We simply replace the borrowers existing auto loan with our Flex-Lease program. The borrower (lessee) has the option to transition to traditional auto financing any time during the lease term or purchase a new or used vehicle through April Automotive Group with no pre-payment penalties.
Q:
Does Flex-Lease meet HUD underwriting criteria?
Yes. Our auto lease simply lowers the borrower’s monthly payment without affecting the principal debt obligation.
Q:
When will APRiL report to the Credit Bureaus?
We begin reporting to Equifax, Experian and Trans Union within 60 days of funding. Our pay-off of the existing lien-holder will be reported to the mortgage lenders underwriter so they can prepare loan documents and fund the borrower’s home mortgage.
Q:
What is GAP insurance?
GAP insurance protects April Auto Credit in case of theft, damage or total loss of the vehicle by paying AAC the Agreed Vehicle Value.
Q:
What is Actual Cash Value (ACV) ?
Actual Cash Value (ACV) is a formula used to determine a vehicles present and residual value.
Q:
When can the mortgage lender call for Flex-Lease funding?
We fund our lease 5 business days prior to the lender drawing mortgage loan documents but only when all escrow and mortgage contingencies have been satisfied and the home loan interest rate has been locked.
Q:
What does AAC consider as acceptable credit?
A minimum 620 middle FICO score is desired however, there are exceptions to this policy which are addressed on a case by case basis.
