Ok, my credit is not the best in the world, but after I took delivery of the car and came back the next day (yesterday), the finance guy told me my loan app was denied. But, he said I had nothing to worry about and he was just telling me because I may get a letter in the mail and he wanted me to know before hand.

Time Outline:
Friday - They pulled my credit, gave an offer for my 2005 Civic Si and they wrote up a loan agreement. I signed all the paperwork and left with the S2000. By this time it was after 7pm on Friday night, so the Honda finance bank in Charlotte NC was closed.

Saturday - I had to go back to give them the other set of keys to my Civic Si and the pickup the conv cover (think it is called a tawno cover). While I was there the gentleman that did all the paperwork (finance guy) told me my app was denied because I had no payment history with Honda. He said the old 2000 Civic coupe I paid on for over 2 years did not show up. But, he found it looking at my customer history on their system. At this point they are still letting me keep the car and I am paranoid they are going to call me on Monday and want the car back. But, the finance guy told me maybe 5 or 6 times (I asked a few times) that that will not happen. He is going to call the Honda bank and tell them they missed something on my history.

So my question is, should I be paranoid? I have a contract signed by a representative of Honda with all the numbers on it. Not to mention all the other forms I signed. This S2000 will be my 4th Honda.

 

I'm surprised they let you take the s2000 home without a closed deal.

Your loyalty to Honda has nothing to do with your credit - its a score that's created from factors such as debts vs assets, income, past overdue payments etc....

 

Well, before they ever gave me the deal and numbers, they had already pulled my credit and asked me a few questions. Something similar happened when I got my Civic Si back in March. The guy had to call the Honda people the next day to clear up some things. They told me in the last 8 years of business he has been their they have only had to take back 1 car after the paperwork was signed, and it was because a customer was using a dead persons' SSN as their own to buy a car.

The guy told me not to worry, but I am still paranoid. The car is already in my blood.

 

I'm sure all will pan out fine. Welcome!

 

I'm sure they don't want to take back the car any more than you want it taken back. Remember, they're making a living off of this and I guarantee if there is a way to have you keep the car, they'll find it - because it means more money in their pockets.

I wouldn't worry...things will work out.

 

Daytontp,

Didn't you get screwed trading in your 5 month ol Si? I don't think they'll take the S back but you may get stuck with a high interest rate loan. Good luck to you!

Markk

 

Car dealers let people take cars home ALL the time without a closed deal. Most people shop for cars on the weekend and after they get off of work and most banks are closed.

When I was young and had little credit history, I had a car dealer sell me a car, and I took it home. The next day the dealership shops around to many banks looking for someone who will finance me at the deal the finance manager promised. The dealership usually gets a kick-back from the bank, and the ammount of the kick back depends on the bank. So they usually start at the banks that give the biggest kick-backs. The bank that almost always gives the smallest kick-back is the financing arm of the automaker. (Honda Credit.) Bottom line, I got 4-5 denials on that car before financing it finally (through Toyota motor credit in this case.) It showed up on my credit report, but didn't hurt much because I didn't need credit again for over a year.

The finance manager has more experience with this than you do. If he is unconcered about your driving around in an S2000 for the weekend, then you should be to.

 

also in those papers you signed was a paper that states you are taking the car without final approval, and if they can't get you done you bring the car back...a common practice doing "spot" deliveries...if you're open with honda finance, and have at least a 6 montrh history it shouldn't be a problem, but I'll bet you were upside down bad in the Si...so I would assume you're payment is in the high 500 range..how much more than the Si? Do you know your FICO score? You should.

 

you have nothing to worry about you signed a contract, they will get you financing but more than likely not on agreed terms. Same thing happened to a freind of mine and they wanted a sale so bad because he put down 10gs, they completed all the paper work let him take the car. they called him 2 days later and told him they couldnt get him financing and that he had to bring the car back....His old man is a lawyer looked at all the paper work and went back to the stealership with him. Well he left the dealership with the car, because the car he traded in was sold the day before. My friend had bad credit so what happened was is that the dealership had to take the loan out under their name and setup a repayment schedule with him.

 

most big lenders now could care less about fico scores, they want to see vereifiable income and paymrny history. My credit was shot due to being laid of for 8 months and an ex girlfreind who defaulted on loans that we both cosigned for , not to mention the credit cards that ran up. My credit score is under 600, but my salary is 100k, and when my credit report was examined by a a lender they could see that a 6 month period )out of work) tanked my credit. They actually could see that my credit score 2 years ago was at 725. All they had to do was callmy employer and i gave them 4 paystubs that showed i had grossed over 60k by june. Not only did I get approved, i got it 10% and thats with super bad credit right now, most lenders would have been at 20