you have 3 credit cards, all with zero balances and no late payments, they will still take into account the total "available" credit on those cards. if you have say, $5000 on each, they look at that as potentially $15,000 that you can put yourself in debt. regardless of how responsible you are, it's a good idea to keep your available credit down if you planning to make a large purchase where credit score is important. more than likely, you could re-open those accounts later...

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Old 09-04-2003, 11:22 AM
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Default Boat Loans and Credit Score

Hello all.
I'm a mortgage banker and I see hard working people that never pay a bill late with worse scores then somene that has never paid a bill on time. I think its time for a new scoring system. It hard telling someone you can't get them the best rate because of a score that doesn't make sence.
Try your local bank! They might have a little higher rate then some national bank but you will have easier time getting your loan.
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Old 09-04-2003, 02:58 PM
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Try Intercoastal Financial Group.800-916-0065 I got my loan through KeyBank from them. Very easy, upfront, great rates, no B.S. With that credit score you should be able to bargain for a good rate.

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Old 09-04-2003, 03:10 PM
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So, how do you figure out your score???
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Old 09-04-2003, 07:41 PM
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You might also try calling Gerry Pitts at Russo Marine. He is the boss man in their mid-atlantic office. He is a very straight shooter, tell him your situation and listen to what he has to say. He uses Key bank too and wouldn't dare let another finance company beat the rate given to one of our customers. Try him, he's a knowledgeable guy.


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Old 09-04-2003, 09:55 PM
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shop around dude, but do yourself a favor and get a copy of your credit report and bring it w/ u wherever u go, everytime someone runs your score it goes down a few points. Go there w/ paper in hand and show them this is the deal, what can u do? best of luck
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Old 09-05-2003, 01:04 AM
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Why does it go down when someone runs your report. I just heard this earlier today also. So if you apply for a credit card one day and a loan the next your rating has gone down.It doesn'make any sence.
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Old 09-05-2003, 04:36 AM
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Go to "myfico.com" for a fee they will give you your fair issacs score which is one of the three major scores. They also give suggestions on how to improve your score and what is pulling your score down. 775 is excellent, 680 is not a bad score. Stan

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Old 09-05-2003, 05:37 AM
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One easy way to improve your score is to actually increase the availability on your credit cards. Part of your score is based on the relationship of outstanding debt to available debt. If your maxed out even on a credit card with a $100 availability this goes against your score whereas if you have $1,000 balance on a $10,000 card your score will be better.
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Old 09-05-2003, 05:37 AM
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One easy way to improve your score is to actually increase the availability on your credit cards. Part of your score is based on the relationship of outstanding debt to available debt. If your maxed out even on a credit card with a $100 availability this goes against your score whereas if you have $1,000 balance on a $10,000 card your score will be better.
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Old 09-05-2003, 05:46 AM
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the reason why multiple pulls affect your score is that most people have their credit pulled when applying for a loan. it takes a couple months usually for a new loan to reach a credit reporting agency. so, if you have good - excellent credit, you could conceivably go apply for and receive approval on 5 different loans which would completely overextend yourself. the only protection that the 2nd, 3rd, 4th and 5th loan writer has at this point is to see that you have been having your credit pulled recently which alerts them to the fact that you could be potentially overextending yourself, putting their loan at risk.

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[This message was edited by captadamnj on 09-05-03 at 08:54 AM.]
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Old 09-05-2003, 05:52 AM
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Shopping for a low rate actually hurts your chance of getting a low rate because of all the checks done.

And god forbid they use any common sense or ASK YOU a question!
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Old 09-05-2003, 10:20 AM
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I don't kow if I agree with the requirement of having to keep a debt on your CC and paying a small amount every month. Someone else told me that too, but all that really does is show that you like paying a lot of interest.
I have never carried a credit card balance from one cycle to another. There have been times when I've bought a couple of PC's or charged up a good balance from a trip somewhere, but I always pay the bill in full. We were (unfortunately ) into the jumbo category for our last mortgage, and I have never had an issue with getting turned down for a loan.
I'm not trying to brag - I'm trying to say that something is wrong if you are gettign turned down. Either a)you can't afford it b)you are self employed c)you need a better bank.
It is worth looking into this further, because with lousy credit scores can affect how much you pay for car insurance and a host of other things that you never thought of. It's been proven that people with lower credit scores are statistically more likely to file a claim against their car insurance, so those with better criedt scores can get better rates. I'm not saying that you are going to file a claim on your car ins, but there is enough of a statistical difference to make auto insurers pay attention, so you should plan accordingly. Good luck!
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