Chase Auto Loans
Loans Right For You?
Chase auto loans are great for most all levels of credit and they offer loans for A+, A, B, C and very upper level D tier credit customers.
There was a time about six months ago that Chase Auto Finance had dropped some of their less profitable dealers, ours being one of them (we had more options back then), but we are now signed back up and doing quite a bit of business with them.
Chase Auto Finance used to offer a competitive program, but it seemed I could always find a lender with a better approval.
Now with many lenders falling by the wayside and Chase still holding strong, I've been really beginning to like the Chase auto loan program and have been sending them both prime and non prime deals. How does this apply to you? Find out just below...
Here's what's covered
below about Chase Auto Finance:
The following sections are based on my experience with Chase Auto Finance and their indirect lending program. This may or may not accurately reflect what you as a direct consumer may experience, but should hopefully be close. See my disclaimer
To compare auto lenders rates visit: Current Auto Loan Rates
Chase Auto Loans
Preferred Credit Criteria
As mentioned above, Chase Auto Finance has a great full spectrum lending program and they loan to A+, A, B, C and upper level D tier credit customers.
Customers that fit within one of those credit tiers will need a minimum credit score of 540.
Chase Auto Finance has six prime credit tier levels and four non prime credit tier levels. Unlike most other auto lenders, they do not use credit score to determine what tier a customer will fit into.
They base their decisions on:
- Credit history.
- Length of credit history.
- Loan structure.
- Monthly debt ratio.
- Monthly payment to income ratio.
Because Chase Auto Finance does not use credit scores to define their tiers it can be a little difficult to accurately explain their auto loan program.
They have a computer scoring system that rates each customers application, based on the above criteria, and that determines what tier a customer will fit into.
Typically, to get an approval, a customer would have to have at least three lines of well paid credit with at least three years of credit history.
Sometimes just credit cards and a decent pay history will do it, but often times it seems they like to see installment loan credit, like previous auto loans and/or home loans.
This is especially true if you have some accounts that have been paid poorly, sent to collections or even charged off.
They will approve deals (will vary from customer to customer) with prior collection accounts, chargeoffs, bankruptcies, etc., but you'll want to show them that you have the overall desire to pay and that you have paid in the past.
Chase Auto Loans
Preferred Loan Structures
Chase has, as with most all other auto lenders, tightened up a bit and it now seems that the max front end advance they allow is 130% including Tax, Title & License, plus approved back end products:
- Extended warranty
- GAP insurance
- Credit Life
- Disability insurance
- Pre-Paid maintenance
- Vehicle recovery systems.
The 130% is the advance based on a new cars invoice, Kelley blue book wholesale or NADA wholesale, if used.
An example, if a vehicle had a $10,000 wholesale blue book value, then Chase would be willing to loan $13,000 (130%) including TT&L, plus the extras from above.
The 130% advance is for their top tier customers and when you get into their non prime lending program front end advances can be as low as 80%.
Even though they have tightened up some, they still offer a very generous advance when compared to some of their competitors. It is still very possible to get approved for a no money down auto loan.oac
Of course, if you are trying to roll over negative equity from a trade in vehicle, then you may need to pony up some cash to get a good approval.
Chase Auto Finance is also limiting some of their advances on select vehicles like:
So be prepared to put some money down, because it appears they are only willing to lend 110% including TT&L plus back end products.
They have a max finance term of 84 months and the length of term they offer will be determined by the age of the vehicle and the amount financed.
Other restrictions may apply, i.e. advance %, overall credit history, etc.
Chase auto loans and approvals for them seem to be positively affected by larger down payments.
Larger down payments must represent to their scoring system a lower likelihood of repossession and in the event of a repossession it means Chase will not suffer as big a loss.Bigger is definitely better
when it comes Chase auto loan approvals
As with most auto lenders, Chase Auto Finance provides additional discounts up to .50% and these may vary by state. These discounts can apply for:
- .25% discount (when applying direct) for automatic payments from your Chase deposit account.
- An additional .25% discount (when applying direct) for automatic payments from your Chase Premier Checking or Chase Premier Platinum Checking account.
- Equity discounts. In other words big down payments.
- Shorter term financing, like 60 months or less.
Vehicles That Do Not Qualify
- Motorcycle loans are only available in certain states.
- RV loans are only available in certain states.
- Private party purchase loans are only available in certain states.
- No commercial vehicles.
- No vehicles for business use.
- No conversion, delivery, gray market, or lemon law vehicles.
- No salvaged, rebuilt, or branded title vehicles.
- No Daewoo or Isuzu vehicles.
- Must finance more than $7,000 through the dealer and $7,500 if applying direct.
- Max amount financed is $100,000.
- No vehicles over 90,000 miles through the dealer and 75,000 if applying direct.
- Vehicles must be 6 years old or newer.
- Max finance term is 72 months for direct lending and 84 months for indirect lending through the dealership.
- Must finance over $15,000 for 72 month loans.
- Must finance over $25,000 for 73-84 month loans.
How To Get The
Best Chase Auto Loan Rates
Check your credit report and credit score to ensure that your file is as clean as it can be so that you will qualify for their better credit tier rates.
If you find that your score (although, score is not a big factor, but overall credit is) could use a little boost, then pay down some credit card accounts or payoff any collection accounts to give your score and credit rating a lift.
Get your Credit Report and Score from CreditReport.com – fast, free and easy!
Negotiate a good deal and put 20% or more down. That way you will more than likely qualify for any equity discounts they may have.
Finance for the shortest term you can comfortably afford. This not only helps you get to a more equitable position faster, but will also get you a nice discount on your finance rate.
Service and Payoffs
If you're looking for some quick contact information, here you go:
Chase Customer Service and Payoffs Retail Auto Loans 1-800-336-6675Lease Accounts 1-800-227-515124 hour automated help
For The Hearing Impaired (TDD) 1-800-524-9765Mail Correspondence To: Chase Auto FinancePO Box 901076TX 1-0056Fort Worth, TX 76155-2732
Summary of Chase Auto Loans
All in all, Chase Auto Finance offers some excellent rates and terms for new and used vehicles. You can feel confident in knowing that you are getting a very competitive rate, especially if you are able to get rates in the mid 4% to low 5% range.
You can access the Chase website here. Don't forget to bookmark this site so that after you get your approval you can learn some very valuable time and money saving car buying tips.
If you fit into their top credit tier, Chase auto loans offer pretty competitive rates for used vehicles, but if you are a little short, then it may be best to look elsewhere, because you may be able to do better.
As for Chase auto loans for private party and lease buyout rates, they seem to also be pretty good, but you may want to shop their rates to be sure.
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