Ok, I am 20 years old and unemployed with a credit score of 650. I need to get a used car loan of 7500 or maybe more. I have stocks worth 13k. And I will have an income of 400 every month from my brother. I bank with Wells Fargo.
Will banks such as Wells Fargo or Chase give me a used car auto loan? If so, how much do you think the interest percentage be? Does the bank even care if I have assets? or an income of $400 a month?
Only smaller car lots might take that risk with you.
The bank might suggest you sell your stock, and use that as a down payment, stocks can be worth nothing on any given day. Sell and get your car, get a good car that will last you. With that kind of money, you cna buy new, but insurance will be high so be prepared,
no they will not give you a loan. Maybe need to get a job first.
Income is more important than assets to most reputable lenders.
If you have stocks worth $13k, you should be able to borrow via a margin account and then pay cash for a car.
Which suggests you might need a lower priced car.
Plus, you could be subject to margin calls if the value of your stocks drop.
You might find a buy here pay here lot to finance you but you will pay WAY too much and high interest as well.
Same thing happened to me on a larger scale with a home loan. I didnt have a job, but plenty of assets. They didnt care about the assets because 99% of their borrows have income and not assets.
Bottom line, I said “screw you” and paid cash for my house.
The bank wants to see that you have a reliable source of income on a regular basis, they really aren’t to concerned with assets, unless they are in a trust, that pays you, and you can’t otherwise touch…
they will be concerned with what other things you may have to pay for, such as living expenses…..
Your credit score is most important. 650 is not bad but many banks want to see 680 or above. However, if you are not employed, it might be the deal-killer. The bank doesn’t care how much you have in assets — or your future income. They want to see proof of a current steady income sufficient to pay the loan and all your other bills.
banks look at your credit score, employment history and income. Your credit score is a little below average. Your employment history??? sounds like it doesn’t exist. Your ability to repay? $400 per month will barely cover insurance for a 20 year old much less a car payment.
Nope