1st Time Auto Loan - New to Credit

[aidan80]

Hi, I’m new to this forum and I’m trying to purchase my first car in the US but have hit a few roadblocks so far. I’ll give you a quick rundown on history:

• I’m originally from Ireland been in the US for 4 years, credit history is only 2.5 years old
• Have held the same job for the past 3 years and easily make 6x times the typical car payment per month
• My actual score is 720, “estimated” scores range from 680 – 760
• Debt to income is about 1%
• Debt to credit is around 28% I’ve got available credit of only $2,000 and thought I had to keep a balance to create a history. I’m bringing that debt to credit down to 0% next pay cheque
• Never late on a payment and paid more than the minimum
• Have moved house in the past year and moved 2 years before that

I’d like to get an auto loan of about $13,500 maximum. I’ve currently got about $2,500 to put down can add more to that the longer I wait to buy. I’d prefer to buy before the end of year and pickup a good deal!

I tried stupidly with a bottom feeder, capital one thinking I’d get approved and wanted to see what rate they’d offer. Well they rejected me in about 30 seconds! So I went to my credit union and asked them what they could do. They can’t give me an answer just yet and when they seen my history (been with them less than a year) they seemed confused. I’m expecting a no from them as well and if so I plan to build up my credit enough to try again before the end of the year likely with someone else.

I think what I’m missing is a history of larger loan payments which I don’t have because I’ve never needed because I hate to use credit for things I can pay for if I just save the cash. So I’m in the catch 22 where I need it to get it but don’t want to use it as I can normally afford the smaller things e.g. TV, Sofa, Bed, Washer/Dryer..etc So I’m thinking increase my credit card limits, wait then apply for a small load, pay it off right away. Apply for a larger loan again pay it off right away, do that again then I should have a bit more for them to work with.