TexasEscapes.com HOME Welcome to Texas Escapes
A magazine written by Texas
Custom Search
New   |   Texas Towns   |   Ghost Towns   |   Counties   |   Trips   |   Features   |   Columns   |   Architecture   |   Images   |   Archives   |   Site Map

Counties
Texas Counties


Texas Towns
A - Z




Columns

Columns | Go Far With Kovar

No income car loans

by Taylor Kovar

October 24, 2022

Hi Taylor - I need to buy a car but don't currently have income (job will come once I've got wheels!). I have really good credit and I'm wondering if I can make this work without getting swindled by the lender.

Hi Jason
- This feels like a tale as old as time. You can't work without a car, but lenders don't want to give money to someone who isn't already working. It can be done, and good credit is important, but you should make sure to explore every option before taking on a loan.

1. Look local. It's not risk-free, but buying a used car from a friend or family member might save you a lot of time and money. If this car really will guarantee you work, you can get away with an older vehicle that gets you to and from your new job enough times to earn a paycheck and provide proof of income for a future car loan. Ask around, post about it on Facebook, check the public boards in coffee shops—make sure to exhaust your neighborhood search before you go to a dealership.

2. Build up your downpayment. A good credit score usually helps people avoid paying too much up front, but without proof of income, you might need to put a significant amount of money down to keep your interest rate and monthly payments respectable. Since you're currently without work, saving up a big chunk of money might not be an option. If you don't already have the cash reserves, maybe a family member can float you a small amount to be paid back as soon as you start the new job. Good credit is important, but lenders will probably be a little wary of you if you have no income and can't put meaningful money down.

3. Go through a bank. There are a lot of horror stories of people not seeing proof of approval from the dealership, then finding out later the terms of the loan were different and much worse than expected. If possible, getting approved for a loan through a third party bank will take the uncertainty out of the equation and protect you from any predatory practices. Banks aren't all that eager to lend to someone with no proof of income, but it might work if you already have a relationship with that business.

You're not in an enviable situation, but I'm sure you can make the best of it. Just be thorough in your car search and stay away from any lender who's not willing to be fully transparent with you. Good luck, Jason!


Taylor Kovar October 24, 2022
More "Go Far With Kovar"



Legal Disclaimer: Information presented is for educational purposes only and is not an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and, unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. To submit a question to be answered in this column, please send it via email to Question@GoFarWithKovar.com, or via USPS to Taylor Kovar, 415 S 1st St, Suite 300, Lufkin, TX 75901.

Texas Escapes Online Magazine »   Archive Issues » Home »
TEXAS TOWNS & COUNTIES TEXAS LANDMARKS & IMAGES TEXAS HISTORY & CULTURE TEXAS OUTDOORS MORE
Texas Counties
Texas Towns A-Z
Texas Ghost Towns

TEXAS REGIONS:
Central Texas North
Central Texas South
Texas Gulf Coast
Texas Panhandle
Texas Hill Country
East Texas
South Texas
West Texas

Courthouses
Jails
Churches
Schoolhouses
Bridges
Theaters
Depots
Rooms with a Past
Monuments
Statues

Gas Stations
Post Offices
Museums
Water Towers
Grain Elevators
Cotton Gins
Lodges
Stores
Banks

Vintage Photos
Historic Trees
Cemeteries
Old Neon
Ghost Signs
Signs
Murals
Gargoyles
Pitted Dates
Cornerstones
Then & Now

Columns: History/Opinion
Texas History
Small Town Sagas
Black History
WWII
Texas Centennial
Ghosts
People
Animals
Food
Music
Art

Books
Cotton
Texas Railroads

Texas Trips
Texas Drives
Texas State Parks
Texas Rivers
Texas Lakes
Texas Forts
Texas Trails
Texas Maps
USA
MEXICO
HOTELS

Site Map
About Us
Privacy Statement
Disclaimer
Contributors
Staff
Contact Us

 
Website Content Copyright Texas Escapes LLC. All Rights Reserved