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How to get a low-interest rate car loan in Burford

How to get a low-interest rate car loan in Burford

Our Burford auto loans team are going to show you the steps that need to be taken when trying to get the lowest interest rate car loans in Canada.

These tips are based on real-world experience so if you are serious about buying a car, pay close attention to what comes next.

New or used car

The first thing we should discuss is whether you are buying a new or used car. Used cars traditionally have a higher interest rate when compared to new car financing. Many variables influence used car loans in Burford, but we won’t go too deep into those variables.

Whether you choose a new or used car, lenders have become more careful when underwriting new loans, so you have to understand what the lenders want.

The first thing that prospective lenders want is a credit score over 680. Before the pandemic, you could get a competitive interest rate with a 650 but that is no longer the case.

If your score falls under 680 you will need to work on getting the score up and doing it fast.

Credit repair strategies that work

Get your free credit score from TransUnion, and start looking for an account that is delinquent or has gone to collections.

Unpaid collections and delinquent accounts are an immediate red flag for prospective lenders. No lender will approve a loan if your current debts are not paid up to date.

After you have paid the outstanding collections, your credit score will start to improve but you should sign up for preauthorized payments so you never miss another payment again.

Finding lenders that will give you preferential interest rates

This step is something that can take a considerable amount of time doing research online. The Internet has a plethora of lenders that offer car loans and they all claim to have great rates and “credit refused”.

There is no denying the Internet is a powerful tool when trying to do some research but when it comes to getting a good car loan, old school is still the best way.

Instead of putting in a tremendous amount of time, energy, and effort looking online, you can just go to your local car dealership for help. The local dealership has a few positive things going for it.

The dealership has new and used cars for sale, so you do not have to try and look around for the perfect car. When you have found the car you love, the dealership will also have access to lenders you could not find online.

These lenders offer interest rates to dealerships that the average consumer cannot get.

Not only is the dealership able to help you buy a new car, but they can also give you professional advice on how to boost your credit score.

Their advice can be invaluable when you are trying to qualify for a very low-interest rate car loan. If you are truly serious about getting a low-interest rate car loan, then contact your local dealership today.

We will use all our skill and experience to deliver the lowest possible Burford auto loan rates, guaranteed. Contact Car Nation Canada Direct to learn how we can help.

Categories: Auto Loan

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