F@@k Nissan! (VERY VERY pissed!)
 

Right now, words cant describe how goddamn pissed I am!!!!!!!!!!!!!!
Ok, here's the story.

I was able to locate a yellow 370 with sport package, no navigation, brand new, literally my ideal combination! Test drove it on Tuesday. Went back to dealership, and made an offer for 1000 bucks below sticker (i.e. CAD 44500) and dealer accepted, no questions or hassle. So I filled the credit application for the financing with 8000 downpayment and the rest to be financed over 2 yrs at 5.9%.

So today I call the salesman to inquire about the status of my loan and he got the F&I woman to call me later today. She told me that my credit application was rejected cuz I don't have a history of credit and I can either get my parents to co-sign my loan application or she can try to put the application through a bank, but at a possibly higher rate!

I was pissed, but thought perhaps my credit score was low (I never checked it before). So I went and checked it online via TransUnion Canada and found my FICO score was 760! It was rated as "good" (which is just one step less than excellent, the max. rating they have) , and higher than that of 58% of Canadians!

So I called the woman again asking wtf is up! She said Nissan rejected it despite my high score cuz I have no history of borrowing large sums of money and that I have a few credit cards with small credit that I do not use (which is partially true, I rarely use credit cards, and the ones I have are low credit limit, like 5000 CAD or so, from my days as a student). What I unfortunately forgot to tell her, but is already stated explicitly on my credit history that I'm sure they read, is that I DID borrow a large sum of money. That was around 45 grand from the government for my student loan in university, and that I already paid off more than half of it (around 24 grand) since I started working as a pharmacist last January. Thus, she said, Nissan thinks I'm a high risk applicant and will need my parents to cosign. She later said she'll try and put it through the banks and will call me later to update me.

That's the story in a nutshell. I woke up today ecstatic that I'm gonna be driving my own 370 by the weekend, but now I'm just angry, upset, and depressed cuz of the BS treatment I received. I'm no teenage high school kid. I'm a 25 yr old pharmacist. No way in hell I'm gonna walk into a dealership dragging mommy and daddy behind me to cosign for me. And my good FICO score should be enough for them. I'm buying a Nissan, not a Ferrari or Lamborghini.

At this point, I'm thinking f##k Nissan and their cars. If that's how they do business, I will take my business to another company. If they don't give me financing at 5.9%, then congrats to them. I won't ever pay a single penny to Nissan for the rest of my life.

Ironic, because of the economy and the banks being stingy, no one would accept my loan BUT nissan. Hopefully it works out sir!

You seem pretty angry. You can't blame Nissan for not loaning you the money since you don't have much of a credit history. If this incident really upsets you enough that you would buy another car then the z isn't for you. The designers of the z are great people.

do you have credit unions in Canada? If so, join one and get your loan from them.

Why are you pissed at Nissan because you have little or no credit history? :confused:

Unfortunately these are things they don't typically teach in school about building your credit rating, etc. This is totaly normal and you will see more of the same esp with a poor economy as there will be less risky investments made when loaning money. It has nothing to do with you personally but you have no assets, a fair size debt and you are young and I suspect you haven't been at your job for three or more years - these are all gonna work against you. Swallow your pride and bring your parents in to co-sign and you'll be driving your car - thats a pretty minor thing between you and your car! I was only dreaming of driving a new Z 10 years ago when I was your age....

:iagree: Nissan really did not undermine you for if you read the fine print lenders' typically have the prerogative of denying you the loan, although days later.

Being the age of 25, I'm not surprised, because you it is most likely that you do not have a long credit history. That's very important when it comes to car loans, no matter the score, and your existing loan debt hurts a lot too, no matter how much you've paid off. You also haven't been at your job for at least 2 years, so yes, your situation makes perfect sense to me, even though it sucks. While in your mind you can afford this car, and in all reality, probably can, the empirical proof is against you. A Loan officer may not be willing to put their job in danger over the decision.

I was also 25 when I got my 370 in Feb, and had trouble getting a good loan for financing due to my short credit history, even with a score of 730. I was given an ok loan rate because of my available liquid assets, no loan debt, and having been at my job for 3 years already.

go through your bank, thats what i did, "if u got a checking or savings with a good long history of having money in it" and i got a good rate at just over 6%, if your going to pay it in 2yrs anyway whats a couple tenths of a percent.. its chump change

Ok, regarding the no credit history thing, I DO have a credit history. It's my student loan. It was 45k, i.e. more than the Z is worth, and paid more than half of it (24k) in a period of only 5 months. Doesn't that count for something?

Also, funny thing is that my own bank already had me preapproved for 18 000 no questions asked, without me even applying for more. The financial advisor in the bank said if I give him proof of income (i.e. paycheck stubs) he can get me even more, but he won't be able to match APR rates of car companies, so I didn't apply.

Besides, where is the risk for Nissan? With 8000 downpayment, and financing over only 2 yrs, at no point in time will I ever be upside down on the loan. Even if I default, they can repossess the car and sell it again, and still make a decent profit.

penfed denied me for the same exact reason(not enough credit history)
i did buy my previous car but was co signed by my gf at the time
so on the day i purchased the car nissan financing approved me
but 2 weeks or so i get the same letter stating the same reason

but i was lucky enough that my dealership found a bank to finance it
so im enjoying my z now


as far as your situation dont blame nissan
was you student loan 45k at one time or was it borrowed money broken down to semesters?? if so then thats not really borrowing a large amount, its small amounts that added up

so just keep looking for a bank but obviosly dont expect a lower interest

Guess you better get those pay stubs ready and head back to the bank then.

My credit score is 789 and Nissan turned me down. There isn't a good reason to any of their decisions. Instead I got a loan from a bank at 4%...worked out much better. Don't miss out on the great fun of owning the new Z just due to the Nissan lenders.

wow, that sucks! glad you found a way out of it. i guess its good they turned me down now rather than let me drive off with the car, and screw me over a few weeks later.

Student loans don't count. They are guaranteed. Granted Nissan can take back the car but they can't take back the miles and make it brand new again. Most student loans are guaranteed by the government so if you default the loaning institution is covered. In my humble opinion you shouldn't be looking to buy a 30-40k car if you don't own property. Priorities my man, get yourself a home or some assets so a bank starts looking at the collateral it can go after instead of writing you off as bad debt. What you do is certainly significant and important and congrats on being a pharmacist, very nice job, but being new to the field doesn't make the banks feel good about your prospects of being employed long term. If you were a pharmacist for 5 year with an income history consistent with that of a long time pharmacist it wouldn't be an issue but I'll bet that you haven't been a 'real pharmacist' for over 30 months. Patience is a virtue, your car will be waiting for you and so will we. GL!!