BMW M3 Forum (E90 E92)

BMW Garage BMW Meets Register Search Today's Posts Mark Forums Read


Go Back   M3Post - BMW M3 Forum > M3 (E90 / E92 / E93) > New and Preowned M3 Pricing, Ordering, Tracking / European Delivery / Dealer Reviews
 
Post Reply
 
Thread Tools Search this Thread
      07-19-2010, 06:52 PM   #1
Dice13
Lieutenant
 
Drives: 2011.5 AW E93 M3
Join Date: Jul 2010
Location: New Jersey

Posts: 550
iTrader: (0)

Bmw Denied My Application

I am so fing pissed and needed to vent. I knew I was gonna need a Co signer, so I ask my aunt that's been at same job for twenty years. She has 740 score or so and makes over 80 plus k a year. I was told something like she has not had high credit or high auto loans WTF. IF SHE makes 80 k and no outstanding debt what gives. The last BMW I GOT I put in under my company and listed me and had a Co signer . If she was responsible by Co signing wtf is vthe deal. I was putting MSD 7. THEY WANT to give it to me under my name now with no Co signer, but at .00245 with msd. Now that messed me all up. The wanted pay stub that she worked for my company which . If I put it under my name and not company should aunt be any problem weather she had car loans or not or if she never had 50 K LOANS out. I appreciate any help on getting me into my dream car at a fairer price and better rate. Sry for my rambling but was sooooo close dealer was given deposit as this was a go knowing I was not changing my mind, Thanks Vic
Dice13 is offline   United_States
0
Reply With Quote
      07-19-2010, 08:01 PM   #2
AMP
Private First Class
 
AMP's Avatar
 
Drives: E34, E39, & E60 M5; E92 M3
Join Date: Mar 2010
Location: Tucson, AZ

Posts: 162
iTrader: (0)

BMWFS pays a lot of attention to the following (in no particular order):

Credit score
Verifiable income level
Previous experience with high dollar auto financing

From what I've gathered from your post your aunt isn't even close to meeting BMW's income threshold ($80K isn't much when you are talking about a $70K car) and has no previous history with high dollar auto financing.

If they are willing to approve you without her as a co-signer then they are likely basing the offered rate on your credit score which is at a much lower tier than what you see posted here and elsewhere.

Most dealers will go to bat with BMWFS to make a sale, but there's only so much that they can do. After all it's BMW's money and they have a right to establish and enforce their lending guidelines.
__________________
'12 Alpina B7 Alpina Blue/Black
'11 1M Coupe Alpine White
'11 M3 Coupe Silverstone/Black (sold)
'08 M6 Coupe Stratus/Black
'03 M5 Sedan Imola Red/Black (sold)
AMP is offline  
0
Reply With Quote
      07-19-2010, 08:07 PM   #3
301Bimmer9
It's Playtime
 
Drives: 2011 E92 M3
Join Date: May 2010
Location: MOCO, MD

Posts: 188
iTrader: (0)

Did they just recently become more strict, I think I read a thread about that on here. For my lease they just asked how much I made (no verification) and I ordered then took delivery of the car. This is my first BMW and I was surprised they didnt require a lot of documentation.

Remember what happened when mortgage companies required no documentation

Maybe BMWFS got burned and now they are being a lot more strict.
__________________
2011 E92 M3 AW/Fox Red ZCP
301Bimmer9 is offline   United_States
0
Reply With Quote
      07-19-2010, 08:12 PM   #4
NYCMCBM3
Colonel
 
NYCMCBM3's Avatar
 
Drives: 2012 MCB E92 M3
Join Date: Apr 2010
Location: South Ozone Park,NY

Posts: 2,718
iTrader: (13)

im only 20 and only have a 720 score and i got aprroved for 20k, how much credit were you applying for?
NYCMCBM3 is offline   No_Country
0
Reply With Quote
      07-19-2010, 08:15 PM   #5
shawshank772
Captain
 
shawshank772's Avatar
 
Drives: 135i
Join Date: Aug 2007
Location: Chicago

Posts: 900
iTrader: (1)

My Uncle has had a similar problem. When my Uncle went to get a loan he had the following issues. He had credit, but no real HISTORY of credit for years. His house (worth over 1 million) had been paid off for a long time. He never uses credit cards. All the cars he has bought in the past 15 years have been in cash (buys cheap American cars). He really hasnt had to pay a bill for years (besides gas, electric etc). He hasnt shown a history of credit for a while now. So it was very tough for him to get a loan even though he has ZERO debt.
shawshank772 is offline   United_States
0
Reply With Quote
      07-19-2010, 08:23 PM   #6
slimflem
get driving!
 
