Im 18, and im trying to get a truck. They have to check my credit score. I never had any loans or anything like that. I never had any bills that never got paid on time and stuff because im only 18. Would I have bad credit or no?
2006-10-31 10:30:49 · 7 answers · asked by Anonymous in Business & Finance ➔ Credit
You might not have much credit history at all, and that could affect you adversely.
2006-10-31 10:33:42 · answer #1 · answered by Kokopelli 7 · 0⤊ 1⤋
You would have zero credit. The bad news is that you can be charged higher interest rates since you can be considered a risk (since you don't have a history to state otherwise). The good news is that FICO has been working on a new formula which will give people without any credit history a better chance of getting a loan. Hopefully the place you try to finance with is up-to-date on the FICO system. If you are denied, don't lower your score by trying to get a loan from other lenders more than 14 days apart. Credit checks within 14 days for the same purpose are lumped together so it doesn't hurt your score.
2006-10-31 12:33:21 · answer #2 · answered by Mariposa 7 · 1⤊ 0⤋
NO CREDIT.
This is not good.
You should start building now, so in a few years when you are ready to settle down, have a family and a buy a home, you will be able to.
If you dont, you will not be able to.
Here is a good article about building credit: http://www.expert-credit-advice.com/building_credit.htm
Here is a good place to start also: http://www.expert-credit-advice.com/credit_card_expert.htm
Remember. If you dont prove yourself to prospective lenders you will never gain their trust.
Starting out is easy until you mess up.
Make sure that whatever new accounts you open are kept in good standing.
This card: http://www.goeufora.com/418121496892 The Eufora Credit Builder is guaranteed approval and it reports to the credit bureaus that you have an open installment loan.
It a great starter card.
You can also "piggyback" someone elses credit card and build credit without paying any company. There is a good article on the page about building credit.
Also if the financing company you are applying for the truck with turns you down; be careful of over applying; because that will hurt your score.
Good luck!
2006-10-31 13:59:53 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Credit Score Explained
http://www.debt-loan-refinance-mortgage-credit.com/category/Credit-Score-Myths-Explained.html
2006-10-31 22:21:30 · answer #4 · answered by sing i 2 · 0⤊ 0⤋
It sounds like you have no credit history. This is not necessarily a bad thing, you wouldn't think, but without a credit history lenders do not know how you pay your bills ~ late or on time. My advice would be to have a parent/guardian cosign your loan with you since this is your first loan. That will give you a better interest rate and will give you a chance to establish a good clean credit history. Just always pay your payment on time. When you get ready to trade vehicles, you will have enough history to get a loan on your on (as long as you have payed your payment on time) Your parents can probably go through their personal bank to secure the loan. Just ask them to help you on this one. Good Luck.
2006-10-31 11:11:40 · answer #5 · answered by GreeneyedCowgirl 5 · 0⤊ 0⤋
Your pretty much going to have no/limited credit, so they're going to give you a ridiculous interest rate (heck, car sales people even tried to give me a ridiculous interest rate when I have a small history). If you can, your better off by trying to get a loan from your bank. The car place is probably going to try to give you a rate of around 19% or so.
2006-10-31 10:33:55 · answer #6 · answered by Anonymous · 0⤊ 0⤋
No credit. It would help to have a savings account.
2006-10-31 10:33:12 · answer #7 · answered by onedot.darling 4 · 0⤊ 1⤋