What is the difference between and instalment loan and a revolving loan?
Instalment loans that can not be re-borrowed or increased. Revolving credit loans are credit cards or lines of credit. Banks like to see a bit of both and usually instalment loans dictate further lending possibilities and overall higher credit score.
How long does the pre-approval process take?
It takes minutes! A financial manager will get in touch you after your application has been submitted and the process is fairly simple from there.
What interest rate will I get?
It depends on overall credit history and past repayment history; but don’t worry—there is a rate for EVERYONE
Do I need a down payment?
NO. Most approvals these days are done with zero down.
What is Negative Equity?
Let’s assume that John falls behind on his auto loan payments and in that time the value of John’s truck depreciates. Let’s assume John’s loan payoff is $20,000, but his truck is only worth $15,000. John therefore has a negative equity of $5,000 that he must pay off if he wants to trade in his truck for a new vehicle. Driving your Credit works closely with dealers who may be willing to pay off your negative equity and not include it in your new loan. Stop driving an older vehicle and get into something new that will last!
Negative Equity is when the vehicle you are financing is worth substantially less than what is owing on your loan. Depreciation is evident on automobiles but also paying too much interest can increase the negative equity as the majority of payments being made are going towards the interest and not principal. Get into a new loan today at a better rate!
Bad Credit, No Credit, Good Credit
I’m new to my job. Can I still get approved?
YES! Time on job does matter, but as long as you are working and can provide proof of income, then you are good to DRIVE!
I don’t have bad credit, I just have no credit; can I still get approved for a no credit car loan in Canada?
Yes! Driving your Credit works closely with financial institutions that specialize in assisting clients in Canada. Whether you’re in a bad credit or no credit situation, rest assured that you can qualify for a car loan in Canada!
I have just recently immigrated to Canada – can I still qualify for a car loan?
Yes! Canada prides itself as an ever-growing nation built from the contributions of people from all over the globe – with this in mind, many Canadian banks have adapted to this influx of visitors and new citizens by increasing their positive approval rates. Get approved for a car loan in Canada today!
Why should I take on more debt in the form of an Auto Loan?
When you pay back an auto loan, your payments – if paid in full and on time—are considered instalment payments. These on-time payments are seen by the banks and positively influence your credit. Therefore the successful repayment of a car loan will almost certainly make you eligible to borrow more money in the future! It’s simple: Take out an auto loan, get back on the road, make your payments on time, and begin the journey of re-establishing your credit!
I owe too much on my current car loan and want to put the value of my current vehicle towards a new one. Is this possible?
Yes, Drive your Credit will work closely with its partners to ensure that the maximum value of your vehicle is put towards financing a new loan with improved rates and terms. Many financial managers are able to pay off your loan in full and allow you to get a new vehicle courtesy of one improved refinanced loan.