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Edmonton is one of the largest cities in the country both in terms of population and size. As a result, it is no surprise that most residents need a car to get around the city. In fact, there were nearly 700,000 vehicles registered in Edmonton as of mid-2018.
However, the amount of people in Edmonton that could actually afford to purchase their car in cash is far below that number. If people were only able to drive cars they could buy in cash, most of us would have much worse vehicles or no car at all. Thankfully, a variety of different types of car financing exist and help millions of people every year afford reasonable and reliable transportation.
Can’t afford a new car? Consider a certified pre-owned vehicle.
What Type of Vehicles Can You Get in Edmonton?
The good news is, no matter what kind of vehicle you want, a car loan will be able to help you. So whether you are located in the snowy tundra and need something safe or you make several trips a week into downtown Edmonton and need something good on gas, a car loan is just what you need. This includes:
- Electric cars
Of course, what you can actually get will depend on what your local dealership in Edmonton has in stock and ready to sell.
While you can technically get any vehicle you want with a car loan, it is a good idea to still be smart about it. Getting a loan that is too expensive just so you can get a car that is far out of your price range is an occurrence that is all-too-common in Canada and can be very costly. Because of this, it is best to get a car that is reliable and meets your needs, without breaking the bank at the same time.
For even more information about your auto financing options, click here.
Bad Credit Car Loans in Edmonton
Like any loan, getting a good car loan will depend on a couple of different things. This includes your credit score, payment history, and how much debt you currently have. If you have a good credit score, haven’t missed any payments, and have a manageable amount of debt, you should have no trouble getting a car loan at a reasonable rate.
Read this for an idea of how much car you can realistically afford.
However, things may not be so easy if the opposite is true. Bad credit (which is often seen as a credit score that is less than 600) can make securing an affordable loan in Edmonton and Canada, in general, more difficult. Thankfully, there are some things that individuals with bad credit can do to still qualify for a car loan.
Offer a Large Down Payment
One thing you can do is save for a larger down payment. The larger your down payment, the more a lender will be willing to look past your bad credit.
Choose The Right Lender
Another thing you can do is be selective of the lender you work with in Edmonton. Some lenders are more willing to work with bad credit individuals, so be sure to shop around your area to find one that works for you.
Click here to see what bad credit lenders look at when assessing loan eligibility.
Improve Your Credit
If you’d rather improve your credit than take a chance with one of the above options, that is perfectly fine as well. Doing things like paying down debt, making payments on time, using credit cards carefully, and keeping your credit card balances low are great ways to improve your credit quickly.
Looking for a bad credit car loan in Canada? Check out this article.
Why Do Consumers Need New Vehicles?
So there is no doubt that car loans have helped thousands of people across Canada and Edmonton. Having a vehicle is important for a variety of reasons and the one you have might not be cutting it. In fact, there are actually several different reasons why consumers may need a car loan for a new vehicle. These include:
- Upgrading your current model to a newer one. This could be to gain access to better features or simply even if you like a new design better.
- Getting a larger vehicle for your growing family. An SUV or a sedan is a much better and more practical choice for a vehicle than that old two-seater you have been driving since high school.
- Getting a different vehicle to go along with a new job. If your new job requires transporting goods, you may need something bigger.
- To get something more reliable during the winter to ensure you can get to work on time.
- Because your old car suddenly died and you cannot afford a new one in cash. Being without a car when you are used to having one can feel incredibly uncomfortable and inconvenient.
As you can see, car loans can get you out of a lot of different binds that you might find yourself stuck in. Without them, the process of getting a new car or dealing with any of the mentioned situations would prove to be much more difficult.
Take a look at this infographic for some differences between new and used cars.
The Best Car Loan For Your Needs
Are you in Edmonton and in need of a car? If so, a car loan is certainly the right thing for you. If you need assistance finding a great car loan, look no further than Loans Canada. We have helped many people in Edmonton find a great car loan, and feel strongly that we can do the same for you.