[kwakr738]

Last Saturday I signed an agreement to lease a 2008 335xi. I got a call today from the dealer's financial manager informing me that my credit has been denied. She tells me that I need a co-signer and that the lease rates would go up. She said that I had a delinquent account from 2003. Over the last 2 years I have made it a point to pay all my debts and have an average credit score from all 3 bureaus of 700. She said that I didn't have a strong history of auto credit. I actually recently got approved for a Capital One loan and Saturn dealership that had a Boxster i was interested a few months ago. I have been at my current job for 7 years and make more than enough to cover the monthly payments. I am unsure why they would deny me. I am bummed out.

[CALIF65GM]

Originally Posted by kwakr738

Last Saturday I signed an agreement to lease a 2008 335xi. I got a call today from the dealer's financial manager informing me that my credit has been denied. She tells me that I need a co-signer and that the lease rates would go up. She said that I had a delinquent account from 2003. Over the last 2 years I have made it a point to pay all my debts and have an average credit score from all 3 bureaus of 700. She said that I didn't have a strong history of auto credit. I actually recently got approved for a Capital One loan and Saturn dealership that had a Boxster i was interested a few months ago. I have been at my current job for 7 years and make more than enough to cover the monthly payments. I am unsure why they would deny me. I am bummed out.

Don't take it personally. Every financing company is tightening up their requirements with the sub-prime fiasco. Ask them to fax you a copy of the denial notice. They may want proof of income.

Also do you have another auto loan outstanding currently? If so are you planning to sell the other car?

I was denied originally too on my lease application and my credit score is in the mid 700s. They thought I was keeping my current car, so they thought "I was sufficiently obligated already." I told them that I would be selling the current car and faxed them my recent pay stub and then they approved it.

[kwakr738]

Thanks for the tip. I will go ahead and try to contact the financial manager and send her my last W2 and most recent paycheck. Like you said she did mention that BMW has become more stringent with the approval process. I have a co-signer that will also contact the manager today. I don't have any outstanding auto loans so hopefully it should be okay.

It just sucks that all weekend I thought I was getting a 335xi this coming Friday.

[Dizniz32]

Find a different dealer with a cooler finance manager... Some are tight asses and some are cool as hell. IF you find the right one you'll get it done. All it is, is a phone call to a admin chick at BMWFS that can press a button and change your app from Red to GREEN. Cant hurt to try a new dealer and dea lwith a new finance manager. If you can prove you can pay it theyll approve it.

[Mondolemite]

If you can try to use a credit union to get your loan. I had a very similar problem when I was in college and the dealership tried to charge me 18% on the car loan because I had "no car loan history" and very little credit history of any kind. I was college student, what could I do? Co-signing was out of the question for me but I needed a car.

I went to the university credit union and they approved me. They are much more personal and consider your entire situation a little better in my opinion. They also have competitive rates. I would look into it.

[blue1]

I can feel your pain. I went to buy a BMW 3 years ago and I was also rejected. They would not give me a lease longer than the length of my US Visa. I was only a temperary resident back then. So I went to Audi and leased an Audi instead. I can understand their logic but I had no issues getting approved at any other financial institutes. Fortunately I have my GC now so it was not an issue this time around. BMW just seam to be very stringent. Not much we can do about that.

[JD335i]

hey kwakr738 had you already went an ordered the car? or did you just go in and applied for the lease only?

[Mondolemite]

By the way, my comment was obviously appropriate only if you changed to financing the car.

[laperacfo]

If you currently have lease with BMWFS and will lease another one when the lease is up, is it easier to get approved?

[kwakr738]

Thanks for the concern everyone. I was so bummed out, I was hesitant to come back to this forum just to try and forget about the whole situation. Anyways, after some research, I found out that I should apply online ahead of time. So, I went online and built a G37(Please forgive me as I was weak emotionally). I went ahead and applied online...and I was approved!! I am thinking that something fishy is going on at my dealership. As some of you recommended I will try with another dealer. I will also try and see if there is a credit union at my job.

I actually signed the papers, put a 1k deposit, and was ready to get it Friday. The sent the lease in after. I actually want to get proof that they submitted my application to BMW Finance.

Thanks everyone. I really hope I could join this community.

