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Quoting smura, from another thread:
"I'd use Capital One Auto Finance. You apply on-line, they give you a decision in 15 minutes and then fed-ex you a check you bring to the dealer.

Their rates are some of the best in the industry.

Current rates are 2.74% for 12-36 month, 4.34% for 37-60 month, 5.14% for 61-72 month"
-=-=-

Has anyone used Capital One? What rate did you get?

I filled out the app, and yes, they did give an answer in under 15 mins.

HOWEVER:

The lowest listed rate as of yesterday was 3% (3 year), and frankly, I was a bit shocked when I didn't qualify for that. They offered me 3.25%.

Without going into specifics with my credit score, I expected to qualify, which makes me wonder if this is some sort of bait-and-switch. I'm better off with a 4.25% home equity loan which is tax deductible. (Until the prime rate goes up again)
 

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I got 3.24% so they must like me better ;)

The 2.99% rate may be just for Bill Gates:eek:

I had a call from them within 3 minutes of submitting the form to tell me I was approved:clap:
 

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I got 2.99%/36 mo. yesterday, the lowest quoted on their website at the time. I am not Bill Gates, but am a Microsoft Certified Partner. Does that count? :p

It took a lot longer for them to call me--5 hours--but I applied online at 5am before they were open.

FYI, I originally planned to get a loan from a local credit union since they sometimes have better rates depending on the term. But since Cap One was the same for 36 mo., I just went with them.

http://www.howtojoinacu.org/ is a good site to find your local credit unions. I found several in my area, and it was easy to compare rates from just going to their websites.
 

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Patricko said:
I got 3.24% so they must like me better ;)

The 2.99% rate may be just for Bill Gates:eek:

I had a call from them within 3 minutes of submitting the form to tell me I was approved:clap:
Did they say what credit score you need for that rate? Some places require 800 or above for the best rates. Its not a bait and switch since a certaint but small percentage fo people qualify. You just have to own your home free and clear, have no debt, and pay off any credit card bills as soon as you get them. I has a 809 credit score after I sold my house and moved into an apartment. Once I bought another house my score dropped by about 50 points. But not all of are retired with 30 years worth of credit history and no mortgage so that is why most people dont get the best rate

I am using with a Home Equity Line of Credit that I already had that I since it is tax deductable and at 1 percent under prime. I used to work for the bank that I got it from so that is why my rate is so low.
 

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if you are a costco member you get a discount through their website on cap one financing, especially if an exec member. I got 4.14 for 60 months.
 

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I think the costco discount is no longer offered. Now, when you go onto costco's website and click on the link it takes you directly to the capone website.
 

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Oh, another thing, my credit score is 720 and I qualify for the lowest rates cap one advertises, but I go for the 48mth rate, the qualification for the 36 month may (and likely) is different.
 

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Home equity loans tax-deductible? For my loan/HELOC, it depends on what you buy. It has to be home related to be deductible. For a refinance, though, of course you could use the money for anything you want.

But can you really deduct the interest for a home equity loan, taken out for the purpose of buying a car? (not used something like home improvements.)




DLY
 

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yes you can.

You can take out a HELOC and spend it on hookers and booze if you want. It is still tax deductible. Just depends on how much equity you have in your home and how long you want to stretch out the payments on a car.
 

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OK, I'm going to have to look over my
HELOC terms more closely. When I was researching them, the two I was serious about (Wells Fargo and BECU) both stipulated not all purchases via the HELOC are deductible. It cautioned me to be careful about what I tried to deduct.

Since this is tax related, it has to apply/not apply to all HELOC's I would think, so hopefully I misread it.

A refinance of course is an entirely different issue.


Thanks,


DLY
 

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just think about it: people have been using home mortgage, line of credit, refi, or whatever you like to call it, to payoff credit card debt, accumulated through buying all sort of useless junks.

If you really worry about it. Charge the Elise on your VISA and then payoff the credit card bill next month using the HELOC.



etypeiii said:
OK, I'm going to have to look over my
HELOC terms more closely. When I was researching them, the two I was serious about (Wells Fargo and BECU) both stipulated not all purchases via the HELOC are deductible. It cautioned me to be careful about what I tried to deduct.

Since this is tax related, it has to apply/not apply to all HELOC's I would think, so hopefully I misread it.

A refinance of course is an entirely different issue.


Thanks,


DLY
 

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agent.5 said:
just think about it: people have been using home mortgage, line of credit, refi, or whatever you like to call it, to payoff credit card debt, accumulated through buying all sort of useless junks.

If you really worry about it. Charge the Elise on your VISA and then payoff the credit card bill next month using the HELOC.
Make sure you use you rewards card when you do so! :D
 

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Discussion Starter #17
xxxotic said:
Did they say what credit score you need for that rate?
They wouldn't say.


Some places require 800 or above for the best rates. Its not a bait and switch since a certaint but small percentage fo people qualify. You just have to own your home free and clear, have no debt, and pay off any credit card bills as soon as you get them.

Maybe my huge mortgage scared them! :) My score was above 800 last I checked, which was why I was perplexed with the suboptimal rate. (?! Maybe I should check again...)
 

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childressmd said:


Maybe my huge mortgage scared them! :) My score was above 800 last I checked, which was why I was perplexed with the suboptimal rate. (?! Maybe I should check again...)

I have worked for a lot of banks and here is some info you may find useful:

If you are appling jointly, then most places take the lower credit score or a combination of the two. If your wife is at the mall running up the charge cards, this could be the cause

If you apply individually and have a mortgage that is in two names, and both of you are working they assume all the debt is yours, and it throws off your debt to income ratio which could also result in a higher rate. Even thought you are both paying it, most banks dont want to take the risk that if one person dies, quits working, takes a maternity leave, etc. that the other person would be in the position to take on all of the debt themselves.

Then there are the people that say they declared bankruptcy a few years ago, but have had perfect credit since. Banks dont care-you screwed someone over before, so they dont want to deal with it. And never have a late payment on a car loan if you are trying to refinance your existing one at a lower rates, since they will think you cant afford the payments in the first place. Banks are in the business to lend money, not to repossess cars!
 

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Home equity interest is only deductible up to a point. It's deductible based on the lesser of a) $100,000 or b) the amount the fair market value of the house exceeds the amount of home acquisition debt.

Here's an example:

You bought your home and the current balance on your original mortgage is $95,000 and the home is now worth $110,000.

You take out a 125% equity loan (based on the fair value of $110,000 which gives you equity loan proceeds of $42,500 [($110,000 x 125%) - ($95,000)].

The amount of interest that is deductible is limited to the lesser of

a) $100,000 or
b) $15,000 [$110,000-$95,000]

You can use the home equity loan for any type of purchase, but there could be a severe limit on the amount of interest you could deduct.


Say your home is worth $500,000 and you owe $250,000 on it. You want to take out the $250,000 equity. You would only be able to deduct the equity interest up to $100,000. (40%). So if you annual interest was $6,000, you could only deduct $2,400 (40%)
 

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smura said:
Home equity interest is only deductible up to a point.
I'm not quite motivated enough to dig into the tax documentation right now, but IIRC, although it appears that your mortgage interest is fully deductable, I believe it ends up in the calculation where it may be less than 100% deductible based on your AGI. It was a bitch to figure out. I think that part of the tax form is purposely obfuscated.

Any tax-qualified people here know whether my recollection is accurate, or just a bad dream?
 
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