Three reasons why you could be refused credit

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If you have tried to access a car loan recently and were refused, there could be a very simple reason why. As accessible as credit is now, lenders are still very careful about who they lend to and have different criteria you must meet to qualify. If you were refused a car loan, the reason could be very easy to address.
 
Car Nation Canada rarely has to refuse credit to anyone. When we cannot access a good deal, we tell you exactly why and can offer solutions or remedies for that. If you haven’t tried us yet, you should. We might be able to help you where others cannot!
 
Three reasons why you may have been refused credit include:
 
Errors on your credit report
We always suggest checking your credit report before trying to access credit. This gives you the opportunity to spot errors and have them fixed and generally check your score and look for anything that would prevent you accessing credit. Errors are incredibly common and very simple to fix. 
 
Identify the error, gather evidence to prove your case and contact the credit bureau. They will usually correct the error if you present evidence then you’re good to go.
 
New job or new responsibilities
Timing is everything and that includes accessing credit. If you have just started a new job, had a new baby, bought a new home or something else, it can affect affordability. Even if you can easily make your payments, lenders may often want to see a few months of successful payments before they lend you more.
 
New jobs often come with probation periods. A set time where you can be fired if you don’t come up to scratch. If you’re on a probation period in your job, you won’t be considered for credit until it’s over.
 
Irregular income
If you’re self-employed, a freelancer, work on commission or don’t receive a regular paycheck each month, you may also have issues accessing a car loan. Unless you have several months, or a couple of years’ worth of accounts or bank statements showing income, you may have difficulty getting a loan through the usual channels.
 
Zero hours contracts, freelance work, Uber, Deliveroo and others are all examples of the changing workplace. People have more opportunity than ever to make their own way in the world without the usual regular paycheck or standard employment situation. Car Nation Canada works with a range of lenders who appreciate the way the workforce is going and can offer credit to the self-employed or irregularly paid freelancers. 
 
If you find yourself refused credit, visit your nearest Car Nation Canada dealership. We have the experience and expertise to get you an affordable loan for the car you need.
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