Drives: 2010 E92 JB M3
Join Date: Nov 2008
Location: NC

Posts: 260
iTrader: (0)

Send a message via AIM to slimflem
Are you sure you are not overreaching? I'm only saying because it seems as you are jumping through some major hoops to get something maybe you shouldn't have...yet. You will get there. Cars are like houses, sometimes you gotta go thru several to get to where you ultimately want to be. Patience my friend.
slimflem is offline   United_States
0
Reply With Quote
      07-19-2010, 08:30 PM   #7
Leonardo629
Major
 
Drives: 2013 M3 Coupe
Join Date: Sep 2006
Location: Walnut, CA

Posts: 1,204
iTrader: (9)

I'm surprised BMWFS required a co-signer when you've financed a car from them before.

I leased my first BMW when I was 25, with credit score of 720 and no verifiable income. But I did have to pay $6000 downpayment..with no MF mark up.

I then leased another BMW when I turned 27..and this time....I had a even lower score of 709....but this time no deposit was needed...and no MF mark up either..
Leonardo629 is offline   United_States
0
Reply With Quote
      07-19-2010, 08:36 PM   #8
EJ_92606
Ultimate Driving Machine
 
Drives: '13 F10 550i; '11 R1200GS
Join Date: Apr 2008
Location: So. Cal

Posts: 381
iTrader: (1)

If you are being denied, you probably shouldn't lease the car. It's not like BMW is strict with their credit criteria. It sounds like you are young and perhaps don't have a lot of financial experience. You might want to have a financial advisor or credit counselor look at your financial situation and give you a 3rd party opinion.
EJ_92606 is offline   United_States
0
Reply With Quote
      07-19-2010, 08:36 PM   #9
Money2536
Major
 
Money2536's Avatar
 
Drives: ' 15 M3 | '14 911 C2S
Join Date: Feb 2010
Location: The Villages, FL

Posts: 1,167
iTrader: (0)

Garage List
You should never, ever ask anyone to co-sign for you, relative or not. Anyone naive enough to co-sign for someone is not sophisticated enough to make such a decision. She obviously has no idea what she's getting into despite your hopefully good intentions. If are unable to pay, she will most likely not be able to afford a $1,000-$1,200/month payment. With $80,000 in income, she will take home less than $5,000 a month. That would mean her potential car payment will be approximately 25% of her income. Why put a member of the family in a situation to ruin their credit?

If you need a co-signer, you should not be buying the car. Don't buy things based solely on a monthly payment.
Money2536 is offline   United_States
0
Reply With Quote
      07-19-2010, 08:47 PM   #10
Dice13
Lieutenant
 
Drives: 2011.5 AW E93 M3
Join Date: Jul 2010
Location: New Jersey

Posts: 550
iTrader: (0)

Quote:
Originally Posted by AMP View Post
BMWFS pays a lot of attention to the following (in no particular order):

Credit score
Verifiable income level
Previous experience with high dollar auto financing

From what I've gathered from your post your aunt isn't even close to meeting BMW's income threshold ($80K isn't much when you are talking about a $70K car) and has no previous history with high dollar auto financing.

If they are willing to approve you without her as a co-signer then they are likely basing the offered rate on your credit score which is at a much lower tier than what you see posted here and elsewhere.

Most dealers will go to bat with BMWFS to make a sale, but there's only so much that they can do. After all it's BMW's money and they have a right to establish and enforce their lending guidelines.
This car is 78,325 but as one fella said in an above post. His loan only being 20 k I assume its a lease as mine will be so maybe it about 31 k over 3 years I am asking for.

I leased my 135 i vert in 08 never late $705 a month (never late on my payments) and had a co signer I did not put down MSD AS I was gonna do this time anyway before they told I had to thats the only way they would give me lone. They want cap cost also 1200 which I did not wanna do, 2k was the fees and thats what I wanted to pay. Also a higher rate.

If I am right when using a CO signer they give the rate according to them ,btw my wife said my aunt has like a 790 score.
Dice13 is offline   United_States
0
Reply With Quote
      07-19-2010, 08:50 PM   #11
Dice13
Lieutenant
 
Drives: 2011.5 AW E93 M3
Join Date: Jul 2010
Location: New Jersey

Posts: 550
iTrader: (0)

Quote:
Originally Posted by 301Bimmer9 View Post
Did they just recently become more strict, I think I read a thread about that on here. For my lease they just asked how much I made (no verification) and I ordered then took delivery of the car. This is my first BMW and I was surprised they didnt require a lot of documentation.

