Should I even attempt?

[Anonymous]

Hello just recently created this account to hear some feedback and advice on my current situation. 

Im looking to buy a newer truck here in another couple months or so. This however would be my first auto loan. My current truck is falling apart, Im spending more in repairs then the value of the truck. Anyways, Just wanted to know how good of a chance I would have at getting another truck.

As I stated before this would be my first auto loan. I have been employed at my current job for 1 year and 5months. I just recently got done paying a credit card that brought my credit from 566 to 723 (high utilization) . Only established credit for a year now which I know is kinda bad, Only 1 inquriing check on my credit in the past year. I dont have any expenses or anything because I still live at home other than insurance and registration. According to my tax stub I made $16,078 last year, hope im not forgetting any details.

I have been searching for trucks and found some in the $15,000 range. I dont want a loan for anything above $15,000 or more. I am able to easily put $1,000 down and maybe even more than that. 

I just wanted some input before I get laughed out of the dealership. All my other trucks that I have payed in full for (3 others) were all in cash and around the $3,000-$4k amount nothing big. My current truck I am cosigned supposedly with my grandmother, however I dont see anything on my credit report pertaining to be cosigned on the loan. I know there are a few big things that would affect weather I get approved or not. only having 1 year worth a credit, never having an auto loan before and my yearly pay. I dont want the dealership to keep pulling and pulling my credit since I know that lowers the scores. I have already tried capitalone preapproval auto loan but that was before I payed off my credit card. Just looking for any input really. Thanks

[Anonymous]

What did Cap 1 say? How long ago did you try their pre-approval?

[Anonymous]

I tried cap1 about a month ago. Still haven't received the letter of denial yet. Should be here any day now. The more I think of it, might just be better off getting a personal loan and just getting a used vehicle that way.

[Anonymous]

Would it even be worth trying to get a loan for that much?

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@Anonymous wrote:

I tried cap1 about a month ago. Still haven't received the letter of denial yet. Should be here any day now. The more I think of it, might just be better off getting a personal loan and just getting a used vehicle that way.

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[Anonymous]

Sorry to say. If you can't get a car loan. You will not be able to get a personal loan from any bank. Personal loan is harder to get from bank than car loan. Reason is personal loan they loaning money to you mainly based on your income and credit worthiness so if u can't get a car loan u will not get personal loan

[Anonymous]

Well got the letter today, Credit score is even higher than I though it was lol thats good. ANyways I guess there key factors for deciding:

Length of time accounts have been established

Lack or recent installments and loan information

Too few accounts currently paid as agreed.

So basically not enough time, no previous loans, and basically not enough credit history. Right....

[Anonymous]

My suggestion is pretty much the same for everyone.  Join a credit union, they have much better terms than banks and you can build a relationship with them that they value.  If you can get into NFCU I highly suggest them, other options are DCU and PenFed.  I think your income will make it tough to get financed through a bank, a dealership will likely work a deal to get you financed but they will mark up your APR and going in without financing secured and low income puts you in a tough spot in terms of negotiation.  Try the credit union route and see what they have to say. You should probably build more credit references so I would shoot for 3 total credit cards.

[Anonymous]

In addition to what workingfor850 said, you may also want to establish credit by obtaining a secure card with someone. Then use that card to pay sometheing every month like a cell phone bill but pay the balance due every month.

[Anonymous]

My story is similar to yours.. 2 years ago I wanted to finance a car..  I didn't have ANY credit history.  No credit cards, never bought a car..  Never financed anything..  Even with my step father (who has a near 800 credit score co-signing I still was turned down..  I opened a Capital one secured card and did as others said. Use it, pay off.. Rinse, repeat..  About 6 months ago I finally got my first unsecured card.      A week ago I bought a car.    Not saying it will take you 2 years like it did me.. But def get a secured card..  It is the way to go.