Can I get a car loan if I am a new immigrant?

[creditguy2]

This article will answer the age long question of if you are a new
immigrant in Canada are you able to get a car loan.

There are hundreds of thousands of people migrate to Canada every
year, among them many refugees, family class immigrants, or economic
immigrants. For those of you who migrated to Canada as economic
immigrants you probably are used to a comfortable life style in your
country, and expect to be able to finance a new car when you land to
this country. But the equation is not as simple as that, most of the
new immigrants are declined for a car loan when they are applying for
credit even with significant amount of down payment. For the new
immigrants the biggest challenge is some thing called "credit
history", simply put this means you will have no credit record in this
country. The banks or the lending institutions have no idea if you are
a good client that will pay them back on time and therefore unwilling
to take a chance on your loan. It is quite common for a new immigrant
to walk into a car dealership, thinking they will be able to afford
the vehicle and been turned down due to lack of credit history.

If you fit this profile, the first thing you should do is not to apply
for credit in a brand new car dealership at all. Not only this would
be a complete waste of your time, you may also risking losing your
security deposit you put down on a vehicle. There are very few
manufactures that are willing to finance some one with no credit
history. Mercedes Benz Canada for one is an exception! Mercedes offers
a pre-paid lease program to all their clients, whether you have bad
credit, no credit, even no income it would not matter as long as you
can pre-pay your total lease obligations up front. This maybe one
exception in which no everyone can afford, if you are looking for
something more affordable this option is out of the window.

If you have bad credit, or no credit history in this case. You should
seriously consider to apply to a bad credit car loan service, these
service providers specializes in high risk car loans but have a much
lower approval requirement when it comes to the credit application.
The required credit score is much lower than your traditional car
loan, but the catch is the interest rate is higher. Depending on how
badly you need a vehicle sometimes this would is your best option for
the time been. You may also get turned down from some bad credit car
loan providers due to your lack of credit history. If this happens to
you, the last resort is to apply to a no credit check car loan
provider.

This particular breed of car loans is extremely rare but they do
exist. This type of car loan will not require a credit application
from you at all; they will approve everyone with or without credit
history for a small amount of down payment. So the next time you are
on the hunt for a car loan give them a try and you will be pleasantly
surprised just how easy that process can be.

Thank you for reading this article it is brought to you by No Credit
Check Car Loans Toronto, and you can find us online for more
information at http://www.usedcarsscarborough.com or http://www.usedbmwtoronto.ca