Remember what happened when mortgage companies required no documentation

Maybe BMWFS got burned and now they are being a lot more strict.
I don't get that , as hard ass as they are being with me how could you just slip in . BTWglad you did.
Dice13 is offline   United_States
0
Reply With Quote
      07-19-2010, 08:51 PM   #12
Dice13
Lieutenant
 
Drives: 2011.5 AW E93 M3
Join Date: Jul 2010
Location: New Jersey

Posts: 550
iTrader: (0)

Quote:
Originally Posted by stingray23 View Post
Vic, sorry to here that. what dealer were you ordering from?
I got it at invoice from the dealer I leased from in 08.I did not think where I applied for the loan would matter being it going through BMW FS.
Dice13 is offline   United_States
0
Reply With Quote
      07-19-2010, 09:06 PM   #13
Dice13
Lieutenant
 
Drives: 2011.5 AW E93 M3
Join Date: Jul 2010
Location: New Jersey

Posts: 550
iTrader: (0)

Quote:
Originally Posted by slimflem View Post
Are you sure you are not overreaching? I'm only saying because it seems as you are jumping through some major hoops to get something maybe you shouldn't have...yet. You will get there. Cars are like houses, sometimes you gotta go thru several to get to where you ultimately want to be. Patience my friend.
Just because my credit is over extended in creditors eyes or some late history (thanks to wife ) my own fault. I will get this car either way but its only a 31k lease 3 years with a co signer making near 85 k . Most people dont pay their car off in a year so how would she not be strong enough. I don't want to give BMW more money in a bad MF . BTW so you know thats what family is for when you need help. Putting down $1200 plus $100 extra for 36 months , Don't you think thats better in my pocket then theirs. BTW if I am overreaching I guess I could just not go on 1 of my 3, 7 to 10 k gambling vacations Thanks for any input friend.






I am just wondering If I try it not under company with co signer would my chance be better.
Dice13 is offline   United_States
0
Reply With Quote
      07-19-2010, 09:17 PM   #14
slimflem
get driving!
 
Drives: 2010 E92 JB M3
Join Date: Nov 2008
Location: NC

Posts: 260
iTrader: (0)

Send a message via AIM to slimflem
Quote:
Originally Posted by Dice13 View Post
Just because my credit is over extended in creditors eyes or some late history (thanks to wife ) my own fault. I will get this car either way but its only a 31k lease 3 years with a co signer making near 85 k . Most people dont pay their car off in a year so how would she not be strong enough. I don't want to give BMW more money in a bad MF . BTW so you know thats what family is for when you need help. Putting down $1200 plus $100 extra for 36 months , Don't you think thats better in my pocket then theirs. BTW if I am overreaching I guess I could just not go on 1 of my 3, 7 to 10 k gambling vacations Thanks for any input friend.






I am just wondering If I try it not under company with co signer would my chance be better.
My personal opinion...slow down. Enjoy what you have and when the time is right, it will work out how it should without all the hassle.

"Just because my credit is over extended in creditors eyes or some late history" ....as you stated, this is a problem. Clean it up first, it will take time. It does nothing but help and gives you time to cool down.
slimflem is offline   United_States
0
Reply With Quote
      07-19-2010, 09:20 PM   #15
Dice13
Lieutenant
 
Drives: 2011.5 AW E93 M3
Join Date: Jul 2010
Location: New Jersey

Posts: 550
iTrader: (0)

Quote:
Originally Posted by Money2536 View Post
You should never, ever ask anyone to co-sign for you, relative or not. Anyone naive enough to co-sign for someone is not sophisticated enough to make such a decision. She obviously has no idea what she's getting into despite your hopefully good intentions. If are unable to pay, she will most likely not be able to afford a $1,000-$1,200/month payment. With $80,000 in income, she will take home less than $5,000 a month. That would mean her potential car payment will be approximately 25% of her income. Why put a member of the family in a situation to ruin their credit?

If you need a co-signer, you should not be buying the car. Don't buy things based solely on a monthly payment.
I understand not all of us me included make a few hundred thousand some of you guys make. If a family member knows the cash I make or have saved incase and they know they are in good hands why not help its all about the credit to keep payments downand payment will be like 1/9th the money I make. ALL I am tryng to do here is is get oppinions on how or if it would work better under my name with a co signer then under a company . If I can't get this figured out I guess I will just have to give them what they want. Its a shame wife does ok too but our credit is not in a high teir, that will be no more . I will not be in this position again.
Dice13 is offline   United_States
0
Reply With Quote
      07-19-2010, 09:41 PM   #16
gatorfast
Colonel
 
gatorfast's Avatar
 
Drives: MR E90 M3
Join Date: Jan 2008
Location: SoFla

Posts: 2,560
iTrader: (3)

