Tips on Buying Cars: Welfare, amount of money, lenders

Question
i am interested in purchasing a new vehicle but my only form of income is welfare. I recieve 900 a month so i would be able to afford a vehicle and have good credit. are there any restrictions on this?

Answer
Shelia,

Your income is light at $900 a month. Most lenders require that you have at least $2000 a month in income in order to be approved.  It is really going to boil down to the amount of money that you are looking to finance.  Most lenders will only allow your payment to be 15% of your monthly income.  In this sense they will only allow you to have a $135 payment.  On most cars today that is HIGHLY unlikely that you will get a payment that low.  However if you purchase a used vehicle that is only $7 or $8K then you might be ok.

Hope this helps.

Thanks - JB