What is a competitive lessee?
By Product Expert | Posted in FAQs, Finance on Tuesday, February 25th, 2020 at 9:31 pm
Definition of a Well-Qualified Buyer
If you’re looking to buy a vehicle, perusing pages and pagesof loan and lease offers, you’ve likely come across the terms “competitivelessee” and “well-qualified buyer.” Many offers from OEM dealers are onlyapplicable to such individuals.
Unfortunately, the designation is often left frustratinglyvague. So what exactly does it mean to be a well-qualified lessee?
A competitive lessee or well-qualified buyer generallyrefers to an individual with a Tier 1 credit score. As you can probably deduce,a Tier 1 credit score is a very good credit score. It typically refers to ascore of 720 or higher.
However, every bank has their own definition of what a Tier1 credit level is, so qualifications can vary. Offers aimed at well-qualifiedbuyers are usually offered by a manufacturer’s bank. As such, thesestipulations apply to special rate or money factor offers.
Are factors considered besides credit score?
Yes, to determine if you qualify, a bank/dealership willtypically take into account not only your credit score, but also other factorssuch as your credit history, debt-to-income ratio, the price of the car relatedto your income, and the size of your down payment.
Low/No Credit Auto Loans at Third Coast Auto Group
For those who are not well-qualified in the credit arena, all hope need not be lost. There are many dealerships, including us here at Third Coast Auto Group, that work with individuals of all credit and financial situations. Using our special connections to financers, we believe we can find everyone a loan that will work for them. The goal here at TCAG is to work with customers, not against them, when finding a solution to the obtainment of their new car.
If you’d like to check your qualifications, feel free to apply online using our pre-approval tool.
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