Financing assistance from the Navy for their sailors

[Jody Gault]

Does anybody know of where or whom to contact regarding help with obtaining a loan to buy a car? Our son has his own car but he wants to buy a new (used car) car that will require him to get a loan. He's only 19 so he has no credit history other than his auto insurance and his checking account. He applied online (since that's what his bank told him to do) and they immediately turned him down. Again, I'm sure it's because of a lack of credit. I would think the Navy has something to help their sailors but he's not sure where to turn. He's only on base tomorrow then he comes home 15 days before he goes to his assigned post half way across the country. Unfortunately, my husband and I can't help as co-signers because I suffered job loss and that, I'm sure, didn't help our credit because of financial difficulties due to unemployment was 1/3 of what I made and it was 5 months before I could find another job. I would think the Navy would have something like this because this can't be that unusual of circumstances with most of the sailors being so young. Please help-quickly-if you know of a solution. Thanks everybody!

[Jody Gault]

Thank you everybody. He is trying to find out today from USAA. I sure hope he gets it.

[Jody Gault]

Incase this is helpful to anyone in the future.....he has USAA already (his auto insurance). They have turned him down-remember how I said since he's so young he has no credit. That's now the 2nd bank he's been turned down by because BOA (his own bank) was the same deal. What are our young military to do? I just thought there'd be a way for him to get more assistance, but apparantly not. I know it's because of lending being so very tightened (I used to work for SunTrust) but it doesn't make it any less hurtful. As a last resort I'm going to walk in the Navy Fed CU with him when he gets here and see if by talking in person with someone and myself knowing the questions to ask that perhaps we can get somewhere with this. Otherwise he keeps his 1999 convertible.

[Jody Gault]

Thanks, Sharon, unfortunately us co-signing for him isn't an option. You see we had shining credit until December. I suffered job loss from the bank in November and because of that we fell behind in our mortgage for the first time in our lives. I'm sure in our current situation that no one would grant a loan with our name on it as I know when I worked at SunTrust if any of the applicants credit was scarred it was an instant decline. You have to have perfect credit in today's economy to be granted a loan of any kind. I am going to walk into Navy Fed to with him to talk with a real person (instead of him doing the online thing that they all recommend) and see if that brings any hope.

[Jody Gault]

Thanks, Lisa. As we've exhausted other options tried, I am taking him to Navy Fed tomorrow. Hoping to get a bank officer that can give him advice before he tries applying and taking a 3rd hit on his credit (which he has none of). That interest rate is wicked but it's a starting point and if he gets it he can refinance, perhaps later, at a better rate. I'll let you all know the outcome-hopefully it's a good one.

[Jody Gault]

Well we went to Navy Federal Credit Union today. Not much luck there. They said he'd prob have to have a co-signor and we can't do that right now with our recent credit issues done to my job loss. The story is the same pretty much every where...he can prob get the loan with a co-signor so hubby's asking my father in law if he'll co-sign. Car Max will do 1st time buyer but he needs 30% down and he doesn't have that much. Oh my gosh this is hard.

[CCR]

Don't know where he is located, but don't let him use Angelo's Cars in San Diego. My son had really good credit history(starting establishing it when he was 16 and had 3 jobs) but still got a very high rate with Navy Fed Cr Union.

[Jody Gault]

Just an update (incase anybody checks here and has the same situation)......Justin did, finally buy a car last night, however it couldn't be done on his own at all. 19 years old, no credit at all and hasn't worked for the Navy for 1 year. If he'd been employed with the Navy for 1 year many would've done a 1st time buyer program. They wouldn't consider that he'd worked at his previous job for 2 years. He had to have a co-signer in today's tight lending market. Carmax would've done a 1st time buyer loan in just his name but he would've had to put a down payment of $5,500 down on his $16,000 vehicle (he only had $2,000). He got a 2008 Huyndi Solantra Limited-wow, you talk about a nice car!

Again, just hoping this helps somebody else wondering about this situation.