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Where to Find a Great Car Loan in Guelph

Where to Find a Great Car Loan in Guelph

If you are shopping around for a great car loan in Guelph, there are a few different ways to get financing but not all of them may be suitable for you and your budget.

 

Leveraging the Internet to do your research

 

Doing research online is great when you are trying to make an informed buying decision but when you are dealing with major financial decisions like buying a new car or house, you need expert advice from a qualified expert.

 

Your local car dealership will be able to provide you with the information need to select the right auto loan for your specific situation. In the past, dealerships would self-finance meaning that the loan would be through the actual dealership but that is no longer the case.

 

Dealerships have a network of Guelph auto loan providers they can work with on your behalf. These lenders include banks, credit unions, and other organizations that specialize in providing auto loans. Generally speaking, the banks and credit unions focus primarily on prime and alt-A (people who have better than sub-prime but not quite prime-level credit scores).

 

The other firms tend to cater to customers who have credit challenges or who do not meet the current underwriting requirements set out for conventional auto loans.

 

Benefits of Using a Dealership to Secure a Great Car Loan in Guelph

 

There is no way you would be able to research all of the prospective lenders to find out who is going to give you a good deal if they will approve you at all. The dealership represents a huge source of potential customers for these lenders so they have the infrastructure in place to help the dealerships secure auto financing.

 

The dealership will also have the ability to help you get the lowest possible interest rate. Since the dealership is constantly sending business to these lenders, the lender will offer promotional rates to the dealership to keep the deals coming. As you can see, having the right car dealership on your side can truly help you save money in the long run.

 

Proactive steps you can take to improve your credit score

 

The first thing to keep in mind is your credit score is constantly changing and while it may be low at the moment, it can increase rapidly if you follow these basic steps.

 

Are you paying your bills on time? You can carry a balance that is what your credit providers want you to do. However, you are required to pay at least the minimum amount due by the due date. This does not mean you make the payment on the due date itself, you must allow a few business days for the payment to post.

 

Open up a new credit account, so you have a mix of credit types. You should have a mix of installment loans and revolving credit on your report. Having different types of accounts shows you can manage credit well which helps push your score higher.

 

Now that you are armed with the knowledge of what is involved with getting an auto loan in Canada, even with bad credit. You should begin researching the different makes and models of cars that fall within your budget.

 

If you need help or advice on anything to do with auto loans in Guelph, contact Car Nation Canada today, we can help!

 

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