Bad Credit car Loans in Guelph: How to Get Approved

Bad Credit car Loans in Guelph: How to Get Approved

Posted on February 9, 2022

It seems like the world is still battling with Covid and the Omicron variant, but life must go on. Our Guelph auto loans team will give you the tools you need to get approved for a car loan, even if you have bad credit.

Assessing your credit challenges

The term “bad credit” is pretty ambiguous; for the sake of this conversation, bad credit would be anyone with a score under 600.

If you are not sure whether you fall into that category, you can sign up for free with TransUnion and Equifax to find out your current credit score.

We should spend a few minutes discussing how you can improve your credit but first, we need to discuss what type of car you want to buy.

Are you buying new or used?

If you have bad credit, then unless you are able to get someone with good credit to cosign the loan, the cosigner would help you qualify for a new car loan in Guelph.

Working on the premise that you do not have access to a cosigner with good credit, your best option is to buy a previously owned car.

Unfortunately, the prices of these used vehicles have risen since the start of the pandemic, so you will need to dig deeper into your budget if you want to purchase one of these vehicles.

What is your timeline to buy a car?

You’ve heard the expression that “haste makes waste”? Well, that holds very true when it comes to buying a car. If you have some time to rebuild your credit, you will be able to save money on interest and buy a newer vehicle.

While giving yourself time to buy a car is great, the global car shortage could put you in a position where there are no cars to buy when it comes time to make a purchase.

Fixing your credit issues

You should work on fixing your credit; having bad credit makes life difficult. Fortunately, you can turn things around, and it doesn’t require much effort.

The golden rule to follow when rebuilding your credit is to give yourself time and pay your bills on time. If you can stay current with your obligations, you are already ahead of the game.

Missed payments are the primary reason people end up with bad credit, so your credit score will start to improve if you can keep your payments current.

How to get Approved for a Bad Credit Car Loan in Guelph

These loans cannot be found online, so don’t bother trying. You will be able to access these loans by going through a local dealership.

The dealership already has lenders that specialize in providing these bad credit car loans. To make things easier for you, the dealership also has cars available in their inventory that you can choose from.

While reviewing your options with the dealership, they can give you some tips on how to rebuild your credit.

Working with a dealership can get a bad credit car loan and a new lease on life, but you should reach out to the dealership today.

When you’re ready for a car lease or loan, get in touch with the Guelph auto loan experts at Northway Ford for great deals on auto finance.

We’d love to help you find the perfect car loan. Simply fill in the form below and we’ll get back to you ASAP! 

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