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Getting a new car at 18

The last post in this topic was posted 2176 days ago. 

 

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Hey there,

I recently turned 18 and want to get a new car on my own (parents won't co-sign). I am considering leasing or financing a BMW, as my car is a bit older. The problem is that I haven't developed credit yet. What isn't a problem is my income, I make plenty to pay for the lease estimate ($550/month). I also won't have a problem getting insurance or setting up an auto pay or anything like that either.

So, before I go to a dealership and make a fool out of myself (if I can't pull it off), I was wondering what options are available and any ideas.

 

Thanks a bunch.

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First off what do you consider a lot of money? And with no credit you won't be able to lease or even finance a BMW.

 

Some places have first buyers programs but it won't be a high end vehicle.

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Being able to afford the $550 per month is fine. But take in consideration the full coverage insurance you will need once you get the car. Which may be about another $500 per month. The cost for insurance will depend on your age, car, location and other factors. Have you called up insurance agents to get some quotes? I recommend you do if you haven't already.

 

Even if you get a credit card, which I'd recommend you do, you're credit history won't be very legit until after a year or so. Even then you'll need a nice size down payment. But if you have a car and title, it may be used as a down payment itself. What kind of car is it and how many miles?

 

They will also take into consideration your employment history and income. At least 2 years on the job is ideal.

 

The places that have first time buyers programs are pretty much any dealership with a car to sell. Many financial institutions aren't very eager to loan out very much money to someone with no established credit. Typically no more than $13,000 or so. You will need a down payment. Usually a good few thousand dollars.

 

Another thing to take into consideration is that BMWs are problem cars. meaning that when they break down, it will be expensive to fix. The bank or credit union will take this into consideration as well. Normally people with great credit will qualify for a BMW because the bank will feel more certain that the owner can make the loan payment AND cover the repair costs.

 

Trust me. I'm a car salesman. ;)

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Yes your looking at a vehicle around $15k and under.. To get tied up in a $550 a month car payment at 18 is just a bad idea to begin with. Like Scorch said your insurance especially at your age for full coverage is going to be really high never mind on a BMW.

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I too would not recommend buying a new car at 18. It starts an endless cycle because you will not get a great rate which leads to being upside down on the value, trading in later will only make it worse and yes insurance.

Trust me, I bought a brandy new Mustang GT when I was 19, 16 years ago and I regret it to this day.

 

Just my .02

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Hey there,

I recently turned 18 and want to get a new car on my own (parents won't co-sign). I am considering leasing or financing a BMW, as my car is a bit older. The problem is that I haven't developed credit yet. What isn't a problem is my income, I make plenty to pay for the lease estimate ($550/month). I also won't have a problem getting insurance or setting up an auto pay or anything like that either.

So, before I go to a dealership and make a fool out of myself (if I can't pull it off), I was wondering what options are available and any ideas.

 

Thanks a bunch.

 

 

Can you give me a solid reason you are worthy of the loan? (remember I'm the banker)

 

Convince me.

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Hey there,

I recently turned 18 and want to get a new car on my own (parents won't co-sign). I am considering leasing or financing a BMW, as my car is a bit older. The problem is that I haven't developed credit yet. What isn't a problem is my income, I make plenty to pay for the lease estimate ($550/month). I also won't have a problem getting insurance or setting up an auto pay or anything like that either.

So, before I go to a dealership and make a fool out of myself (if I can't pull it off), I was wondering what options are available and any ideas.

 

Thanks a bunch.

 

 

Can you give me a solid reason you are worthy of the loan? (remember I'm the banker)

 

Convince me.

 

Well,

I started working with a multimedia production company at age 16 after a three year internship. I've already made 74k by the age of 18 and am currently bringing in $6500 a month. My income is steadily growing. I don't have to many expenses currently and won't for another year, which by then, I should be making 10k a month. My car payment won't even be 10% of my income, which gives me a large safety net, say I have a bad month. Thats why I think I should qualify for a loan.

 

Truthfully, I could just put a really large down and finance. The only reason I'm not buying the car outright is because I'm trying to build more credit. Also I need a new car. I've got a jaguar now that isn't exactly reliable.

 

Thoughts? Thank you and sorry if I sound dumb, I'm new to this.

