Now borders are opening up again and we are beginning to live with COVID, we are seeing a slight uptick in immigration. We expect this to accelerate up to the old levels once everyone gets used to this new way of living.
That makes it the perfect time to discuss auto loans.
We asked our Waterdown auto loans team to outline the process of applying for an car loan in Waterdown for new arrivals to Canada.
Car Loan in Waterdown for New Arrivals to Canada
Canada is a vast, vast country and you will quickly find you’ll need a car to get anywhere. Public transit is excellent in larger towns and cities, but go anywhere else and you’ll need to drive.
Which presents something of a problem if you’re new here.
Fortunately, it’s a problem that is easily surmountable.
There are a range of loan programs for newcomers to Canada. Some are run by the major banks while others are run by various lenders.
Even though you have to begin building your credit score all over again, we appreciate your position and can provide lending to at great rates.
You will need some documentation though.
Documentation required for auto loans in Canada
You will need a few pieces of documentation to be able to apply for an auto loan but also to drive in Canada.
A Canadian drivers licence – You can drive for a limited time on your existing driver’s licence but will need to convert it to a Canadian licence as soon as you can.
Do get a drivers licence, you’ll need 3 official forms of ID and an abstract letter from your home country’s driving licence agency.
You will need your drivers licence for auto insurance and to use as ID for many other paperwork requirements so it’s well worth getting.
Canadian Citizenship card – To apply for an auto loan and for many forms of insurance, you’ll need a Canadian Citizenship card. You need to be a citizen of this country to be able to access lending.
You’ll also need it for paying insurance monthly if you decide to do so.
The Canadian Citizenship card is provided once you are given citizenship and is all part of the immigration process.
Once you have your driver’s licence and Canadian Citizenship card, you can legally get auto insurance which you’ll need to buy a car.
Proof of employment and income – If you plan on using an auto loan to finance your new car, you’ll need to pass the basic lending criteria that everyone does here.
That means proving who you are, where you live and how much you can afford to borrow.
That usually requires 3 months’ worth of salary statement or pay stubs, 3 months’ bank statements and any paperwork for other income.
Different lenders require different levels of proof but as a newcomer, be prepared to be asked for a lot of proof!
Once you have all that, you’re in a great position to buy a car and finance a car loan in Waterdown should you need one. That’s where we come in!
For those of you who know that you have a challenging credit situation, please visit Dixie Auto Loans where we have a team of credit specialists ready to help you get approved for a car loan today!
For any questions or concerns, please don’t hesitate to contact us here!