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Liberate · 01-05-2014, 10:35 AM

Thank you all so much for the valuable comments. Lots to think about.

Yes, we approached the Finance Manager at the dealership, who was so cordial to us when meeting him and he begged to be given a chance to service my financial needs and then suddenly after applying turned “ice cold” when he saw the bankruptcy and would not talk to me!

And, I had other ideas to offer such a more money down and a co-signer if needed, etc. This is surprising because they know the deal is subject to my approval of financing terms.

Next, we do have other credit established such as a home mortgage, a car loan, three credit cards, all being paid on-time and with the CCs not even close to being maxed-out and paying off or monthly more than the min amount.

With regard to errors on credit reports, you are so correct. Today our just above 700 score is only because 2 out of the 3 reporting agencies (Experian & Trans Union) corrected the errors I found more than a year ago, which took them the past year to correct. And, as a result, these 2 brought our score up to where it is today. It is just EquiFax that refuses to raise our score from the old 645 error report period, even though the text of their report no longer shows the errors.

Back to the CU, in their defense they did say that we could come back to them at any time once my score goes above 750 and refinance at their better above-750 score interest rate, which is now at 6.75%.

And, I am a Costco member, so I will contact them tomorrow. By the way, the RV is a 2013 Leisure Travel Libero. They are hard to find and they seem to keep their value better than most RVs.

Thank you again. This forum is Great!

mojoracing · 01-05-2014, 11:20 AM

For what it is worth, I have run dealerships and been a finance manager for an RV store. The BK does effect how the bank looks at the loan. More importantly, they look at how you have reestablished your credit since the BK. How many credit cars accounts have you had, how many new auto loans and how have you paid them all since the BK. Traditionally, lets say before the crash, RV loans were one of the hardest loans to get. You could have an excellent credit score (720 plus) and still have problems obtaining a loan. Part of the reason for this is that when you get into financial trouble, the last thing you pay for is the "toys". People will pay the mortgage and car first and the rest they will let go. After the crash many (almost all) large banks pulled out of RV loans completely. The losses were too high. As others have said, they depreciate fast and are hard to find in the event of a repo. All that being said, banks rate credit scores in tiers. For example 750 -700 might be 3.9% and 650 -699 might be 5.9%. Just a fact of life these days. I can tell you this, 9.75 considering your history is probably a great rate. You could shop around and see if you could do a little better but its decent considering the situation. Each time your credit is run it will only effect it very slightly and when the credit is run by several banks regarding one sale as opposed to multiple purchases it does not effect it the same. Some one mentioned gap insurance. If they offer to lower the rate if you purchase gap insurance they are breaking the law. Rate has nothing to do with extras you purchase. If you are going through a dealer for financing, you are often better off to go with a larger dealer group as they have more pull with the banks due to volume and relationships than do smaller ones. Some may disagree, but its true. The costco program seems interesting. If I were in your position I would take the rate. Oh yea, loan to value has a great deal to do with it, 20% down is a good starting point. Banks look favorably upon loans that are no more than 80% of invoice not msrp. Hope this helps.

Phobos · 01-05-2014, 11:47 AM

Quote:

Originally Posted by DGShaffer

You're welcome. I'll be happy to shoulder your debt for you.

I've have customers actually call me to announce that they were filing but as soon as they restructure (on my dime) they will look foreword to doing business with me again in the future

Wow....

firebird2 · 01-05-2014, 02:22 PM

yes.you may not have tried to by a used mtorhome, but lenders are now not loaning on units older than 2005 and essex who is tied to costco said as of the first of january they will not finance anything older than a 2006.i,m trying to buy a 2003 monaco signature which is valued at more than some new models but that does not matter. banks are very negative and yet we baled them out with our tax money.do you really think a 2003 depreciates faster than a 2014? does anyone know where to finance the 2003?

Steve Ownby · 01-05-2014, 02:27 PM

Quote:

Originally Posted by firebird2

yes.you may not have tried to by a used mtorhome, but lenders are now not loaning on units older than 2005 and essex who is tied to costco said as of the first of january they will not finance anything older than a 2006.i,m trying to buy a 2003 monaco signature which is valued at more than some new models but that does not matter. banks are very negative and yet we baled them out with our tax money

My wife and I have lived full time in an '03 Sig for 7 years now. It's a great coach.

mojoracing · 01-05-2014, 02:37 PM

After reading a little deeper I saw that the rv you are trying to purchase is a 2003. After reading that I would tell you that considering your situation, that is a great rate! If you really want the motorhome I would jump at it. Most banks won't consider any bk let alone a 2003 used rv. Thats one thing credit unions are great for. They are more flexible.

Liberate · 01-05-2014, 03:46 PM

All,

Let me clarify. The Leisure Travel Libero is a 2013, not a 2003. It does have 2200 miles on it, part of which is because (I am told) it was driven from the factory in Canada to the dealership.