FREQUENTLY ASKED CAR LOAN QUESTIONS
FREQUENTLY ASKED CAR LOAN QUESTIONS
Posted on June 7, 2023
If you are applying for a new car loan and have questions about the process, you are not alone. Almost 70% of Canadians report having questions about things like zero per cent loans, down payments, interest rates, credit problems, and more.
At Mayfield Toyota, we have a rock solid team of Finance Experts that have decades of experience helping customers in Edmonton, Spruce Grove, St. Albert and beyond get new car loans fast. Have a frequently asked question you can’t find here?
How Do Banks Approve Car Loan Customers?
One of the things banks look at before they approve you for a car loan is your total debt ratio. Our lending partners want to make sure that all the current debt you have, including things like your mortgage or credit cards, are under 40% of your income. This is called your total debt ratio.
Is My Loan Open?
At Mayfield Toyota, all of our car loans are open loans. That means that there are no penalties, or hidden fees if you choose to end the car loan early. Want to pay it off right away? No problem. We won’t charge you anything extra for doing so.
How Do I Lower My Car Payments?
Want to lower your car payments? You have several options. You can refinance your car loan to a lower interest rate or extend the term of the loan. More than half of all new car loans are currently financed for 84 months or longer. You can also try leasing the vehicle instead of financing. Finally, you can choose a different a vehicle that fits your budget better. Our financial experts can walk you through all your options and help you determine what is best for you!
Can I Get Approved with Bad Credit?
Just because you have bad credit doesn’t mean you can’t get approved for a car loan. In fact, we have several options for people with little credit, no credit, or bad credit that need to get into a car today.
New to Canada Car Loans
New to Canada? Let us help you get your first car. Many of the lending partners we work with have options for people who are new to Canada. You may be eligible for a car loan even if you have no credit history in Canada! We have long term loan options, payment plans and and financing routes to choose from. We understand you and your family have unique needs, and we can help.