First Time Car Buyer

[Jadowers]

I just graduated from college and will be starting my new job at the end of the month. I'm looking to buy a decent used car that is safer than my current car (03 Nissan Altima) as I will be commuting about 30 miles both ways each day.

Here are some background facts about my credit and income-

- two credit cards with 2500 limits each (21 months and 11 months)

~28,000 in student loans that I am currently in my grace period with

- as of December/January my Equifax score was 722 according to Scorewatch

- I have no late payments or other bad stuff - I pay in full each month

- One or two inquiries depending on which report  you look at (one approx 5 months ago and the other 8 months ago)

- No previous auto loans

- my salary will be 50,000

The used cars I am looking at have sticker prices between 15000-18000 for the most part. Do you think I will have any trouble getting a loan? Also would you suggest I wait until after I start my job to buy a car (or will not having a reported income make it harder to get financing?). I was hoping I could at least get cheap financing with DCU.

Thanks for your help

[Creditaddict]

If you have job offer use that as your application  employment.

i think scores and stuff you are great... Look around for credit union

[ExplicitElicit]

Welcome to the forum!

Few things, are you going to be trading in your 03 Altima for this new to you vehicle? I don't think you'll have a problem getting approved honestly though for the loan. If they ask if you're currently employed tell them yes, that would not be a lie since you have accepted an offer (congrats on a job straight from college!!) and you already know your salary. 

When do you plan on purchasing this vehicle? You really should look at adding another card to your file - which leads me to ask what cards do you currently have?

Sorry for typos-iPhone 5S

[Jadowers]

Thanks for your replies.

To clarify - I most likely will be trading in my altima (it's a bit dinged up but mechanically sound) and I do have some money I can put down as well if needed. The two credit cards I currently own are a BofA cash rewards card and a Chase Freedom card.

I'm still torn on when I intend to purchase a vehicle. I'm tempted to purchase one before I start working while I still have free time, but the rational side of me wants to wait until I get settled into work before committing to anything. 

[RushXTC]

https://www.tdautofinance.com/home.do

^ Best thing for us first time buyers.

I had terrible luck and went in with around 25 inquiries, Almost all my cards maxed out... Gave $2,500 down and left the lot with a 2013 Mustang and 3.29% APR

[dabrian]

Unless there is something terribly wrong with your current vehicle I would definitely wait at least a couple of months after starting work, either way it doesn't sound like you should have any difficulty with approval.

[Remember0]

Are you buying a new car? If so, look at College Grad programs run by almost all of the big manufacturers. You'll get a discount off of the car price AND the income coming soon thing won't be an issue -- they will want an offer letter though.

Else you can look to places that most likely won't verify your income. With a 700+, I doubt DCU will verify as long as you say you're employed and list future employer for employer. If they verify, they may flunk you for income verification failure though. Big banks also rarely verify: look at BofA or Cap One. Also consider just going through a dealer: dealers almost never verify. Just don't accept any rate > 4% imo.