A consumer went into her local bank and attempted to refinance her high interest rate auto loan. Excited to finally get out of this high interest rate auto loan, she sat down with the loan officer to see what they could do for her. She soon learns a couple things are preventing her from refinancing her auto loan.
One she was upside down on her auto loan (she owed more than what the vehicle was actually worth). Due to her high interest rate auto loan, most of her payments were going towards interest and very little towards principle. The reason was simple; unfortunately for her she didn’t completely understand the difficulty of trying to pay down a 21% auto loan.
Secondly, the credit score that the bank utilizes to extend credit to a consumer was Experian and her credit score from Experian was reporting a 565 credit score. A 560 credit score is considered by most banks as high risk and the bank unfortunately couldn’t extend her credit to refinance her auto loan.
The bank suggested for her to work on her credit and come back when she was able to raise her credit score to at least a 660, in order for her to take advantage of a lower interest rate. Well, she took the banks advice and sought out the services of InCreditable Advisors.
We immediately, obtained a credit report from all three major credit bureaus Experian, Equifax and TransUnion to increase her chances of obtaining financing from any bank she chooses. Note: not every bank uses the same credit reporting agency and not every credit reporting agency shares the same information with each other about the consumer.
Result: InCreditable Advisors did a complete credit analysis and audit of her credit profile and recognized several areas where our client could improve on. We recommended several enhancing strategies to boast up her credit score. After three months of utilizing our advice and recommendations, our clients’ credit score went from 585, 565 and 597 respectfully, to 629, 662 and 672, an average across the board of 72 point increase. Our client was finally able to get out of that awful auto loan of 21% to a better auto rate of 5.9%.
If you need a boost in your credit score please give InCreditable Advisors a call today at 317.202.1297 InCreditable Advisors is Indy’s #1 Credit Consulting Company. We are fully licensed, registered, and Bonded as required in every state in which we operate. Our company’s specialization is Credit Repair, Debt Settlement and Credit Education. Our service is empowering and impactful in the ways we assist with all phases of the credit rebuilding processes.