Like others have stated, sounds like you should give this a second thought. Perhaps the credit denial was a blessing in disguise.
gatorfast is offline  
0
Reply With Quote
      07-19-2010, 11:05 PM   #17
dimabimmer
Lieutenant Colonel
 
dimabimmer's Avatar
 
Drives: '11 E92 M3 ZCP 6MT
Join Date: Apr 2009
Location: Brooklyn to SoHo NYC

Posts: 1,745
iTrader: (0)

Quote:
Originally Posted by stingray23 View Post
Go to Michael at Tenafly. He will get you approved if you say your credit is that good and you had a BMW lease before.
+1000

It is important who works your credit app at the dealer. I heard BMW of Tenafly had very high approval rating (they are a huge Penske organization), so I went there... and got approved! However, I was denied in '09 3 times at other BMW dealers,- they did not know what they were doing for sure. When at BMW of Tenafly, I did not even need to go there in person, did everything on line and via fax. Their Finance Manager is top notch, checks your credit first, and only then after, calls BMWFS for approval. He does not do it like most other dealers do,- get caught with pants down when they call BMWFS...
Score was 640, but all my balances are $0, Debt to credit ratio is like 90+%
I got Tier-2 @ 0.00200 MF.

When I applied this time, I made sure I did not over-extend with options on M3. It is nice to have all the options, but that also brings your monthly payment much higher,- harder to get approved. So I got only options I thought absolutely can't live without. Luckily, best options are FREE,- CF roof, 6MT, Speed Cloth!!! Car is already loaded with power and technology and fun as is! I also decided to do a small Cap Cost Reduction just to keep payment low,- and only then, with reasonable, low numbers... I applied.
__________________
'11 E92 M3 ZCP SG 6MT Tech Sound USB Heat Cloth Aluminium Sunshade
http://www.m3post.com/forums/showthread.php?t=422151
dimabimmer is offline   United_States
0
Reply With Quote
      07-19-2010, 11:18 PM   #18
dimabimmer
Lieutenant Colonel
 
dimabimmer's Avatar
 
Drives: '11 E92 M3 ZCP 6MT
Join Date: Apr 2009
Location: Brooklyn to SoHo NYC

Posts: 1,745
iTrader: (0)

You can get good credit advice here:

http://ficoforums.myfico.com/
__________________
'11 E92 M3 ZCP SG 6MT Tech Sound USB Heat Cloth Aluminium Sunshade
http://www.m3post.com/forums/showthread.php?t=422151
dimabimmer is offline   United_States
0
Reply With Quote
      07-19-2010, 11:20 PM   #19
Dice13
Lieutenant
 
Drives: 2011.5 AW E93 M3
Join Date: Jul 2010
Location: New Jersey

Posts: 550
iTrader: (0)

Okay I am more mellow now, Sry if I got snippy. OKAY I see where you Guy's are comming from. I am 44 in a position where I can afford to lease a M3. My credit is just under par,but should be okay in due time.I don't want to wait and have no need too. My point of this thread was part to vent. BMW IS willing to give me my lease under my name providing I put MSD down. Which I was gonna do anyway. They want $1200 cap cost,which I did not want to do but can. The MF is higher cause of credit, which I want the .0180 MF, 245 is what they want. Now if I am I'm a good position to afford this lease which I am. If they want to lease it to me,with shit credit and I have a Co signer with no debt and decent salary 750 score think its 790. Question? Do they give the good rate according to the Co signer. Guys we are not leasing 80k we are leasing 31 k. I don't think trying to save 5 k on a lease if I have a willing family member is such a bad idea to save on a car I will get.
Dice13 is offline   United_States
0
Reply With Quote
      07-20-2010, 06:55 AM   #20
elh0102
Captain
 
Drives: E92 M3
Join Date: Apr 2010
Location: USA

Posts: 704
iTrader: (0)

