Tips on Buying Cars: Proof of Income, excellent credit score, proof of income
QuestionI'm a second-year college student who works part-time, so my proof of income isn't going to do any good when buying a car. But what if I have excellent credit score? Do I still to show the proof of income?
AnswerIf your credit score is high enough, most banks won't ask for proof of income or employment. They figure that, if you've attained a high enough number, then you know what you're doing, you're a responsible adult, and they don't need any further proof. The "magic number" the bank is looking for will vary from one institution to the other, but a score of 720 is considered very good, and 760 is exceptional. Anything higher than that, and you can pretty much do what you want. One good preliminary test: if you receive an offer a day in the mail for another new credit card you qualify for, promising many benefits and a 0% rate on balance transfers good for at least six months, then you've got outstanding credit.