880 Walkers Line, Burlington, ON, L7N 2G2
My Garage

How to get a Bad Credit Car Loan in Cambridge

How to get a Bad Credit Car Loan in Cambridge

Do you need a bad credit car loan in Cambridge? There are lenders specializing in providing car loans to bad credit borrowers, but they are not easy to find.

 

Our Cambridge auto loans team will show you how to access the most competitive car loans based on your finances.

 

Taking a detailed look at your credit

 

Something that you need to do is take a deep look at your credit report and understand why you have bad credit.

 

The average credit score in Canada is 660, so you should try to understand why your score is low; a common reason to have a low credit score is not keeping your accounts current.

 

The pandemic has caused significant financial hardship for all Canadians, so falling behind on your obligations is understandable.

 

But you need to deal with this issue before your score goes even lower.

 

Your credit score is not set in stone, it can go up, but you need to take measures to address these issues.

 

Along with missing payments, another potential reason your credit score is low is a high credit utilization rate; even if you pay your debts on time, carrying a lot of debt will bring down your credit score.

 

Do you have solid income?

 

There are lenders who will overlook your credit challenges provided you have a stable income.

 

If you are self-employed, you would need to show your last two years' income tax assessments and the latest bank statements.

 

This information is necessary if you want to prove your income is stable; the same holds true for individuals who are working a traditional job.

 

Working out your car-buying budget

 

A car represents a significant financial commitment, so you should work out your budget as soon as possible.

 

The average car loan can last up to 72 months and will be over $500 a month!

 

This is not factoring in the cost of insurance or maintenance, which can quickly add up. As a rule of thumb, you should set aside $1,000 per month.

 

Without having a budget, you have no idea whether you can afford a car loan, so open up a spreadsheet and start noting all of your sources of income and debts.

 

When you have that in place, you will be able to make a decision from a position of confidence.

 

The best source of bad credit car loans

 

You could spend weeks scouring the Internet trying to find bad credit car loans, but you would just be wasting your time.

 

The best way to get a car loan is by asking your local car dealership for help.

 

These dealerships have an extensive network of lenders that specialize in providing car loans to borrowers with bad credit.

 

These lenders never advertise online, so the only way you can access them is with the help of the dealership.

 

When you go through the dealership route, they will also provide you with tips on how to repair your credit score.

 

When you follow these suggestions, you will be able to find a great car with the most competitive financing terms.

 

We’d love to help you find a bad credit car loan in Cambridge. Simply fill in the form below and we’ll get back to you ASAP! 

 

Thanks for reading. Be sure to connect with us on Facebook, Twitter, Instagram, or LinkedIn to stay up to date on our latest great articles! 

 

    Contact Us

    By submitting this information, you are accepting that it may be collected, used and disclosed as described in our privacy policy.
     

     

    Categories: News

    Tags: ,