Car Loans in Burlington Ontario: How to Get Approved Today
Car Loans in Burlington Ontario: How to Get Approved Today
Posted on October 7, 2022
Buying a car is a major financial commitment, so we compiled these suggestions to help you get a car loan at an interest rate you can afford.
Our auto loans team wrote this blog post to provide insight into car buying and car loans. All designed to help you make good choices and find a Burlington car loan with ease.
Evolution of car lenders in Burlington
The way we finance car purchases has changed dramatically in the last 10-15 years. In the past, you could only get auto financing from your local bank or credit union, or a local 3rd party lender in your community.
There was no incentive for these local lenders to offer you the most competitive interest rates because frankly there was no competition.
Thanks to the internet, you can now access lenders from all across Canada, you could be in Halifax Nova Scotia and doing business with a car loan provider in Victoria B.C.
While the competition between lenders is great for prospective car buyers like you, there are some challenges associated with it.
To get the best possible financing terms, your credit profile must meet or exceed the loan underwriting requirements.
If you wonder what constitutes great credit, it varies from lender to lender but as a rule, your credit score should be in the 650-680 range to be even considered “good credit”.
Ideally, you want your credit score over 720 to get the most competitive auto loan interest rates possible.
Don’t worry if you have lower though as we offer bad credit car loans in Burlington too.
Accessing your credit score
The internet makes accessing your credit score easy. Just head over to TransUnion or Equifax which are the two largest credit reporting agencies in Canada.
Each agency will have a different credit scoring formula so you could have a 720 score with TransUnion but a 675 with Equifax.
When you get access to your credit score, you should be able to navigate to the credit report section of the website. This section will show all of the credit accounts you have and your personal information like current and former addresses.
If you notice any errors inside the report, you must notify the credit reporting agency right away. These errors may not seem like a big deal but they can weigh down your credit score.
There are no costs to have these errors corrected but always document your communications with the credit reporting agency.
It may seem like we are spending too much time on having a great credit score but without a good score, your odds of getting an auto loan in Canada are virtually zero!
Finding a great car dealership
Once you are certain your credit score is in the ‘good’ range, you can start looking for reputable car dealerships. Find a car dealership that has a perfect track record with its customers and one that has been in operation for many years. The longer the dealership has been in business the more customer-oriented it should be.
You may feel apprehensive about going to a dealership, especially if this is your first time trying to find a Burlington car loan. Keep in mind that the dealership is there to help you buy a car you want and will do whatever it takes to win your business.
If you do have anxiety, then try to visit the dealership during off-peak times like on Monday or early in the morning during the week. You will have a more pleasant experience and be able to take your time looking for the perfect car.
Don’t worry though, our team are dedicated to making the car buying journey as simple and as painless as possible!
We will use all our skill and experience to deliver the lowest possible Burlington auto loan rates, guaranteed. Contact Car Nation Canada Direct to learn how we can help.