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Searching for a mortgage is about a lot more than simply finding the mortgage with the lowest rate. If you were searching for a new TV set, you wouldn’t just buy the TV set with the lowest price. You’d consider other factors like screen size, resolution and refresh rate. So, why do so many of us make this same mistake when it comes to our mortgages? We search for the mortgage with the lowest rate, ignoring other important factors.
Shop for Canadian Car Loans
Shopping for a new car can be exciting and stressful at the same time. Let shoptherate.ca give you one less thing to worry about with a car loan approval. Traveling to a dealership, picking a car and seeing if you qualify is a dated practice. A better way is to work with our partner lenders to get your approval in place first and then we’ll send you to the nearest dealer with the car you want for a test drive. This avoids auto financing issues and insures you get the car you want. We work with only the most trusted lender partners and our dealer partners are carefully vetted so you’re getting the vehicle you want with peace of mind.
When filling out your request for a car loan, you must consider you the total budget you're willing to work within. A cheaper payment amount each month doesn't guarantee you a more significant deal. Choosing ideal car loan rates takes a combination of common sense, diligence, and reliance on the right people, so you're not handing over a fortune. Consider these factors before hitting the "Submit Request" button.
After you have gotten your list of quotes, you'll be weighing what institution to get your insurance from. But you'll also have to consider your best payment option.
As we touched on earlier, just because you're paying less a month doesn't mean the totality of your loan is any cheaper. For one, the total length of your auto loan is a strong determinant, affecting payment frequency in one way or the other. Having a shorter term may mean submitting a higher monthly payment. But you'll end up paying less in total and will be able to pay off your loan quicker. Keep the length of your loan as short as possible, to two or three years instead of five, for example.
Furthermore, when you’re comparing auto loans, focus on the annual percentage rate (APR). If you can get an APR of five percent or less, you can save more money as supposed to if it’s higher than five.
Know Your Credit Score
Before you set foot into any dealerships across Canada or communicate with a broker, it is vital that you know your credit score.
If you're a borrower with a high credit score, you will be more likely to qualify for some of the better car loan rates Canada has to offer. Even if it's the slightest percentage of interest that you can eliminate, having a good credit score will save you hundreds of dollars over the totality of your loan deal. Getting credit approval beforehand makes a difference.
Get the Loan First
At shoptherate.ca, you can get approved for a car loan before even taking your new vehicle out for a spin.
Doing this first is the safest way to go about the process without accruing costs that you aren't prepared to pay going forward. Once you receive pre-approval for a loan from the bank, credit union, or auto insurance company you’re negotiating with, you can go to the car dealership with a blank cheque. Being in this situation can put you in a stronger bargaining position going in.
Check the Fine Print
Before meeting with the lender and dealer partners that shoptherate.ca can give you access to, keep tabs on every bit of the loan paperwork.
Look for whether a fixed rate or variable rate is included, and examine if there are any prepayment penalties. Make sure everything you've asked for is in the contract, or else it makes no sense to sign.
Also, view if anything regarding mandatory binding arbitration is involved. Your legal position is virtually non-existent if this stipulation is asserted.
Comparing loan rates via shoptherate.ca will help you purchase a vehicle without the added stress. Get your quotes today!