So i went in to the dealership, and had a blast test driving and looking at all the different options. i built my car exactly the way a want it with all the necisary bells and whistles, BUT when it went time do all the paper work i wasnt approved for the loan! i was shocked because i make more than enough money and the MINI was well with in my budget... but i am really young and this is my first new car purchase and i have no credit history!! and to cut to the chase im not really in contact with my parents and have no relatives to ask to co-sign so i dont know what im going to do! any advice on how to get around this?!
aanyways my MA said she would have no problem selling the car if i didnt end up taking it, so she still put it in a production slot and it should be here mid january! but if i dont find someone to co-sign my loan before then its not mine and then someone else will be driving MY car that built! ugh dont know what im going to do!

 

Sometimes having no credit is worse than having bad credit. Not sure what all banks your MA might have tried with...did they just try with Mini financial? Might be worth checking into local credit unions...often they take a more common sense approach to lending.

 

My MA took my deposit and put in an order without so much as asking if I even had a job let alone any credit history. I did go with a verbal (on-line) pre-approval from my bank so I knew it would not be a problem. I ended up with MINI Financial because of incentives. That was after I contacted my MA via email and got the forms sent to me. I live 200 miles from my dealer.

In your case you are probably going to have to come up with more cash down payment to offset the risk for the bank.

My parents once co signed (they thought) on a used car loan for my Sster/BIL. Turns out the loan was written as my Dad being the primary buyer with no mention of my Sister or BIL. Did not know it until the first payment notice and payment book was sent to my Dad.....

 

Well, you have until january to build up some credit history >_> A similar situation happened to me. Your bank will probably not agree to a loan. I recommend trying a credit union or your dealer.

 

My best friend was trusting enough to co-sign my first loan after I went through tons of debt/credit issues. My own family didn't trust me that I had fixed my irresponsibility problem, and I don't know what I would have done otherwise because without a reliable car, I was doomed to repeat. My best friend understood that and took the leap of faith I needed. 7 years later and I've never had a single late payment on any of my bills.

Never mind that in your situation, you don't have a bad track record. Anyone who co-signs with you will only get a boost in their credit rating so long as you stay on track. Sell that to those whom you think you could ask to co-sign.

 

Might also want to check with your insurance company. They may have some financing options available and you are a known customer with them (and besides interest, they will get some higher premiums if you are able to move forward with the purchase).

 

You might see if MINI Financial will issue you a CC, even if you don't have a MINI right now, it wouldn't hurt. Then, go buy a pair of socks, one pair a week, then once they post to the CC pay them off, this should show a good Credit History and hopefully help you get financed somewhere.

Also get a FREE Credit Report @ www.annualcreditreport.com, pay for the additional Credit Score( $7.95 I think), this will give you an even better idea of why you are being turned down, having a job is key of course, but time on the job as well as showing a good credit standing will help you get financed.

Good Luck!!

 

How big a down payment are you giving them? The more equity you have in the car, the easier it will be to find some one to lend you the money. If you can make a 20% down payment, a local credit union will probably lend you the balance.

 

That's a true friend!

That said, while your friend will get a bump in credit score if you make your payments on time, if they apply for credit before the car note is paid off, that will also show as their debt, skewing their perceived debt load. That's something to consider.

 

My plan was to refinance on my own after a year, so she at least knew from the get-go that it wasn't going to be a super long-term thing AND it would leave a sparkly behind. I'm guessing the OP, once amassing any sort of credit rating, would easily be able to do the same.

 

Love, Love, Love all the credit union mentions here - I actually run a credit union. I think that's a great idea. Go, immediately to a local credit union and get a secured credit card to build some credit.

Then, as others have suggested, make sure you have a good down payment and you may have a chance.

Otherwise, start building a credit history and you'll soon be a MINI owner.