It is always recommended to prepare yourself before you apply for a car loan. If you have been denied for a car loan in the past, it’s time to get yourself financially prepared. There are a few things you can do to ensure your approval. So many people apply for a car loan every day in Canada, many applications end up get rejected. It is understandable how frustrating it is when we get rejected for loans. Don’t lose hope, we’re here to help.
A lender takes into account many factors before approving an application. There can be a number of reasons why applications for auto loans are rejected; for example, errors on a credit report, your job status, absence of essential documents or a proof of your income, or you don’t have a credit history because you are new in Canada or just starting to establish your credit history. No matter the reason, here are a few suggestions that you can follow and dramatically improve your chances of getting your loan approved with conditions that fit your financial situation:
Be aware of your credit history
It is not difficult to keep track of your credit history. You can request a copy of your credit report from any of Canada’s major credit bureaus: TransUnion and Equifax. Being aware of your past financial endeavors will enable you to prepare a sound car loan application. Your credit score will have an impact on lenders terms and conditions.
Apart from preparing a case for an auto loan, having an updated copy of your credit report will allow you to highlight and resolve errors that the bureaus may have made or any unusual activity on your account. If there are any mistakes in your report, call the concerned authorities and get your reports rectified before you apply for auto financing.
If there is no mistake but your score is not up to the mark, you can either take some time to improve your score or you can find a dealer who helps approve applications with bad credit. Find My Auto is a company which helps people get their request for car loans approved no matter how good or bad their credit scores are.
Another important factor that can help you prove yourself creditworthy is being organized in terms documentation. Get your documents together before seeking out a loan. You might need a list of documents you are likely to provide to the lender. Some of these documents include proof of income, employment history, driver’s license, etc.
We can help
At Find My Auto, we are determined to help you get your dream car no matter how bad your credit score is. You can start the process right now by filling out our simple application form. Contact us for more information!