How Inflation Impacts Buying a Used Car in Rockton
How Inflation Impacts Buying a Used Car in Rockton
Posted on April 11, 2022
Inflation has impacted all areas of our economy, but one segment of the economy that is particularly sensitive to inflation is the automobile sector.
With gas prices soaring past the $2 per litre mark, Canadians are facing some very tough choices.
Do they switch from a gas-powered car to an all-electric? Which all-electric should they choose, and can they afford one?
These questions are even more difficult for Canadians with credit challenges; if you are experiencing credit issues and need to find a vehicle, you are in the right spot.
Credit scoring fundamentals
Most of us never took finance in school, so credit scores may seem a little complicated.
You can sign up for free services like Credit Karma and find out what your score is today.
Scores range from 300 to 850; if your score is over 720, then you will have no problem getting approved for a super competitive car loan in Rockton.
If your credit score is under 650, you are going to face some challenges getting approved for a car loan at all.
You need to take proactive steps to understand why your credit score is low; it could be due to erroneous information inside your credit report.
If there are no errors, focus your energies on bringing all of your past due accounts up to date.
This will take a considerable amount of effort on your end, but the sooner you bring the accounts up to date, the sooner your credit score will start to improve.
Leverage your income to sway prospective lenders
If you have a lower credit score but you have a good income, you can get some lenders to give you a shot but with a higher interest rate. Lenders want to issue loans.
That is how they make money but only to borrowers that have the means to pay it back as agreed.
The lender will need to see your latest payslips and income tax assessments to make sure your income is stable and legitimate. If you are able to meet this requirement, then you stand a better chance of getting your loan approved.
The best source of competitive car loans in Rockton
Something that you should consider doing when trying to get the most competitive car loans in Canada is to visit your local dealership and get them to help you.
The dealerships know all of the lenders throughout Canada and will cherry-pick the lenders that are going to provide you with a great deal.
If your credit score is bad, the dealership credit experts will show you what steps you need to take in order to boost your credit score.
Along with boosting your credit score, the dealership can find the vehicle that will best meet your needs. If you have credit issues, you won’t be able to get a new car loan and go with a used car loan.
You can get a car loan, but the onus is on you to move quickly before inflation pushes car prices beyond your budget.
We’d love to help you find a used car in Rockton. Simply fill in the form below and we’ll get back to you ASAP or see our selection of used cars at our Burlington dealership.
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