[Mondolemite]

Originally Posted by kwakr738

Thanks for the concern everyone. I was so bummed out, I was hesitant to come back to this forum just to try and forget about the whole situation. Anyways, after some research, I found out that I should apply online ahead of time. So, I went online and built a G37(Please forgive me as I was weak emotionally). I went ahead and applied online...and I was approved!! I am thinking that something fishy is going on at my dealership. As some of you recommended I will try with another dealer. I will also try and see if there is a credit union at my job.

I actually signed the papers, put a 1k deposit, and was ready to get it Friday. The sent the lease in after. I actually want to get proof that they submitted my application to BMW Finance.

Thanks everyone. I really hope I could join this community.

We won't kick you out if you don't get your lease. That being said, I'm sure everything will work out. It sounds like you are on the right track.

[Solonng]

Wait, so you signed your lease paper and they turned you down? how is that possible? was it lease paperwork or just a purchase order? i'm confused.

[Solonng]

werent you supposed to get an approval first before signing your lease paperwork?

[JD335i]

yea im confussed too, cus something similar happened to me, when i went in and filled out the application for my lease along with a purchase order, placed a deposit and left, my CA called me days later saying i got declined but would see if he can get me approved with a higher deposit, with that i got approved, he placed my order and the rest is history, but it sounds like you didnt fill out the lease papers at all, i think you just filled out a purchase order.

[Solonng]

yeah, im curious since i'm going to go sign my finance paperwork next week. let me know.. in any event, don't feel sad. just think of it this way, you'll have money in the bank. hehe, im scared to see my checking balance after next month. yikes!

[kwakr738]

You guys are probably right. It was just the purchase order and not the agreement. I am going to head up to another BMW dealer tomorrow and give it a shot.

[JD335i]

try getting a co-signer, maybe come with a bigger deposit, one advice that my CA gave me was to open multiple security deposits, the max i think is 6, which is money u get back anyway, so have him explore your options, i mean thats what hes there for, to get u approved and sell u a car. am i right or wrong guys?

[kwakr738]

Thanks again for more tips guys. I actually called the dealer and told them that I got approved for the G37 and that I needed my deposit back. I told the CA that my credit score was 700 and that my credit report shows everything paid off. I faxed him my report, W2, and most recent paycheck. He called back and said that we could work it out if I put another 2k down. This shows that my credit is not jacked up as they say. I said that I would think about it. I am considering doing the following:

-Give them another $500 and get the car this Friday

-Offer them a security deposit of another 2k

-Walk away and find another BMW dealer

Any other options would be greatly appreciated.

THANKS!!

[John 070]

Sometimes these things though disappointing, may actually be beneficial in the long run. Why get a cosigner and pay a higher rate? That's unfavorable.

How I can relate is I had a contract on my first house in 2k2. Turns out the roof needed repair, would cost around 9k. Because of the market conditions, the seller basically told me to go F myself, they would never dream of paying for a new roof, take it or leave it. I left it, and lost $430 to a home inspector.

The house I'm in now ended up costing 275k more than the one with the bad roof, but guess what, even though housing has got slammed, according to zillow, the differential is much more than the 275k. It's as if the 275k differential also appreciated by a percentage.

Long story short is find out what is causing the problem for you, fix it, and wind up with a better deal. That's the way to look at it imho....

p.s. don't put another 2k down in your situation, that would be like me paying for the roof repair and taking a bad deal...

[AJerman]

Sucks to get rejected. Makes you feel like crap too.

My CA came back and told me they could approve me once I sold my current car. I told them I'd like to know how I'm supposed to do that when I don't have my new car yet. Last I heard my CA said his finance guy says that they think they can work it out when the car gets here.

My problem is that I just sold my Cobra which was a little over $20,000 on loan and it apparently still shows on my credit, plus, I don't have a huge income, but I have very little expenses, so while I can easily afford the car, the income number still doesn't look big.

They want you to buy the car though, so work with them and I'm sure you can get something figured out.

[JD335i]

i would give them the 2k in multiple security deposits, at least youll get that money back look at it as an investment lol plus you'll get you're 335, next time you wanna finance with bmw, you wouldnt have any problems getting approved with a great rate

[Solonng]

True, but you should be careful of not missing your payments either.