You are looking to get your very first car—you’re excited and proud, and rightfully so. Congratulations! This is a huge milestone in your life. After your initial elation, however, you may find that, like many first time car buyers, the excitement of searching for that perfect first car can soon turn to trepidation. How on earth do you apply for a car loan when traditional lenders are expecting you to have stellar credit ratings? STELLAR credit ratings?—you don’t have ANY credit! You’re a new graduate, or a student, or have just gone through a divorce. Or maybe you have always lived a cash based lifestyle. That’s okay!

Getting your first auto loan is easy at Scott McCorkle's Credit Capitol!

No Credit is Different than Bad Credit.  One of the first things to understand is that there is a difference between having no credit and having bad credit. Bad Credit is actually harder to deal with when it comes to obtaining a car loan than having no credit history at all. A low, or bad credit score indicates that an individual has taken out loans or credit cards in the past, and for whatever reason has not fulfilled the obligation to pay them back under the terms of the loan agreement. They may have made late payments, missed payments, or even had the loan “Written off” or they may have declared bankruptcy.

No credit, on the other hand, means just what it says. You simply have no debt history for a lender to look at in order to predict how you will meet your future debt obligations. Scott McCorkle’s Credit Capitol understands this and will work hard  to get you into a car that best suits your automotive and economic needs with the lowest possible interest rates. They do this every day, for buyers just like you!

Without a credit history, Scott McCorkle’s professional and friendly team at Credit Capitol will be looking at other indicators of credit- worthiness to qualify you for your first loan. Credit Capitol has put together a First Time Car Loan Primer so you will have an idea of what to expect during the loan process.

No Credit Auto Loan Primer:

      1. Show a stable background. A steady work history of at least 6 months (preferably a year) in the same field, a permanent address, and a permanent phone number are all key factors.
      2. Open a savings account and a checking account in your name. Write checks for services and bills, and make sure you do not overdraw your   account. If your checking account is in good standing with no overdrafts, it gives creditors an indication that you are responsible with your money.
      3. Obtain a cell phone in your name and use your checking account to pay the bill every month.
      4. Get a credit card in your name. gas cards, department store cards or Secured Credit cards are a good place to start. Gas cards and Store Credit Cards are usually easier to get than standard credit. Secured Credit Cards use a deposit you make as collateral and usually set your credit limit at the amount of that deposit. The nice thing about these is that you can use them just as you would a standard credit card. Credit Unions are a good source for secured credit cards. Use these cards regularly and be sure to pay up!

Congratulations– You’re ready for that first car! Scott McCorkle and the folks at Liberty Buick GMC Truck and Credit Capitol have the perfect car waiting for you with the best possible loan. You can see the current stock on line at www.clickliberty.com and apply for that loan in minutes at www.creditcapitol.com or come by the store in Matthews at 9028 East Independence Blvd. It’s time!