I have been driving the same 1995 clunker since high school, I am now a year out of college, just got a new job, and it is time to get a new car.
I started paying my student loans off a little under a year ago and didn't get my first credit card until a few months ago. I went to my bank where I have my credit card, student loans, and checking account to see what kind of auto loan I could get. My credit score is right around 750 which put me in the best rate category, but because I haven't had a credit card or been paying on my loans for any length of time they said I would have to do the "first-time car buyer" program which made the rate 3 times higher. They said if I had a cosigner they would use their history but take the top score to put me in the best category. The woman also suggested we look at financing through the dealership because a lot of them are running deals with 0% APR etc. (which was my plan all along)
So now we get to my real question, what is the best move to help my credit. If I take one of these deals to get 0% APR for 60 or 72 months will that affect my credit at all (positively or negatively)? What if I finance through the dealership bank and get a low rate will that help my credit more? If the dealership says something similar, that I don't have the history and need a cosigner, will having a cosigner affect my credit as I pay it off? Would it help my score and history more to take a loan at a higher rate but no cosigner through another bank that doesn't force me into some stupid "first-time car buyer" program?
I am looking to refinance my student loans in the next few months and I want to have the best score possible to get the best rate possible.
TL;DR: I have a good credit score but no real credit history, so should I go with a loan through another bank or a 0% APR deal when buying my first car?
Thanks a ton in advance everyone.
Submitted November 21, 2017 at 08:08AM by sandals1384 http://ift.tt/2B1NZB3
