what average credit score do you need to finance a car?

Question

what does your credit score have to be at the minimum to be able to get a car? no smart-mouths either, and what are some ways to build up your credit score? I'm only 19

Answer 1

Well you see, in the world of finance a good rule of thumb is to say that you need about a 600 fico to even begin to consider purchasing a big ticket item with no money down, But it varies dependent upon the banks Unique risk assessment algorithm.

But even if you can get an automobile at 600 your goona get hosed by the rate..

Answer 2

The first thing you will learn is this. No credit is WORSE than bad credit. Unfortunately, we all have to start somewhere. I joined the military at 18, and learned the hard way.

Your first car is going to be a tricky one. Honestly, it doesn't matter what your credit is (because it doesn't exhist yet) but how much interest you are willing to pay. My first car at age 19 was a '96 Ford Taurus, and it cost about $8,000. I financed it for 4 years at 12% APR. Nowadays, that is a lot, but I could afford the payments, and bit the bullet so to speak.

Now, on building your credit. There are certain things that affect your credit that you may and may not be aware of. Here is a list:

Pay all your utility bills on time.
Pay rent/mortgage on time.
Pay loans on time.
Pay revolving accounts (credit cards) on time.
Do not have too many credit card accounts open.
Try to make sure you only owe a maximum of 25% of your limit on a credit card.
If you have a credit card, try to get the limit to go as high as possible (when creditors see this, they see that other people have trusted you, and will be more likely to trust you aswell).

After you have tried all this for about 2 years, get an in-depth credit report. One that will show you your credit score, and a break down of your entire financial life (believe me, it's scary). This report (well, mine did) should have a list of pro's and con's regarding your credit score in the front. Learn from these, and adjust.

To end in a good note, let me tell you this. Remember how I started? I'm now 25, and have a credit score of 760. I was preapproved for a first time mortgage of $250,000 at rock bottom interest.

Do what I said, and you'll be the same.

Answer 3

There is no set number, but as was mentioned if you are looking for convential financing from a larger lender, around 600 FICO is normal. But that does not really matter. Apply for a loan at a few dealers that have the car you want at the price you want. If you get declinced three times you will have to look for other options.
If you end up at a buy-here pay-here lot be very careful.
If you can't get financed, you will just have to save up and buy a car in a private sale.
As far as building your credit. It is not something you can control, really it just takes time. Credit is simply a historical record of your credit activity. Good luck

Answer 4

Are you interested in a new or a used car? If you go to a new car dealer their finance dept. can usually get you approved even if you have bad credit. If you have a low credit score, you might still be able to finance but you will pay a high interest rate which will make the monthly payment higher. Also, a larger down payment improves your chances of getting approved.

It takes a while to build up your credit score but I would suggest you try getting a Wal-mart credit card, which I think is the easiest to get. Then, only charge a litttle bit of stuff on it--if your credit limit is $300, don't go over $100 b/c your credit score is based on your ratio of balance to available credit. And make absolutely sure you pay a week before the due date each month.

Answer 5

I'm confident that you will find every financial answer at= lendcenter.info-

RE What average credit score do you need to finance a car?

what does your credit score have to be at the minimum to be able to get a car? no smart-mouths either, and what are some ways to build up your credit score? I'm only 19

Answer 6

The absolutely free reverse vin check sites generally provide fake information. To get real information, money will have to be paid. The free searches provide fake information so they can get your email address to send spam.

Stay away from shady reverse vin check sites, most likely you won't get any information after you make the payment. Not to mention you won't get a report and you won't get an answer if you try to call for a refund. Stick with a reputable reverse vin check site like http://www.reversevincheck.net that has been around since 1995.