Car Loans Oakville
Compare and Save With Loans Canada
Written by Kale Havervold
Best Car Loans Oakville (Online) January 2021
Despite public transportation, carpooling, and biking to work becoming more and more popular, driving a car is still the most popular way to get around in most areas of the country. Whether you live in a big city like Toronto, or a suburb like Oakville, you will constantly see cars on the road. It is one of the most convenient and easiest ways to get around.
Unfortunately, purchasing and owning a car is anything but cheap. It can cost tens of thousands of dollars to purchase a car, and even a used vehicle can cost you thousands. Most people in Oakville simply don’t have that much money sitting in their bank account available to be spent.
Thankfully, car loans in Oakville exist and can make it much more manageable for the average person to become a car owner.
Have bad credit? Find out how you can get a bad credit car loan?
What Type of Vehicles Can You Get with a Car Loan in Oakville?
The good news about car loans in Oakville is that most of them will allow you to purchase any type of vehicle you want. Most lenders won’t be concerned with the type of vehicle you want to buy and will be more concerned about your ability to repay the loan in full. As a result, there are countless different kinds of vehicles that you can get with a car loan. These include:
- Electric cars
Of course, the actual car you end up going with will also depend on your budget, your specific needs as well as the stock the dealerships have in Oakville. It is a good idea to do some research ahead of time, to find out how much you can afford, learn what type of car you prefer, and evaluate your needs.
For example, the needs of someone who wants a car to zip around the city will be vastly different than someone who needs to haul things on the highway every day. But no matter what you do for a living, always make sure the car you get is reliable as the weather in Canada is anything but predictable, and you need to be prepared for anything.
Reasons Why Consumers in Oakville Take Out Car Loans
Without car loans in Oakville, it would prove very difficult for many people to purchase the vehicles they want. Of course, earlier we mentioned that most people simply don’t have the cash on hand to buy the car that they need or want. In addition to that, there are several other reasons why a consumer may need a car loan. These include:
- Needing something larger for a growing family or for work
- To get a more reliable car for the new city or climate you have just moved to
- Because your old car broke down out of nowhere and you need a way to get around
- You want to upgrade to a better model that is safer and/or comes with more features
Of course, these are far from the only reasons why people might need a car loan, but they are among the most common. No matter your reason for needing a car loan, there is a good chance that you will be able to find a lender like Canada Drives who will be willing to work with you.
How Large of a Car Loan Can You Get in Oakville?
Now that you know what kind of vehicles you can get with a car loan in Oakville and the reason people need them, how large of a loan can you get? Well, this will depend. The amount you are able to borrow will be determined by your credit, your income, the other debts you have, and the lender you decide to work with.
While you might be able to be approved for a large car loan, that doesn’t necessarily mean that you should get one. Be sure to only borrow what you need. You will need to pay back the loan in full, plus any interest, so taking one that is too large can cause serious financial issues for many years.
Can You Get a Car Loan with Bad Credit?
One major concern people have when it comes to car loans in Oakville is wondering if you can get approved with bad credit. In Canada, credit scores range from 300 to 900 and the higher your score, the better your credit is. While it varies depending on who you ask, bad credit is generally seen as a credit score of 560 or lower.
Having bad credit can make loans more expensive and difficult to get, but thankfully not impossible. There are indeed some ways for you to get a car loan even if you have bad credit. The first method is to take time to find the right lender. Some lenders in Oakville will be willing to work with those who have bad credit, while others will not. In addition to finding a lender that will actually work with you, you need to find a lender who has a good track record, is legitimate and one you feel comfortable with.
These bad credit car loans will often have higher interest rates, so some individuals will actually look to improve their credit before applying for any car loan. While increasing your credit score can seem like an insurmountable task, this isn’t actually the case. There are several things you can do to improve your credit, including:
- Making all of your payments in full and on time
- Keeping your credit utilization low
- Use credit responsibly and don’t overspend
- Keeping old credit accounts open
- Not constantly applying for new credit
Borrowing With Your Vehicle in Oakville
While a car loan in Oakville helps you get the money to purchase the vehicle you need, did you know you can also use your vehicle to access the money you need? A vehicle title loan allows you to borrow money at a more affordable interest rate, as you put up your vehicle title as collateral.
This is a great option for consumers in Oakville who simply don’t have access to affordable loans and need money quickly. Also, a vehicle title loan can often get you access to larger amounts of money than a standard loan, due to the lender taking on less risk. Best of all, you still get to keep your car and drive it as normal as long as you are making your payments on time and in full.
However, this type of loan also comes with some risk. If you default on the loan and miss your payments, the lender can legally seize your vehicle. This is why it is important to make sure that any amount you borrow against your vehicle, you are confident you can pay it back. Of course, you must own the vehicle outright to get a vehicle title loan, and the vehicle must have some value.
What About Trading in My Old Vehicle?
Many people who are getting a car loan in Oakville to buy a new vehicle likely have an older vehicle. While you could keep it as a backup vehicle or sell it privately, another option is to trade it in to the dealership where you are buying your new car. Plenty of dealerships will give you a small discount on your new vehicle when you trade in an old one to them.
However, be sure to temper your expectations if you are going to do a trade-in. You will likely only get a few hundred dollars up to a couple of thousand dollars for your trade-in. Vehicles depreciate in value quickly and thus, your vehicle might not be worth as much as you think. Either way, it can still get you a better deal on your new car, even if it’s only a few hundred dollars off.
Be sure to ask a dealership ahead of time if they offer trade-ins, as you simply can’t assume that they will offer them. Of course, be sure that the car you are trading in still has some value. If it is severely damaged, very old, or has lost all of its value for some other reason, the dealership likely won’t offer you anything.
Finding the Right Car Loan For Your Needs
If you have any more questions about car loans in Oakville or want to find a high-quality lender in your area, don’t hesitate to reach out to us at Loans Canada. We are confident we can answer any question you may have, as well as help you find the best car loan possible.