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Finding the Perfect Beamsville Car Loan when Self Employed

Finding the Perfect Beamsville Car Loan when Self Employed

Finding the Perfect Beamsville Car Loan when Self Employed

 

The pandemic forced many Canadians out of work, lockdowns and a lack of leadership from the Government created a perfect storm. You can’t go to work due to the pandemic, but you need to pay rent and feed your family!

 

While the CERB was much appreciated, $500 per week would not cove a mortgage payment for people living in the GTA.

 

So instead of going bankrupt, these pioneering Canadians decided to take control of their destiny and become entrepreneurs.

 

While being self-employed gives you freedom, there are challenges that come with being your own boss.

 

One major obstacle you will face as an entrepreneur is securing operating capital for your business and financing a Beamsville car loan when self employed.

 

You could have an excellent relationship with your lender while employed, but the moment the lender hears you are self-employed, they will turn apprehensive.

 

Why do entrepreneurs have a tough time getting Beamsville car loans?

 

self employed truck

 

The primary reason is lenders are risk-averse. No lender wants to take on a bad loan. If a lender takes on too many bad debts, the person who approved the loan will end up losing their job.

 

In the past, several self-employed borrowers experienced financial hardship and could not repay their debts.

 

 

The economy is mature now, and self-employed Canadians are just as creditworthy as their employed counterparts. Sadly, it takes time for lenders to adopt this mindset.

 

There are some things you can do to help increase the chances of getting approved on your Beamsville car loan when self employed.

 

Preparing your income documents

 

You should prepare your latest balance sheet and income statement for prospective lenders to review. If you are not sure how to prepare these documents, your bookkeeper can help you with them.

 

Provide copies of your bank statements to back up the details provided in the income documents.

 

The lender will also look at your credit report, so look over your credit report from TransUnion and Equifax. There is no cost to access this scoring information, and if your credit score is not strong, now would be a great time to start repairing it.

 

EquifaxTransunion

 

Look for any incorrect information inside your credit report. Errors can happen and negatively impact your credit score. These errors will be removed, but the onus is on you to report them to the credit reporting agency.

 

You should speak with a business credit expert in your area; you can find them at car dealerships in your area. These dealerships have a team of in-house credit experts that can provide you with advice.

 

Since you are visiting the dealership for credit advice, you can also get them to help you secure a self-employed car loan.

 

The dealership has lenders who don’t advertise through traditional channels, so you will be able to access financing sources you could not access elsewhere. In addition, these dealerships know how to structure a self-employed car loan, so you get competitive terms based on your financial profile.

 

You need a car when running a business, and you will be able to buy one if you stick with the tips we have provided.

 

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

 

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    Categories: Car Loan

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