I would probably think the bank would want a cosigner with decent credit, but you might be able to find a bank even without one. However, I want to add that if you're considering buying a new car, it probably isn't worth buying it. You may be able to get a great deal right now, but you could do better things with that money and come out of the military in style.

I agree with Watts, by purchasing a new car you are throwing away thousands of dollars, for that new car smell. You would be better off just paying cash with the $14,000 for a car that is a year or two old and you will still be able to get a great deal and a nice car and wont be in debt.

Hi 0909,

First off, congratulations on joining the Army. I assume that you have joined the Regular Army. With that, you will have many financing options available to you that are not available to normal citizens, let alone an 18 year old.

If you are looking to start your credit, I would recommend looking into buying a nice used car, with low miles. Talk to your parents and find out if they know much about cars, if they don't you should go to a local mechanic, and explain to him that you are in the market for a used car, and assure him that you will be bringing any serious car options to him for inspection. This will give him reason to take the time to give you solid advice.

Whereas, if you are just wanting to buy a new car, you can take that avenue as well. It is after all your money, and there is nothing cooler to an 18 year old than having his/her very own new car. In this case go to a reputable dealer, and haggle. You have a considerable amount of capital on your side, and dealers are dying for customers right now. Don't be afraid to walk away.

Regardless you have options available to you as a service member for financing. This is mostly due to the fact that you are considered a safe investment to lenders. Mostly because you have guaranteed income, and if you miss a payment, they can notify your chain of command, who will promptly ensure you make your payments (or risk UCMJ action).

I wouldn't recommend buying a car that is outside your budget, and I would HIGHLY recommend waiting until you have graduated Basic and AIT before you purchase the vehicle, as you won't be able to use it until after that anyway. That is unless your AIT is longer than 22 weeks, in which case it will be treated as a PCS and you will be authorized to move your Household Goods, and a vehicle to your training school. You will know whether you will qualify for this as it will be stipulated on your movement "orders".

Just out of curiosity, what MOS did you sign up for?

Thanks. I appreciate all the info.

And yes, I'm joining the US Army. I'm actually going into the DEP and I'm referring a couple kids which bumps me up to an E-2 and then I'm going to do some powerpoint presentations and they'll bump me up to E-3. The reason they're doing this with me is because I'm going to Ranger School and you have to be an E-3 to go to Ranger School (you probably know this anyway because I'm assuming you're in the military). I haven't been to MEPS yet but I'm going in June.

I'm liking the new Camaro. That thing is a beast.

Thanks again for your help.

The new Camaro...really? You want to buy a car that will decrease in value by 50% the second you drive it off the lot? You want to buy a car from a company that may be declaring bankruptcy in a few months?

I know what you are thinking, and yes, this car is fast and will get you laid. I guess the real question is if there might be another car a year old that will serve the same purpose without costing you $30k. You can probably get a 2008 mustang for around $15k. The only point that I would consider buying a brand new car for more than $20k is in a situation where I'm going to part with the money with no regrets.

In 20 years, $30,000 can grow to $100,000 without much of an effort. Just know what you're throwing away.

Sounds like you are pretty well set on what you want to do. Just a word of advice, Ranger School is not a walk in the park. Don't go in thinking you are a brick house, or that you are some bad dude. Seriously, you are going to go through the hardest time of your life. There are going to be times where you are wondering "What the hell was I thinking?". If you are committed, don't quit.

You are probably going to end up deploying shortly after you finish ranger school as well. I know it sounds like a little bit of an inconvenience, but what until you get to bat, and then get a feel for when you are deploying. It will more than likely be within three months of your arriving. You can do what you want, but I would say hold off until you finish your first deployment, unless you aren't going to deploy for at least 4 months.

If you want a Camaro, that's not a bad option. I have noticed you have already received a little bit of flack for this, but I wouldn't worry about it too much. It is after all your money, and you work hard for it, so you might as well enjoy it.

I would advise you to steer clear of money pits though. One of those money pits is high APR. As a guy in the Army, you shouldn't have a double digit APR on a car note, Period. Don't be afraid to negotiate. I would also advise you to put no more than 20% down on the car. Paying anymore than that won't increase chances of getting a better deal, and will only increase your liability on depreciation.

As for Chevy's viability, it has been showing a decent survivability rate, with current market conditions considered. Many Americans still depend on Chevy when it comes to purchasing a vehicle. Also, the Chevy Camaro has been known to hold it's value a tad bit better than a good portion of vehicles.

Best of luck to you, and if you ever need any advice, just let me know.

Chevy's CEO just got fired two months ago. The company is now being overseen by the government. Where do top managers decide to work? I'm going to tell you it isn't the government. On top of this, they've halted production, made 0 headway with contracts, and have been told to start preparing for bankruptcy. They have been performing the worst out of the major car companies. I also analyzed their quarterly report, evaluated their stock, and have a feel for them as a company. It isn't pretty.

If you pay 20% down, that's roughly $6000. Based on previous models it takes 5 years to lose 50% ($15k or $3k per year). At that rate, if you pay it off in 5 years and then sell it, counting in inflation and an 8% apr, you would have lost roughly $20,000 on your $30,000 purchase.

