Really complicated matter with my credit

[Anonymous]

So here's the thing, I have been trying for the last few months to get a car. However, because of my lack of moderate income and poor credit history I have not been able to have any luck with getting one that is new(or at a new car place) without a certain downpayment. I was close at one Honda place but they wanted at least $1k down.

My fico range is 625-675 with others reporting my score as 649(it was 669 a month or so back but score has been pulled down from applications for a car place and Paypal credit) and that is because I was approved for four commenity bank credit cards(three in 2013, one this year) for four of their stores. I have only made two orders without returning and have no balances. I receive government income and less than $500 a month(if I paid rent it would be over $700 a month). Is my score deceiving me because of my lack of history but having all those cards?

I really want what I have offered here to not be a death nail for my nice car chances because used cars and BHPHs have high interest rates and I don't want a car I have to repair every month. I have also read so many articles on these BHPHs that it isn't funny. I dread having to buy a car like that. I need a car to get on my feet and get off this income so I can go back to work and school.

[Anonymous]

If you only get $500 per month how the heck do you plan to make the loan payments on a new car?

[Anonymous]

The monthly payments I am assuming will be $400-$450 if I could put down $500. And I would think if they knew I bought a car and was gonna be making payments on one that they would move my income level up. But it doesn't matter, with a new car, I plan to find a job. I can't leave my house because I have agoraphobia regarding people I know and knew. Always had this problem. If I didn't I would have a job right now where I am.

[Gunnar419]

I am sorry for your problems, but you are NOT in any position to buy a new car and it's puzzling that you believe that you are or should be.

If you absolutely must have a car in the near term, your circumstances make it sound as if you should be looking for a beater that you can pay cash for or an older car from a used car lot with low monthly payments. Once you have a job that can support the monthly payments, you might look at new cars, but even then you'd be better off financially by buying a newish used car for much less money.

If I'm misunderstanding your circumstances, please correct me. But with no job and an income of $500 a month, how would you even hope to pay for a new car? You mention that "they" (the government?) would move your income up if you incurred a $400 or $500 car payment, but I know of no program that would do such a thing.

[Anonymous]

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@Anonymous wrote:

I receive government income and less than $500 a month (if I paid rent it would be over $700 a month).

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@Gunnar419 wrote:

If I'm misunderstanding your circumstances, please correct me. But with no job and an income of $500 a month, how would you even hope to pay for a new car? You mention that "they" (the government?) would move your income up if you incurred a $400 or $500 car payment, but I know of no program that would do such a thing.

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It reads to me more like income would go up as a housing allowance, not for having a car payment.

[Anonymous]

Note to the OP:

Like others have said, we're sympathetic and you are no doubt being honest.  But your posts have some baffling  things in them that make it difficult for outsiders to give you meaningful advice.

For example, you mention that you have a panic disorder that prevents you from leaving the house. But you are soliciting advice on how you can most easily buy a new car.  Unless your house is enormous, you probably won't be able to drive the car inside, so it is unclear to us why a new car is the right thing for you to be looking into.

Best wishes regardless....

[Callandra]

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@Anonymous wrote:

The monthly payments I am assuming will be $400-$450 if I could put down $500. And I would think if they knew I bought a car and was gonna be making payments on one that they would move my income level up. But it doesn't matter, with a new car, I plan to find a job. I can't leave my house because I have agoraphobia regarding people I know and knew. Always had this problem. If I didn't I would have a job right now where I am.

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I'm sorry to hear this and I know how you feel; I've spent my whole life with anxiety/depression and on and off medication. But getting the car is not going to solve your fears (and I'm trying to say this in a friendly way) but I suggest getting help for that first before plunging into buying a car. The car will only add stress and $400-500 a month for a car is a lot of money. Do you live near public transportation/have someone who can drive you for a while when you start a new job? I recommend getting the job first, make sure it's something you can commit to and once you're more stable, then get the car (and save up for a down payment!). I think it's just going to be hard for either a dealer or a bank/CU to give you a loan in your current situation for the car. Your scores aren't horrible and while you won't get the best rates, you shouldn't be too bad off (look at DCU when you are ready; everyone says they are excellent for car loans).

[Anonymous]

No, out of town work. Until I had the money to find my own place around where I would work.

[Anonymous]

Well let me ask this question. For my situation what interest percent would I be paying? When I did a calculation on a site, I put 9% and 10% separately and with $500 down on something $18,000 and it was $400+ a month.

[Anonymous]

If you finance a car you will also have to purchase insurance, so it's a lot more than just the car payment. You really should be looking for a used vehicle, it is unrealistic to be considering new at this point.