Your Complete Guide to Auto Financing

📊 Understanding Credit Scores

Your credit score is a number between 300–900 that tells lenders how likely you are to repay a loan.

• 760–900: Excellent — Best rates available
• 700–759: Good — Competitive rates
• 650–699: Fair — Approval likely, higher rates
• 600–649: Below Average — Options available
• Below 600: Challenged — Specialized lenders needed

Don't know your score? That's okay — apply and we'll help you understand your options.

🔍 What Lenders Look At

When you apply for auto financing, lenders evaluate several factors beyond just your credit score:

• Employment stability and income level
• Monthly debt obligations (debt-to-income ratio)
• Down payment amount
• Vehicle age, mileage, and value
• Length of time at current address

Even if one factor is weak, strength in others can help. That's why we submit to 15+ lenders — different lenders weigh these differently.

💰 How to Get a Better Rate

A few simple steps can save you thousands over the life of your loan:

1. Apply with a co-signer if your credit is thin
2. Put down even a small down payment ($500–$1,000)
3. Show stable employment (3+ months at current job)
4. Keep your monthly payment under 15% of gross income
5. Choose a newer vehicle — lenders prefer 2018 or newer

Our team helps you present the strongest possible application to lenders.

📈 Building Credit with Your Car Loan

Your auto loan is one of the best tools for building (or rebuilding) credit in Canada.

• Make every payment on time — payment history is 35% of your score
• Keep your loan balance decreasing — shows responsible use
• After 6–12 months of on-time payments, you may qualify to refinance at a lower rate
• Avoid opening multiple new credit accounts during your loan term

Many of our customers see a 50–100 point increase within the first year of their loan.