Quote:
Originally Posted by Dice13 View Post
Okay I am more mellow now, Sry if I got snippy. OKAY I see where you Guy's are comming from. I am 44 in a position where I can afford to lease a M3. My credit is just under par,but should be okay in due time.I don't want to wait and have no need too. My point of this thread was part to vent. BMW IS willing to give me my lease under my name providing I put MSD down. Which I was gonna do anyway. They want $1200 cap cost,which I did not want to do but can. The MF is higher cause of credit, which I want the .0180 MF, 245 is what they want. Now if I am I'm a good position to afford this lease which I am. If they want to lease it to me,with shit credit and I have a Co signer with no debt and decent salary 750 score think its 790. Question? Do they give the good rate according to the Co signer. Guys we are not leasing 80k we are leasing 31 k. I don't think trying to save 5 k on a lease if I have a willing family member is such a bad idea to save on a car I will get.
The loan terms will usually not be the same when comparing the cosigned loan with a loan directly to the cosigner alone. Most lenders consider the need for a cosigner as an indicator of higher risk, and collecting from a cosigner is usually more time consuming and expensive for the lender, compared with collecting a direct debt of the cosigner. Whether or not you want to involve a cosigner is your joint decision, but it should only be considered under the assumption that the cosigner will be called upon to pay the loan. This means more than merely making the monthly payment. If the loan is past due, the lender can simply demand the balance in full, and that should be an assumption by the guarantor/cosigner.

Last edited by elh0102; 07-20-2010 at 07:48 AM.
elh0102 is offline  
0
Reply With Quote
      07-20-2010, 07:36 AM   #21
SUB-ZERO
Lieutenant Colonel
 
SUB-ZERO's Avatar
 
Drives: 2008 997TT Arctic Silver
Join Date: Jul 2009
Location: VA

Posts: 1,562
iTrader: (0)

Quote:
Originally Posted by Money2536 View Post
You should never, ever ask anyone to co-sign for you, relative or not. Anyone naive enough to co-sign for someone is not sophisticated enough to make such a decision. She obviously has no idea what she's getting into despite your hopefully good intentions. If are unable to pay, she will most likely not be able to afford a $1,000-$1,200/month payment. With $80,000 in income, she will take home less than $5,000 a month. That would mean her potential car payment will be approximately 25% of her income. Why put a member of the family in a situation to ruin their credit?

If you need a co-signer, you should not be buying the car. Don't buy things based solely on a monthly payment.
+1 Well said.
SUB-ZERO is offline  
0
Reply With Quote
      07-20-2010, 08:35 PM   #22
Dice13
Lieutenant
 
Drives: 2011.5 AW E93 M3
Join Date: Jul 2010
Location: New Jersey

Posts: 550
iTrader: (0)

Quote:
Originally Posted by elh0102 View Post
The loan terms will usually not be the same when comparing the cosigned loan with a loan directly to the cosigner alone. Most lenders consider the need for a cosigner as an indicator of higher risk, and collecting from a cosigner is usually more time consuming and expensive for the lender, compared with collecting a direct debt of the cosigner. Whether or not you want to involve a cosigner is your joint decision, but it should only be considered under the assumption that the cosigner will be called upon to pay the loan. This means more than merely making the monthly payment. If the loan is past due, the lender can simply demand the balance in full, and that should be an assumption by the guarantor/cosigner.

Well that explains it well.,thanks. I was under the impression I would get approved with no problem with a co signer with a 700 credit score as the salesperson told me. I was not told all that high credit needed and revolving credit.

Any way I paid on time over 2 years on my 135 i which was high, I got it the 1st year it came out. Well BMW will give me my M3 as long as I put max MSDs down at a MF of .00245.I really wanted the .00180 and lower with MSDs and thought thats what the co signer was for good credit and good rate. .00180 IS a big difference from .00245

Well here's my deal

OLD deal M3, Vert, DCT, TECH, PREMIUM PKG, 19 inch wheels. .00180

$864 NO Tire pkg - $898 with tire pkg -

With Max MSDs $797 no tire pkg - $831 with tire pkg


New Deal -Cap Cost $1,200 (thrilled)
.00245
Max MSDs is a must
to do deal
$843 no tire pkg- $878 with tire pkg The way to look at it is they are giving me a 80 k car on my own and I belive its costing me $46 bucks more. I am not happy about the $1200 cap cost, bringing it to $79 bucks more a month if spread over 3 years . I just hate Cap Cost. I just figured I give you guys that are always there to help,lend a hand or offer you great oppinions a heads up. I am glad to be here and Thanks fellas. Sry for any snippyness I hate when things don't go smooth. I bet If I went for a coupe it be alot cheaper but there is nothing like a drop top.

BTW anyone wanna become partners on a new BMW M 3 all you need to do is co sign
Dice13 is offline   United_States
0
Reply With Quote
Post Reply

Bookmarks

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Forum Jump


All times are GMT -5. The time now is 02:51 AM.




m3post
Powered by vBulletin® Version 3.7.0
Copyright ©2000 - 2014, Jelsoft Enterprises Ltd.
1Addicts.com, BIMMERPOST.com, E90Post.com, F30Post.com, M3Post.com, ZPost.com, 5Post.com, 6Post.com, 7Post.com, XBimmers.com logo and trademark are properties of BIMMERPOST