OK WILL SOMEONE PLEASE ANSWER THIS QUESTION OM FINANCING
 

I go thru these threads an I see question after qustion about financing!!
Can we get a couple dealers to at least verify this question???

Guys are worried about getting financed. maybe what they are really worried about is their interest rate--or monthly payments etc

So my question is (an ive asked this a couple times on threads an no answers)

Doest the dealership check your credit on the day you preordered??????-not to fill out loan papers thats done on the day you sign the dotted line. But in order to see if you are likely to get approved when the time comes!!!!!

I mean they must do this--what if they let 15 people pre order cars the car is accepted by GM and biult--on the day they sign papers no one can get approved!!! I highly doubt they would do business in this manner.

any one that was allowed a pre-order--there credit must of been checked that day.-Its when your salesman stepped away from the table and went down the hallway to a back office.

Now of course they will check again on the day of signing to see if things have drastically changed or your credit score has gone higher or lower---so a few will get caught with the dealership saying to them sorry we cant approve your loan. But i seriously doubt any one that has pre-ordered that their credit wasnt checked on that day to see if the loan would likely be approved!!

My salesman (an i have only average to a little below average credit-640-650--tokk all my financial information then got up from the table--came back 10 minutes later didnt say anything about credit but continued to fill out my order--before i left i asked about the possiblities of getting approved --he said dont worry about it we have ours ways--i imagine in my case --yesh ill get approved but interest rates will be higher etc---thats ok with me im 60 own my own house and have very few bills i get over 50.000 a tear tax free--so i dont care what interest they charge me

This is untrue. I pre-ordered in Feb and at no point did the dealer check my credit. I receive an email EVERY time someone runs my credit and have checked my report religiously once a week since and they didn't run it. At the time of delivery is when they will run your credit, and if you don't qualify then the dealer has a lot car that WILL sell. Unless the dealer told someone specifically that they would be pre-approving them for the sale then no one should have had their credit run.

They don't run your credit until you are ready to drive it home.

They don't care if you do not qualify at the time of your order because there is a waiting list of other qualified buyers that will take your car.

You need to line up your financing ahead of time with an outside lender so you know where you stand and if GM financing does not offer anything good then you have a fall back plan.

I pre-ordered through email with Matt at Garber in Michigan, and I'm in Florida. I know I have excellent credit and getting a loan should not be a problem. I gave nothing but a deposit so far.

If the person who orders doesn't get approved, then they will surely have no trouble selling the car. It's not a base model rental car version of a Cobalt after all.

no credit check for me at preorder on 10/13
 

My dealer did not do a credit check when I pre-ordered, just took my Deposit.

There is no sense in doing so, as its a hit on your credit score everytime they
check, and its not like financing that day would be valid 6 month or so later when your car arrived.

Typical loan pre-approval are valid for 60 days only.

No stepping in the back office for my dealer and no SS# swapping either,
If pre-orders bail out or can not get financed im sure the car will still sell. Its a hot car.

leatherneck, I think it is probably up to the individual dealer as to whether or not they pull a credit report at the time of pre-order. However, I seriously doubt that they do. Even if the sale falls through later, they will be able to sell the car. Now, if this were a $250,000 car they might do that. With a Camaro that they could probably sell the next day, I doubt it. Does this answer your question?

When I ordered I gave them my ss # and they ran a credit check before they would take my order and deposit. They said its like being pre-qualified like buying a house. They don't want to waist my or their time if I can not afford it. Since then I paid of a charge card and gathered up another 10k selling off on ebay, know I am in a much better place with less owed and more down. If this goes as planned I will have 50% down and employe pricing if they honor it.

My credit was never run either. I thought it was odd too...but they know that they can sell these cars. The dealers just want the orders in so they have either:

A. a definite sale.
B. a car to draw attention to their lot...which will result in a sale...or more.

If you want an answer from a dealer, here you go.

If the customer says he is getting his own financing or paying cash, I have no reason to run his credit nor am I under any obligation to refund his deposit if (a) his money falls thru and cannot get it elsewhere or (b) changes his mind and doesn't want the special ordered sold unit that only he/she wants.

If the customer wants us to arrange financing, we run the credit to make sure he is approved BEFORE we order the Camaro. Why would I hold up someone else's order if the buyer cannot get financing?

That is our policy and we took only 15 orders for a guide number of 9.

