[shakenbake11]

About a month ago I purchased a 2019 430i GC. Put almost 50% down and walked out with a new car and what I thought was an approved credit report etc. I even know what my payment was going to be specifically each month. Got a letter in the mail today from BMWFS saying I was denied my credit application because of 1) little history 2) lack of recent loan information 3) too few accounts paid

I mean what does this mean? My credit score is 755, I am over 30 and make north of $200k with no debt other than a monthly credit card that is paid off each month.

Has anyone else ran into a similar weird situation? I literally just spent $800 on PPF for the front of the car! Maybe request the credit report they used to look at? I literally only have 2 credit cards.

[JamesWWIII]

What was the interest rate you were going to be paying BMWFS? I ask because they were not the lowest when I bought my 2019 440i. Ask your dealership’s financial people to start shopping banks for the best rate, mine found the best deal for me at US Bank.

This might turn out to be a blessing in disguise if you wind up paying less interest over the life of your loan.

[chiefneil]

Just go to a local bank or online and get another loan.

[arkangyl]

that's the issue, you're credit involves some things beyond the number
- length of credit history (longer overall = better AND longer ACTIVE accounts = better)
- number of total credit lines (>7 is good, >15 is better; CLOSED lines count towards this)
- % of current active credit used (lower is better, so if those 2 cards have $2k limits you're WORSE than if they have $20k limits)

Local banks should be pretty good about working with you given your income numbers

[Breezin]

I ran into a similar problem with my dealership with my car, however they denied me before i drove off the lot, and i had the same denials. I went to my local Credit Union and they approved me 4 hours later (I applied online for my loan) and i had the check in hand for my car 1 business day later. I would try a credit union or local bank, they will work with you. I can't see them denying you considering your income and credit score.

[Billfitz]

Um, you took possession of the car without credit approval? Did you sign a financing contract?
A big down payment combined with little credit history is a red flag to lenders. It's a classic indicator of potential fraud. There is such a thing as being too good paying your bills, and you're an example. As already said go to a local bank or credit union, where they'll not only look at a credit report but they'll pick up a phone and speak to your employer and landlord.

[GeorgeF31]

I too am curious as to how you could take possession of a car without credit approval. That does seem weird.

One thing that has changed in recent times is how residential rent/lease payments are reported. In an attempt to give renters a fair reporting of good history, "they" decided to include rent. Unfortunately, it shows as an unsecured loan. Meaning that if your rent is $1,000 a month, you'll show an unsecured loan of $12,000 on your credit report — or however much you owe until the end of the lease. That brings up big flags when applying for loans.

Also, while $200k is a nice fat salary, not showing a history of that level of income is also a ding.

[Elvisfan]

In the San Francisco area,isn’t 200k considered lower middle class? I always get preapproved before I go in. Always have a backup plan. I’m surprised you were able to walk out without credit approval. Watch the interest rate. Especially with a denial on your record.