Went into a local dealership about a month ago to find a 2022 Hyundai Tucson SEL AWD red calypso ex, grey interior with convenience package in zip 10567. I went in knowing the MF/RV for my area as .00069/61% with $1500 cash incentive at the time. Without running my credit, they quoted me tier 1 price of $350/mo with $2850 down for 36/10k. This was based on what I thought my credit score was at the time of 715. I put a $500 deposit down to get the car sent here, but no official paperwork was signed.
At the time I thought it sounded on point (maybe a bit too high) and based on running the numbers through the leasehackr calculator, I was quoted about $50 more for tier 1 (it should me more like $292/mo with $3892 DAS. Link to calculation here) —> CALCULATOR | LEASEHACKR
Since this is my first lease, I wanted to have the credit application info before I went in to pick up the car. Come to find out my FICO score through Experian (what Hyundai finance uses) is actually way way lower at 650 which when I called to check, puts me in tier 7 with an additional $50-60/mo on the lease for a total lease of around $400/mo with $2850 down, $3892 total DAS.
My question is what is the MF for each tier for Hyundai and would putting my husband on bring me back to tier 1? My husband has a Experian FICO score of 715, which is what I thought mine was, so we are considering putting it in his name or adding him to my application, but would that be enough to get us to the leasehackr calculation?
Any advice is welcome. Thank you!
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They may have marked up the money factor for additional profit.
Or they may be using a different leasing company.
Or maybe Hyundai’s leasing arm uses a different FICO model than the one you are citing (the auto-enhanced models go to 900) and they took you at your word that yours is 715.
Thanks for the reply. When I called today to speak to the finance manager, he said specifically Experian FICO 8 is what they’re using, and citing that was based on what Hyundai finance uses. So I’m not sure it would be a different lender they’re using. I think your estimation is correct of an increase MF for profit.
Do you have any advice for how to negotiate this down? Thanks.
It’s not that simple. MF varies by vehicle. It isn’t the same per brand.
I believe @AA-NJ has previously posted the mf increases by tier that would be applied to the buy rate. You’d need to compare that against the mf being charged to see where that would put you.
My question is what is the MF for each tier for Hyundai
To get the answer for different tier money factors, you’ll have to ask on the Edmunds forums.
My husband has a Experian FICO score of 715, which is what I thought mine was
Now, coming to your credit scores. There’s several scoring models out there - for auto, mortgage, credit cards, etc. The ones you usually get for free (Credit Karma, VantageScore, etc) can vary vastly from what the dealership or finance arm may use. Experian has a trial that you can sign up that gives you access to FICO Auto Score 2 and Auto Score 8. It does not necessarily mean that these are the only two auto scoring models out there or that the dealership will use either of them.
Sometimes, the dealership can choose to use another scoring model if it’s available. You’ll have to work with the finance manager on that one. Chances are that it could be very similar to the other one. You should also ask what money factor (or interest rate) the dealer was using to calculate your payment.
would putting my husband on bring me back to tier 1
Depends on your husbands credit. But if his score is in the 715 range, there’s less chance that it’s Tier 1. You’d have to run his credit to find out.
If says somewhere on the sheet (or if you were declined it will say on the decline letter coming in the mail): Hyundai is getting your FICO score from Experian (their choice, no you can’t change) and my guess is it’s FICO v2
How you get a 650 score in something better than Tier 7 is with a cosigner. If you are still planning on a Hyundai, check both your Experian bureaus and see if there is a derogatory there you don’t see on the others.
If you don’t want your Experian bureau used, you need to switch brands.
HMF uses Experian Fico Auto Score 8, go to Experian.com and make an account, then you can see your auto 8 score, sometimes you have to get the $15/mo subscription and sometimes you get a free 1 month trial so ymmv.
HMF approves Tier 1-3 at the same MF so if you have an Auto 8 score of over 680, the MF will be the same for tiers 1-3
follow these directions to see auto score -
logon to Experian or make account > reports and scores > FICO scores > additioanal FICO scores (this is where it may ask you to sign up for subscription or free trial) > auto lending > scroll down to see FICO auto score 8
