5 tips to getting a vehicle (Even with bad credit)

Having a safe and reliable vehicle is an essential need for most people in Canada. Credit financing is one of the tools that help you in this process by dividing the total cost of your vehicle into comfortable payments. However, to get a good rate or even the chance to apply for financing, it is important to have good credit. We are committed to helping people with bad credit. Sometimes we can get you approved right away and other times you will have to wait a bit longer. We have come up with 5 tips to help you understand what actions you can take to start building your credit.

Employment

Having a stable job will help you in all aspects of your life. A lot of people’s livelihood has been affected by Covid-19. This has created a scenario in which banks are more hesitant to loan money only to those who can prove a steady income. If possible, you should focus your effort on finding a job and keeping it for at least three months before applying.

Pay your debts

Banks will look into your credit history and see if you have missed any monthly payments. Be sure to make payments on your credit card or other loans, on or before the due date each month. Your goal should be to owe less than 30% of your credit limit on any credit card.

Know your budget

The better payment capacity you have, the better rates you will get. You should always keep in mind, that borrowed money, whether in the form of a credit card or a car loan, is not yours and must be repaid eventually. When deciding to apply for a loan, make sure that it fits into your monthly budget, and that you will have the capacity to pay it fully and on its due date.

Manage your expectations

Many of our customers, dream of driving a great truck. We all know that they are not cheap and will usually require a bigger monthly payment when compared to an SUV or a car. It is important to be realistic in your wants and consider your credit history. If you have been taking care of your credit score for a longer time, you will have a higher success rate when applying for a bigger loan. Having bad credit is okay, just remember that you will probably have to start with a less expensive vehicle and move your way upward. You can start by knowing your current Credit Score, simply click here.

Secured Credit

Based on their situation, some people can not be approved for a car loan immediately. We have partnered with Refresh to offer you a way to retake the reigns on your finances. By applying for a Credit Builder Loan, with no money upfront, or a Secured Card, you will take the first step to build a good credit score. Simply click here to apply.

We always have our customers’ best interests in mind. Moving aw ay from a bad credit situation into a good one will require planning and effort, but will help you in the long run. Feel free to fill in an application so one of our Finance Managers can look into your needs and design a tailor-made plan specifically for you.