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Hey there,

I recently turned 18 and want to get a new car on my own (parents won't co-sign). I am considering leasing or financing a BMW, as my car is a bit older. The problem is that I haven't developed credit yet. What isn't a problem is my income, I make plenty to pay for the lease estimate ($550/month). I also won't have a problem getting insurance or setting up an auto pay or anything like that either.

So, before I go to a dealership and make a fool out of myself (if I can't pull it off), I was wondering what options are available and any ideas.

 

Thanks a bunch.

 

Can you give me a solid reason you are worthy of the loan? (remember I'm the banker)

 

Convince me.

Well,

I started working with a multimedia production company at age 16 after a three year internship. I've already made 74k by the age of 18 and am currently bringing in $6500 a month. My income is steadily growing. I don't have to many expenses currently and won't for another year, which by then, I should be making 10k a month. My car payment won't even be 10% of my income, which gives me a large safety net, say I have a bad month. Thats why I think I should qualify for a loan.

 

Truthfully, I could just put a really large down and finance. The only reason I'm not buying the car outright is because I'm trying to build more credit. Also I need a new car. I've got a jaguar now that isn't exactly reliable.

 

Thoughts? Thank you and sorry if I sound dumb, I'm new to this.

Auto loans don't build credit! Credit cards and other revolving loans will do that. You should buy a newer less expensive car for now build up some credit and save some money and then in a few years but a BMW if you want.

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Hey there,

I recently turned 18 and want to get a new car on my own (parents won't co-sign). I am considering leasing or financing a BMW, as my car is a bit older. The problem is that I haven't developed credit yet. What isn't a problem is my income, I make plenty to pay for the lease estimate ($550/month). I also won't have a problem getting insurance or setting up an auto pay or anything like that either.

So, before I go to a dealership and make a fool out of myself (if I can't pull it off), I was wondering what options are available and any ideas.

 

Thanks a bunch.

 

 

Can you give me a solid reason you are worthy of the loan? (remember I'm the banker)

 

Convince me.

 

Well,

I started working with a multimedia production company at age 16 after a three year internship. I've already made 74k by the age of 18 and am currently bringing in $6500 a month. My income is steadily growing. I don't have to many expenses currently and won't for another year, which by then, I should be making 10k a month. My car payment won't even be 10% of my income, which gives me a large safety net, say I have a bad month. Thats why I think I should qualify for a loan.

 

Truthfully, I could just put a really large down and finance. The only reason I'm not buying the car outright is because I'm trying to build more credit. Also I need a new car. I've got a jaguar now that isn't exactly reliable.

 

Thoughts? Thank you and sorry if I sound dumb, I'm new to this.

 

 

 

Do this- Since your young, and making good money- Save some, buy a "good" car.. start reading on this board on how to build your profile up, and in a year or two, if all goes to plan. You can qualify for anything.

 

 

Also you mentioned your parents wont Co-sign... If i was the banker, this would worry me and also caution me.. If his parents wont back up his word to pay.. why would I expect him to pay?

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Though an auto loan can help establish credit, It's not completely necessary. A credit card would work better for this purpose. Why pay interest if you don't have to?

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Hey there,

I recently turned 18 and want to get a new car on my own (parents won't co-sign). I am considering leasing or financing a BMW, as my car is a bit older. The problem is that I haven't developed credit yet. What isn't a problem is my income, I make plenty to pay for the lease estimate ($550/month). I also won't have a problem getting insurance or setting up an auto pay or anything like that either.

So, before I go to a dealership and make a fool out of myself (if I can't pull it off), I was wondering what options are available and any ideas.

 

Thanks a bunch.

 

Can you give me a solid reason you are worthy of the loan? (remember I'm the banker)

 

Convince me.

Well,

I started working with a multimedia production company at age 16 after a three year internship. I've already made 74k by the age of 18 and am currently bringing in $6500 a month. My income is steadily growing. I don't have to many expenses currently and won't for another year, which by then, I should be making 10k a month. My car payment won't even be 10% of my income, which gives me a large safety net, say I have a bad month. Thats why I think I should qualify for a loan.

 

Truthfully, I could just put a really large down and finance. The only reason I'm not buying the car outright is because I'm trying to build more credit. Also I need a new car. I've got a jaguar now that isn't exactly reliable.

 

Thoughts? Thank you and sorry if I sound dumb, I'm new to this.

