Used Cars With Bad Credit: 5 Expert Tips For Getting Approved

Purchasing a used car with bad credit may seem like a daunting task, but don’t lose hope! In this article, we’ll guide you through the process of finding a reliable pre-owned vehicle in Canada, even if your credit score isn’t ideal.

We’ll provide valuable tips and insights to help you overcome obstacles and drive away with the car you deserve.

Get Pre-Approved in 2 Minutes or Less.
All credit scores accepted & no down payments required.

Apply Now

1. Understanding Bad Credit and Its Implications

Before diving into the world of used car shopping, it’s crucial to understand what bad credit means and how it can impact your purchasing options.

Bad credit refers to a low credit score resulting from late payments, high debt levels, or other financial difficulties. It can make securing a traditional loan challenging, but it doesn’t mean you’re out of luck.


how credit score is calculated


2. Explore In-House Financing Options

When traditional lenders turn you down due to bad credit, in-house financing can be a viable alternative. Many dealerships in Canada offer in-house financing options (like us!), allowing you to obtain a car loan directly from the dealership.

These dealerships often focus on your ability to make payments rather than solely relying on your credit score. They understand that everyone deserves a second chance.


3. Research Dealerships Specializing in Bad Credit Financing

To enhance your chances of success, it’s essential to research and identify dealerships that specialize in helping customers with bad credit. These dealerships have experience working with individuals facing credit challenges and have tailored their services accordingly.

By choosing a reputable dealership with a history of assisting customers in similar situations, you’ll increase your chances of finding a suitable car financing solution.


4. Consider a Co-Signer

Another way to improve your chances of securing a car loan with bad credit is by finding a trusted co-signer. A co-signer with a good credit score can increase your chances of obtaining favorable loan terms and interest rates.

However, keep in mind that your co-signer is equally responsible for loan repayment, so make sure you’re committed to meeting your financial obligations.


5. Prioritize Reliable and Affordable Cars

When shopping for used cars with bad credit, it’s crucial to prioritize reliability and affordability. Focus on finding vehicles that have a good track record for dependability and require minimal maintenance.

Conduct thorough research, read reviews, and consider seeking the advice of trusted mechanics to ensure you make an informed decision.

For a list of great affordable & reliable used car options, click here.


Securing a used car with bad credit is not an impossible task. By exploring in-house financing options, researching dealerships specializing in bad credit financing, considering a co-signer, and prioritizing reliability, you can overcome financial obstacles and find the perfect car that suits both your needs and your budget.

If you’re ready for a car loan, we’d love to help with that! simply click here to get pre-approved online today.