When it comes to transportation, most of us would prefer to travel in our vehicle rather than opting for public transportation. Amidst the pandemic, opting for public transportation is not an advisable one too. Our vehicles will give us the freedom to travel anywhere anytime and even succeed in last-minute traveling plans. If you are going to take public transportation, planning is quite necessary as the vehicles run with timed schedules. Sometimes you will reach your destination quite late because of overcrowded vehicles in public transport.

In Ontario, almost 99% of businesses are to be reopened soon as it is entering Stage 3. So, it is obvious that people are going to get back to work soon. While a bunch of the population will use their vehicles for commuting to work, some will use public transportation. With that in mind, public transportation is also considered quite risky as you’ll be surrounded by more number of people. The summer is an added worry factor to the public transportation idea.

Public transports are quite congested in nature and overcrowding will make traveling in warm and humid summer quite difficult for people. One common factor that pulls people away from owning their vehicle is their ‘Credit’ concern. People with low or bad credit scores hesitate to buy or purchase their vehicle because of their financial challenges.

Below are some of the financial challenges that most face while planning to buy their vehicle like bikes or cars. These financial challenges are not impossible to solve, as there are ways for everything to be sorted out. You can always contact the lenders or financial loan companies like 411 drives – A Company for Car Loans in Toronto to get some advice regarding your financial issues.

I have no credit


People who have no credit generally fall under students or the ones who have not owned any credit card in their lifetime. But, do not worry as you can get your car loan, even if you have no credit. But, this will have quite an impact on the interest rate on your Vehicle loan. It is recommended for you to search for an auto loan company, which will understand your no credit problem and help you according to your credit issue.

I have a bad credit


There are three important classifications under credit. Technically, you will be classified under ‘non-prime’ if your credit is between 601 and 660. You will be placed under the ‘subprime’ category if your credit is between 501 and 600 and under ‘deep subprime’ if your credit score falls between 300 and 500. The above-mentioned credit score denotes that you have bad credit. But, do not worry as people with bad credit can purchase their vehicles. Even if the bank tells ‘no’ to you you can get your car finance by following some advice. Some lenders are experienced in helping people with bad credit. These lenders will help you buy your car that is under your budget and style. Buying a new vehicle will help you add your credit score.

I’m Bankrupt


If you are bankrupt, you should note that according to the government of Canada, ‘Bankruptcy’ is defined as a legal process, which can provide relief to unfortunate and honest individuals who are unable to pay their debts. This denotes only people who have honest intentions that they won’t fall under bankruptcy again or often as a recurring habit. If you are unable to come out of your debt crisis honestly, bankruptcy is your only option. You should get in touch with an auto finance company to learn how bankruptcies work. They will brief you about the legal steps to follow. They will also guide you on how to get a car loan.

I am a Newbie to Canada


People who are new to Canada are likely to have some or no credit score. But, do not make this impact on buying your vehicle as there are ways to sort this out. According to the Royal Bank of Canada, you should keep all your needed documents ready when you begin your application process. The necessary documents are your permanent residency card or your landing papers, your social insurance number ( SIN ), your driver’s license, and your salary slip or any proof to show that you are employed in a company.

This is how you solve your credit challenges


Most of the lenders will help their customers get approved of car loans, even if they have credit challenges like no credit, little credit, or if they are new to Canada. But, to the people who have a recurring habit of creating debt and defaulting on loans, you cannot seek help from the lenders. If you are in bad or no credit, to get approved for your vehicle loan, carefully follow the steps above.

After your car is delivered to you post the approval, ensure you pay them regularly as per the car loan. This will make you a fortunate person as the lenders will gladly help you in the future. It will also increase your credit score. You could also refinance at a much lower interest rate within 12 months. If you’re worried about your credit score but still have plans to purchase your vehicle do not worry but simply follow the above instructions because purchasing your vehicle is one of the best ideas after all.