I appreciate your commentary. But what specifically would you do to convince me you are deserving of my extending you credit in as yet undetermined amount?

 

Sent from my SCH-I925 using Tapatalk

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The rational for buying a high end car at 18 might be that the person buying it is in a sales type role. If you are pulling down let's say six figures at 21 and you have to entertain people with money then you might very well need a high end car.

 

Otherwise, I wouldn't be buying a high end car at 21.

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Young people! If they only had the experience to see!

 

 

 

 

Sent from my iPhone using Tapatalk -

This. Nothing in life is a guarantee except death and taxes.

 

That 100K job can turn into a 10k job real fast.

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Kid wants to go from a "problematic Jaguar" to a BMW?

 

Frying pans and Fires..... this kid (yes ... KID) is putting himself off as the next Doogie Howser.

come on he wants to impress the ladies :rofl: . what's he gonna do if the break my wallet breaks down and it's not in warranty then he will be crying on repairs :grin: . I don't even want to think about all of the intrest that will be paying out of his ears!!! there's no way in hell that I would spend a 100k on a car never!! higher intrest rates if he gets approved higher insurance higher maint. id'e hate to also bear the bad news but them run flat tires that bmw uses can go from anywhere from 500-800 bucks a pop!! and he wants a bmw :rofl: . buy something that gets good fuel economy and it wont break the bank. your just starting out. in this day in age I would buy a decent beater since none of us know wich way the economy is gonna shift. you own it and you won't have a repo on your credit. heck I still drive a 1975 benz 300D that has been converted over to run off of veggie oil that car will never die :grin: and think of all the money that i'm saving on fuel :rofl: . and belive it or not it's considered an alternative fuel vehicle so I even got a one time tax credit!! I have always found out that the ladies like it more when you can whip out some cash when going out on dates vs using a CC :grin:

Edited by ganto

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I still drive a 1975 benz 300D that has been converted over to run off of veggie oil that car will never die

 

Impressive. I once owned an F-250 Super Duty PowerStroke that I considered installing a WVO system into once the warranty was up. I didn't keep it that long - traded it in when diesel hit $4.25 per gallon and I got tired of the $150 oil changes.

 

You using two tanks starting on diesel fuel then switching over once the WVO and engine warms up?

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I still drive a 1975 benz 300D that has been converted over to run off of veggie oil that car will never die

 

Impressive. I once owned an F-250 Super Duty PowerStroke that I considered installing a WVO system into once the warranty was up. I didn't keep it that long - traded it in when diesel hit $4.25 per gallon and I got tired of the $150 oil changes.

 

You using two tanks starting on diesel fuel then switching over once the WVO and engine warms up?

 

I have a dual tank setup one for diesel and one for veggie oil. I have a grease car kit and it switches over to the veggie oil automaticly once it hits 160 degrees and being in ca that doesn't take that long to warm up :grin: . so I get about 2000 miles to a tank of diesel :yahoo: and the car has about 2 million miles on it barley any problems. the veggie oil tank is in the trunk a 26 gallon tank and I kept the regular diesel tank. 150.00 for an oil change whoa and I like the 250 to but not that much that i'm willing to pay 150.00 for an oil change :grin: . I sold the car to my cousin 10 years ago but he doesn't like the idea of going down the road smelling like burgers and fries or a taco stand so he lets me use it :yahoo: . I would trust that car over a prius!! right now diesel out here is 2.69 that's a shocker!! heck I even burned heating oil in it though I would not get caught buring another red dye oil in it or they will get you for tax evasion!! it also pays to have a dual tank setup not only to warm up the veggie oil but some states will FINE you for not buying fuel and paying road tax. I don't know how a dual tank setup will help you avoid that one unless there thinking that you'll have to buy a minimal amount of fuel.

Edited by ganto

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I would trust that car over a prius!

I would drive a toaster with wheels before a Prius.

 

:rofl: so would i

 

I have to admit, if I had a long commute I'd drive a Prius :blush:

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I would trust that car over a prius!

I would drive a toaster with wheels before a Prius.

 

:rofl: so would i

 

I have to admit, if I had a long commute I'd drive a Prius :blush:

 

I would go for a TDI if I had a long commute!! but for now the veggie burner will work fine

Edited by ganto

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