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If you have good credit, a good paying permanent job, and no other liabilities, you should just go to a bank or auto dealer and apply for the loan. Do not do business with any finance company, or a place that caters to people with bad credit. If you can't get a loan, then purchase a car you can pay cash for and work on building up good credit.

In the UK you would need to find a guarantor. Someone, such as your parents that would guarantee to make the payments and become liable for the loan if you defaulted.

I don't think you should have much problem getting a $20k car with $10k down payment. Most car salesmen dream about people like you! Just make sure you get the best deal you can!

The first responder brings up a good idea. Don't go to "bad credit" places and get a loan there if you are unable to get one at a bank/credit union. You should be able to get a 20k car if you have 50% downpayment and a steady job. However, if you go to a bank/credit union and they decline you, consider asking if you can get a loan for a lesser amount (closer to 10k) while using the downpayment as collateral on the loan. In other words, getting a 10k car while using your 10k as collateral against it. It may sound dumb, but it's a great way to build credit for future purposes.

If it was me, I'd just pay cash for a car at 5k or so and use the other 5k to save up for a better car. You'd be surprised how enjoyable it is to be able to go to a car dealership a few years from now and pay cash for a 20k car :D

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Q: How does a 21-year-old student with good credit who lives at home and has had a part-time job for 3 months and has a 10K down payment get a 20K loan for a car?
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