I am in the market for my first boat and I am looking to borrow around $20k. Is it possible to get pre-approval before you start shopping? Does anyone know how long it takes for a paid off credit card to show a zero balance on your credit report? Thanks.
From my experience you would first need to select a boat before attempting to get approval. should take about a week for balance reports on credit report but this really depends on how often the cc company reports to the bureau
2017 Skeeter ZX 250
Nothing like the pre-approvals that the mortgage business has. Loan amount VS value is part of the process so having something picked out matters. How long things take to report depends on where you fall in the billing cycle. Things can be from the next day to 45 days and really no way to tell. Lenders like to see about 60% available credit. Having a zero balance is always good but a nice wide margin seems to work as well.Originally Posted by janky
Let us know how we can help.
Thank you,
Ken
Thanks Ken. Right now I am at 30% utilization but if I pay the card off I will be at 11%. I guess when I finally find the boat I will get in touch with you.
Last boat loan I got was about 5 years ago. Called my bank and had them run credit and a proposed purchase and down payment estimate. They told me the amount I was qualified for and after I found the boat, I put the dealer in touch with them and the check was drawn the next day. The whole process from first call to the bank to bringing the boat home was about a week.
I hope to have a transaction with a private seller. I would pay 3% less in sales tax if I buy from an individual versus a dealer.
Last edited by janky; 03-29-2017 at 04:53 PM.
I called my local credit union just to see what they offered and they told me they would not do out of state private transactions because they are so complicated. Ken, would you be able to facilitate this transaction? Thanks.
We work with private to private all the time. The reason smaller lenders don't want to mess with it is the title and lien situation. We have two people in our company that do this full time. Each state is different and it offers a challenge. Yes we do that type of loan. Let me know if you need a hand.
Thank you,
Ken
Look on credit karma and see what your fico score is. If it's in the good category, credit card balance won't matter.
750
From a scoring standpoint, that should work AS LONG AS there is loan history to support the loan. A high score with limited history is just a good score.
By the way - JUST MY OPINION AND EXPERIENCE - credit card balances always matter. The amount of used VS available and also total amount VS income. We have seen declines because the card balances are high in relationship to the annual income. Most of these things became more important since 2008 & 2009.
Let us know if we can help.
Thank you,
Ken
I thought everyone on here paid cash?
just kidding of course. Ken will be a good one to work with!
Sean Fullerton
~~2022 Skeeter FXR20 Limited~~
Yamaha SHO 250
Helix 12
Mega 360
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https://www.youtube.com/ruggedoutdoors
Currently credit card is 17% of utilization and 5% of my income. I have plenty of loan history as well. My credit union is offering 5.5% for 7 years. I am not borrowing a lot so I will pay it off way before the 7 year mark.
That rate is not so bad, if the term is OK. From everything in this thread that I see, you should have options.
Let us know if we can help.
Thank you,
Ken
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