(Maybe from a car buyers standpoint the Camaro is a good car, and I'll agree with you. However, from a financial standpoint, it's not a good investment.)

hard to say, even if the dealer 'wants' to give you a loan because you bring most of the money with you. They might still not be able to find a bank that will take the loan. Depending on credit score(I know you said you had none) and the amount. The more of the total amount you have the more likely id say it is to happen. But then again with a cosigner you can pretty much do anything. Then again, you put them on a tight spot if you really cant pay for.

Your definitely going to lose something in this deal. Im not much older but being 18 and buying stuff like when you really cant get a good deal is not a good move.

Either way, its a sweet car Ill agree.

I haven't seen a bank that isn't willing to take a US Military service member with no credit history whatsoever, as a new client. The bank KNOWS it is going to get it's money, as it is automatically deducted from the paycheck. Not only that, it is deducted pre-tax from the paycheck as well, so you as a service member, get that little extra savings as well.

Which means it will have essentially cost him $4k per year ($334 a month) if he SELLS his Camaro right at the 5 year loan termination date. Sounds fairly reasonable to me...

ive been looking for a new truck... had my eyes on an 05 ram 1500 4 door short bed 111,000 miles chrome wheels SLT with a hemi for 15,000 worth like 18,000 and no one would finance me cuz ive been at my job 2 months and have 0 credit. but this new finance guy at wolfs dodge in pinedale ran me through west lake financial and they actually financed me for this car! its 21%... but still they did it lmao. no clue why cuz ive been workin for 2 months and have no credit at all. tell the finance guy at ur dealership to try to get u a loan through west lake financial

You may have got the truck for $3000 less, but they will surely get it back with the 21% interest rate. You got jacked.

stayplaytion3,

I've done some quick calculations.. better sit down.

If you financed $15000 at 21% for 60 months... you will pay $24,350 (with 9,350 being interest) and your payment is around $406.00 per month.

or if you opted for a 72 month loan... you will pay $26,500 (with 11,500 being interest) and your payment is around $368 per month.

Now..your truck may be worth $18,000 today.. but what is it going to be worth 5 or 6 years from now? I'll assume that it'll lose 1/2 of it's value in those years.

So on month 60 or month 72 when you finally pay your 24,000th dollar or your 26,000th dollar.. you'll be relieved that you've paid off your $9000 truck.

It's very sad, but very true.. you thought you saved $3,000, but you are going to pay $9,000-$11,500 in interest because they let you take the truck home today.

In contrast.. if you had saved up your truck payments in advance..(about $400 a month) for about 32 months.. you'd have about $13000 in CASH. Then you could have walked into the dealership and you could have said "I want that $18,000 truck, and I have $13,000 cash. You can sell it to me now, or I can walk across the street and buy another truck from the dealership over there." Then they would have stumbled over each other to get their commission because they would NOT have let you walk out the door. They DO NOT let real cash walk away. After you bought the truck cash.. YOU'D HAVE NO PAYMENTS.. you would then get to spend your $400/month on something else...

I'm afraid, as said before. You got jacked.

But it doesn't have to end badly for you. Maybe you don't see this as a mistake just yet (because the euphoria hasn't worn off). But this could just be the biggest blessing or opportunity you'll have.

You DON'T have to pay ALL $9000 or $11,500 in interest. If you worked really hard at paying the truck off, you might be able to reduce that down to about $3000 or $4000. Maybe less if you worked REALLY REALLY hard.

Here's how: Get a second job, and use EVERY PENNY of that 2nd paycheck and put it all towards your truck. 100% of that extra money goes to the principal of the loan (the part that interest is charged on). If you're knocking down principal each and every month, there is quickly nothing left for them to charge you interest on. The only way to beat the dealerships at their own game is to pay MORE each month then they asked you to.

However.. I'd advise you to take the truck back. Lesson Learned...then start saving the money to buy a truck with CASH. But if you must have it... pay off that loan as FAST as possible...don't borrow the money to do it... EARN IT. You can save yourself a good portion of the interest and be much better off then if you just may payments the way THEY want.

Reality hits HARD... and when it hits you... you'll end up HATING the truck instead of LOVING it...

I guarantee if you work hard to pay it off, you'll appreciate the truck a whole lot more.

If you want more accurate numbers please send me an email. I imagine that the actual amount financed is MORE than $15,000, am I right?

Good Luck sir!

Last year I was looking for a car at local dealerships with 10K in hand. Every single major dealer let me walk out the door with my cash still in hand and no sale. I was looking at a Nissan Altima 2006 with 50k milaege and they were asking 11500. I told them I would give them 10k in cash now and they let me walk. Then I went to another dealer and the same thing happened. Finally, I went to a ma and pa shop and they sold me a car for 10k for everything. I got a 2007 Mitsubishi Galant with 29k. Excellent car.

It's incredible that the dealerships let you walk. Are their margin's SO thin that they can't lose $1500 on a cash sale?

I applaud you for walking away anyhow, it was certainly THEIR loss, and now you have a better car with less mileage. The mom and pop dealership was certainly blessed by your decision.

Glad to hear your experience.