Car Loans Ontario

February 18, 2021 | Editorial Team

Car Loans in Ontario

The average price of a new car in Canada is now higher than $40,000! After your home, a car is usually the most expensive thing you will purchase. This explains why more and more Canadians are choosing to buy a car using a car loan. In Ontario, the application process for a car loan is simpler than ever. If you get approved for a car loan, you will often receive the finance in just a few short days. You will then be responsible for making your monthly payments on time until the end of your finance term.

You can choose to arrange your car loan through your car dealership or by finding your own lender. This is becoming an increasingly popular option as you can compare interest rates and monthly payment amounts. It may also be beneficial to use car loan calculators to look at all of your financing options.

Loans Connect

Loans Connect is the largest search engine in Canada for personal loans. Input all of your personal information and your required loan amount. The website will then inform you which loan type or loan provider is likely to lend you the finances you require. Loans Connect can ‘connect’ you with Ontario car loan providers and help you find the best lender for you.

If you qualify for a vehicle loan, your interest rate will be lower (usually between 0%-36%). Having a low interest on your car loan will lower your monthly payments. However, if you default on your repayments, your vehicle can be seized as collateral. The other option they may recommend to you is an unsecured personal loan. The interest rate on these usually varies from 3% to 55%. If you default on an unsecured loan, the lender cannot repossess your vehicle.

You are only likely to be accepted for a loan with a low-interest rate if your credit score is high (above 650). If you have bad credit, you are more likely to be offered a loan with a very high-interest rate. This will result in a higher repayment amount. If you already have a lot of debt, for example, on credit cards, this could affect your application process.

Canada Drives

Canada Drives provide vehicle loans, regardless of your credit score. They boast a quick, convenient application process where they can show your finance options within minutes. Canada drives are partnered with car dealerships through Ontario, making your application process even easier. Typical loan terms range from 36-72 months, although they can go as high as 96 months if you choose.

Before beginning the application process, you can opt to use their car loan calculator. This will give you an estimate of what your options will be, your estimated interest rates and your potential lenders. To begin your application, you need to provide Canada Drives with some of your personal information. This includes your employment information, address and whether you are able to provide a down payment.

Canada drives can then connect you with dealerships who are likely to accept you for a car loan, even if you currently have bad credit. In order to see your loan options, you need to select what type of car you are looking to purchase. The dealership can then contact you directly to discuss the type of vehicle you wish to purchase and your credit options.

Car Loans Canada

Car Loans Canada is the oldest online car loan provider in Canada. They pride themselves on being easy to use, safe and secure. You can choose to use their loan for car calculator first so you can see an estimate of your payment options. Their website also provides you with detailed information about factors that may affect your vehicle loan application. This is to help give you the best chance of approval.

Car Loans Canada recommends completing a fast and simple application before shopping for your vehicle. They will then match you with the organization that can best help you to get your dream vehicle at the lowest monthly cost. They will look at your credit score and the amount you are able to pay per month to find the best result for you.

The Bottom Line

With so many dealerships and credit providers available in Ontario, choosing the best vehicle loan can be confusing. Research your options carefully and use an independent website to help you find the best loan option for you. Consider using a car loan calculator to look at your financial options before committing to an application.

You could be driving around Ontario in your dream vehicle within a few days! Whether you are looking for a new car or one that is several years old, a car loan may be the best option for you.