Getting a car loan in Prince George when you have bad credit can be a huge hassle. Paying a higher interest rate can be bad enough, but sometimes you are just flat out turned down. It can also be hard to get a loan when you have no credit. Who has no credit? Well, plenty of people. People just out of high school, people who have been out of the country for a long time, and people that have just moved to Canada.
If you are a new immigrant to the country of Canada, you could very well find yourself in this position. Cars can be an essential part of living in your new home, but if you don’t have a credit score, it can be hard to get car loans when you are new to the country. What is a credit score? A credit score is a 3 digit number ranging from 300 to 900. The higher your score, the more likely you are to get a low interest rate on loans that you take out and you are also more likely to actually get the loan in the first place. The lower your score, the less likely you are to get a decent interest rate and the more likely you are to be turned down for a loan. How do you improve a credit score? Paying your bills on time is a great way to improve your credit score. Also, you should try to keep the amount of debt you have low relative to the amount of credit you have available.
Of course, these strategies are useless until you actually are able to acquire a car loan. To do this you have a few options. You can get someone to co-sign on your loan. This means that they will take responsibility for the loan if you can’t keep up with your payments. There are also loan companies that specialize in loans for people with bad credit and no credit. You will most likely end up paying a higher interest rate and may have to put more money down. Having a regular income is also mandatory for getting a loan.
In short, if you have no credit, you can still get a car loan in Fort Nelson, but you will most likely be paying more than someone with a good credit score. Visit us today at www.loandoctor.ca/northern-british-columbia/