Salary's affect on Auto loan terms?

[Anonymous]

I am thinking about buying a new (or gently used) car in the next three months, but I was wondering about the affect my salary will have on any loan I apply for. I have a good FICO score(760+ at all 3 bureaus), but my salary is amazingly low right now as I am a new college graduate waiting for a background check to be finished for a full-time job. I'm working part-time right now, but need to buy a car before I start my full-time job. If my FICO score is good, will my low salary affect the terms of my loan (the interest rate in particular)? Thanks for your help.

[ShanetheMortgageMan]

When I applied for my car lease my income was a determining factor.

[Boswd]

why not go for a cheaper used car that you know you can afford right now instead of jumping right into a new car.   It would be wiser financially until you get on your feet and even then a used car is a much better option financially since a car is a depreciating asset.

Message Edited by Boswd on 12-04-2007 08:34 AM

[Anonymous]

Well, a reliable used car would definitely be an option for me, but not too used! I am not looking for a brand new SUV or luxury car, but only thinking of buying a small sedan at an absolute max of 14 or 15K. If I can find a reliable and nice car for less than that, I would be very happy about it! I am not so worried about my ability to pay the loan as I have a good bit of money put away (and in the job I am waiting for, I will be making 50K+), I am just worried about the loan terms with my current salary. Does it vary from lender to lender how much salary affects the loan terms?

[Tuscani]

Your income is going to matter anytime you request credit. Even a 800 FICO is irrelevant if you cannot afford the repayment terms.