It was a bad day. Denied lease

Went to pull the trigger on the Sonata plug in and had a great deal. Drove the 2 hrs to the dealership. Got my docs together, incentives lined up, the car pulled up and detailed.

Then the finance guy came up and said I don’t have enough credit history for a lease. I have A-grade credit, just not enough history. Hyundai Motor Finance declined offering me a lease.

I was gutted. I’d been meditating on this car for weeks :frowning: Anyhow, what are my options here? Try a different car company? Will I ever be able to lease in the near future? They said I could buy the car no problem, but probably not lease. I have two credit lines and about 2-3 years of history but no car financing or anything big like that.

Local Honda denied me with 2 years history like that before; got a Kia from a bigger dealer next day.

sounds like the classic bait and switch. i like having my credit history/score printed out and on hand. it seems these days the salesman is easier to work with and all the shady stuff happens with the finance guys…

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I entertained this for a while but the thing is they didn’t switch it for anything else. Why would they bait me in only to say no? Anyhow my biggest question is how can I get information on who would offer me a lease with my credit history?

I think with a co signer your problem will be solved. Dont know about the mf though, you might need to negotiate again on that part


Why? Because they’re car dealers! They know you’ve driven 2 hours and put in all the work. Many people will capitulate. See movies vacation and Fargo!

Well tell them you have a co-signer now. If they want your business, they can deliver the car to you.

Ok … and who is that going to be?

I understand what your going through, but one question, do you have any auto loan history?

No I don’t. I’ve only ever just outright bought a used car from a dealership.

Ah okay, thats likely your problem. I remember about 6 months ago, I bought a used 2013 prius (got robbed but whatever) and it was my first time buying a car, I had tried to lease a prius just 2 weeks earlier and was denied, the finance department had a tough time getting me financed, but once they did, and about 2 months after that auto loan was reporting on my credit reports, I was able to lease a Hyundai Genesis at tier 1, and ive been approved for a few more leases since (havnt taken them just curious) I hope this helps.

FYI, every time you have someone run your credit, it lowers your score a few points. If done frequently and over a wide period of time, if can have a big effect on your credit score.

Just do a soft inquiry yourself using a free tool (such as ones offered by some credit card companies) and tell the dealer to assume xxx score. Only let them run your credit right before signing.

You couldnt get tier 2 through HMF? Also check your credit on Credit karma, its free.

Hyundai is tough. Had a Genesis 47K MSRP on my hands (just like you, detailed, pulled up, keys in pocket, etc.), sign and drive, $420/month. Deal got kicked back because I had run my credit with a cosigner (that I thought I would need for insurance purposes) a day or two before, making Hyundai think it was a straw purchase for the cosigner. Made no sense to me. Still miffed about that.


did you ask if you could put some sort of security deposit down? Or maybe a larger down payment (if that’s doable for you)?

Also i would suggest you call the finance guy at another dealership and explain to him your situation and see if he has any suggestion for you. I’ve seen some dealers being able to “push the paperwork through” so to speak. Some are more creative than others. It might also be a way for a dealership to get your business from another dealership so there’s incentive for them to do it. Some dealerships that are owned by a large company like AutoNation have strict procedures and don’t wanna go above and beyond to make things happen so maybe another dealer can help you.

Also just because Hyundai denied you doesn’t mean other leasing companies will deny you, it will require you to do some homework. Not sure what your credit card history is but i am assuming you are young and i remember my first credit card had a $500 limit on it. You can see why a car company would be reluctant to give someone the responsibility of a car who has only made little payments on a $500 credit card. Once you have a lease under your belt everything will be easier going forward. So maybe a co-signer is necessary on your first lease. I remember on my first lease i couldn’t get it done without a hefty down payment but then they let me do it. If a 1 pay lease is an option for you then you can explore that also. It’s not ideal but it will show as you having had a car loan in the future so the next car will be easier to do.

My last deals I’ve had everything, including the approved financing, all complete before going to dealer. Especially if dealer is 2 hours away. In the future, before driving to the dealer see what they can do to get docs to you and deliver vehicle. I had one dealer that was 2.5 hours away who would someone bring docs to me and even arrange for at home delivery. If dealer wants the deal they’ll work with you.

A cosigner is the solution. Who would that be you ask? well someone who you know well and has been here for more than 2 years with decent credit.

If you don’t know such a person, and have only 2 years credit history, then you need to work on building such history.

No I didn’t, that’s a good point. I did suggest that and there is some good news. However now I am being considered on tier 3. I’m just wary of this being a little switch baity. What do you guys think? Did they legitimately pull strings to get me this or have I been switch baited?

Well you gave them an excuse and they used it to full effect :slight_smile:

See if they can get you Tier 1 with deposit or Tier 2. Tier 3 is probably going to affect your payment a lot. Also, read what i wrote before about reaching out to another dealership’s finance guy.

Or in the alternative, call a dealership somewhere else in the country and find out how much a typical security deposit is for Hyundai financial services. Then call your dealership again and just tell them that another dealership offered you a Tier 1 with X security deposit (has to be the correct amount or they will know that you’re lying). Then tell them that if one dealership can do it then they should be able to get that as well. See if they bite…sometimes you gotta stretch the truth a little, they sure do that to you. I wouldn’t accept Tier 3 if I could get Tier 1 or 2 with some sort of security deposit. I think Tier 2 is acceptable for someone with little credit history so if you can get that done with a sec deposit then it would be ok. It sounds to me that the dealership knows how bad you want the car and that they’re going to Tier 3 even though they could potentially get you Tier 2 because they think they have you cornered. I’m speculating here but that’s why you gotta play the game.