Bottom line is I want cars in stock that I think we can sell the way that I want them equipped. For those who say the dealer shouldn't care because it's a Camaro, dealers think differently. If you ordered a special order car, be ready, willing and ABLE (financing) to take it when it comes in.

well i se some that didnt have their credit checked and sme that did---an i understand what youre saying --but like in the post above me i dont see them not doing a credit check on pre orders--like he said why waste my time or theirs--why accept not one but possibly several per--orders --cars that arent even built yest with the possiblility of several per-orders being nott approved when the t ime comes!!!-----its one thing when cars order credit are checked when not buying a pre -ordered car nothings changed on their lot --ok we try to sale this car to somone else --i dont know
-a bunch of 40.000 dollars cars built but then not approved--- you say its ok they will just sell them to someone else--maybe!!!!!!!!!!!--say 20% of the entire preorders they find the people cant be approved thats alot of built cars sent to dealerships now sitting on the lot---to just say they will sell the car anyhow is a HUGEEEEE assumption--with GM in the financial situation they are in now --you mean they will make 20% more cars than sell??? again i dont think sooo

Re Finance
 

This is a really great question!!!

I can say this situation would totally be up to each dealer individually. We have asked the question with our customers if they were paying cash or financing up front. If they were financing we got a credit application. We just looked at the credit report of the one customer who was financing to make sure they were OK. Any dealer should be able to tell you if it will be a problem to get you financed just by looking at your credit report.

I can imagine most dealers aren't too worried about having extra Camaros around that will be in big demand though. In the last three weeks we've had numerous inquiries as to when we wil be getting a car for people to look at so they can decide what they want to order....they'll be sad to know they'll be waiting for a long time before they will get one. Make sure that you take this on proactively so there aren't any surprises come time to drive your car home!! Don't expect your dealer to know if you can get financed or not if you haven't touched on that subject with them.

If anyone has doubts about their own particular situation, please contact your dealer and have them look at your credit report and maybe even have them submit an application to a lender or two if there is any question on your situation. I can tell you all that most lenders are delving farther into your credit situation than they ever have. In this market it's more than just your creidt score that matters. Your DTI or "debt to income ratio" is very important too. A dealer could actually submit a deal on a different vehicle that was the same price as the Camaro will be to see what feedback the lender(s) have. Just because you submit something to a lender doesn't mean you have to follow up on it. Just make sure the dealer doesn't use a "shotgun" approach and send the application to more than a couple lenders. If they send the application out to 8 or 10 or more lenders it will affect your credit score negatively. We've actually had people with 850 credit scores get declined on new car loans because they have a huge amount of debt or negative trade equity. Two years ago these deals got instant approvals.

Hope this answers this question.
By the way...if a dealer keeps your deposit because you didn't get a loan approved they ought to be shot!! They are out nothing and actually have a very saleable vehicle on their lot that they can sell at sticker. How many Cobalts can they say that about?? That would be a very sad business practice that only degrades GM image!!

I doubt very much that there will any significant amount of people that ordered a Camaro who wouldn't know if there was an issue getting financing. I wouldn't imagine that any dealer would be that ignorant to sell a pre-sold order to someone who had bad credit and couldn't even buy the car.

thank you rpo --exactly how i thought it would be

I just put a deposit on my order Monday and the dealer did indeed check my credit. I had already told him I may or may not use dealer financiing, so I'm not sure why he did. Anyway, I have great credit so I didn't care. But he did run it.

Plus, banks are lightening up a little bit, and customers always have the options of going through their own bank or credit union. If you're worried about getting financed ask yourself these questions:
1) have you had a car loan in the past?
2) did you pay that on time?
3) what was the amount loaned to you?
4) do you pay your other debt in a timely fashion?
5) what is your beacon score? (621+ is pretty much the guide here...750+ will get you the best rates...<621 be prepared for close to state max)
6) what rate did you get on your last loan? (0% and 1.9% or 2.9% do not count as those are incentivised rates, not what you actually qualified for)
7) How much did you put down on your last loan?
8) what percentage of book value are you financing? (banks don't like financing taxes and such these days, they expect at least that amount down from you)

Be honest with yourself so you aren't dissappointed when the time comes to take delivery. Also, don't be afraid to shop around. This is especially true if you've been with your bank for a long time and you have several of their products already (ie home loan, credit card, checking and savings account, etc).

-Hope this helps some of you out there who aren't too familiar with the process. If you think that you will get a loan on this car and you have never financed a vehicle or anything of value ($25,000 +) be prepared to call up Grandma and Grandpa for some co-sign action.