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Electric Car Loan as a Newcomer to Canada: 5 Things to Know

Electric Car Loan as a Newcomer to Canada: 5 Things to Know

As a new immigrant in Canada, you will need to buy a new car. Canada is a massive country, and without a vehicle, your travel options are very limited. Unless you are living in an area like the GTA, which has decent public transit, your options are limited.


If you have an eye to the future, you may want to buy an electric car. The process is largely the same as for a gas car, with a few subtle differences.


Do you have a Canadian driver's license?


If you have not changed over your license to a Canadian one, you should do it as soon as possible.


New Canadians who do not have a driver's license will need to go through the graduated licensing program, where you must attend driver's education and pass before you can go for your license.


Once you have your license, you will need to drive by yourself for a predetermined amount of time before you can have passengers in the vehicle.


New or used EV?


You should think about whether you will buy a new or used electric car loan as a newcomer to Canada. In the past, used cars were not reliable, and you ran the risk of buying a lemon, but those days are long gone.


There are great quality used EVs available right now. In the past, used cars were considerably cheaper than brand-new vehicles, new cars come with a 5 year/100,000km warranty, but you can also get a warranty on a used car.


There is no right or wrong answer; this is a matter of personal preference; you just need to select the vehicle best suited for you.


How to get a car loan for your electric vehicle


Whether you are buying a new or used electric vehicle, you need to get financing.


The majority of Canadians have a car loan because, let's face it, no one has the cash on hand to buy a new EV solely with their own savings!


To secure an EV car loan in Canada, you need to have a stable source of income and decent credit. The credit score needed to secure a car loan must be higher than 600.


As well, if you want the lowest interest rates possible, your credit score must be higher than 720. Suppose you are not sure what your credit score is. In that case, there are apps like Credit Karma that give Canadians free access to their TransUnion credit report.


If you have a low credit score, a simple way to raise your credit score is always paying your bills on time.


Even missing one single payment will negatively impact your credit score, so sign up for pre-authorized payments, so you never have to worry about missing another payment.


The best place to get an electric car loan as a newcomer to Canada


As a new Canadian, you may not be sure where to get the best car loans. There are many different ways to access financing, but if you are serious about getting a good deal, you need to reach out to a local car dealership in your area.


The dealership has cars in their inventory, so clear your schedule; it takes time to test drive the various electric cars until you find the one you like the most.


Once you have found the car you like the most, the dealership will find the lender who will provide you with the most competitive car loan based on your credit and income.


We’d love to help you find an electric car loan as a newcomer to Canada. Simply fill in the form below and we’ll get back to you ASAP or see our selection of new and used cars at our Brantford dealership. 


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    Categories: EV motoring