Newcomers to Canada
If you’re new to Canada and have little or no credit history, we can still help you find an affordable vehicle. We look at your entire financial history, not just your credit score.
Customers With Less Than Perfect Credit
Regardless of what has happened in your past, you deserve some credit. We work with you to assess your current financial situation and find a reliable vehicle that fits your budget.
First-Time Car Buyers
Buying a car can be a complicated process but we make it easy. We’ll find you a vehicle that fits your needs and budget, explaining the process so you can drive away with confidence.
Car Loan Approval in 24 Hours
To get pre-approved for an auto loan, you have to fill out our secure online form. This gives us a chance to get to know you as a customer so we can gather information to help us find the best vehicle for you. We’ll ask for your vehicle preferences as well as some basic information including your name, address, date of birth and income. At this point, we aren’t doing a hard check on your credit score so it won’t be impacted – we simply want to gather basic information before continuing the process.
In-House Financing
We provide our own in-house financing, which means we lend our own money. This allows us to approve all credit types, giving our customers better rates, repayment terms and vehicle selection. Once you fill out an online pre-approval application, one of our credit experts will contact you to discuss next steps. Even if you fill out the application, there’s no obligation to purchase a vehicle with us.
Get Driving
Once you get pre-approved, you’ll know how much money you can reasonably spend on a vehicle, which will help narrow down your search. Our credit experts will help you look through the Birchwood inventory, finding vehicles that meet your needs and budget. We’ll be there throughout the entire process, answering your questions so you feel 100% confident and happy when you make your vehicle purchase and drive off the lot.
What is a car loan?
An auto loan is the agreement between you (the customer) and a lender (Birchwood Credit) which allows you to borrow a certain amount of money in order to purchase a vehicle. You must pay back the borrowed sum, plus interest, in a certain time frame that you agree upon with the lender.
How will Birchwood Credit assess if I qualify for a car loan?
When you apply for an auto loan with us, we’ll evalute both your financial and credit situation to determine a budget, rate and payment plan you can actually afford. This isn’t a siloed process – we’ll communicate with you along the way and explain the process so you understand what you have to work with once you start shopping for a vehicle.
Will submitting an auto loan application affect my credit score?
When you submit an online application for an auto loan pre-approval, it will not affect your credit score. Your credit score will only be impacted once we do a hard inquiry for the formal application once you decide to continue the loan process. We’ll let you know before we do any hard inquiries for your account.
How does interest rate work on my car loan?
Your interest rate is based on a few factors: your credit score and your loan payment term. Generally speaking, the weaker (lower) your credit score, the higher your interest rate. At Birchwood Credit, we’ll get you the best rate possible based on your credit score and budget.
I’m carrying debt from my previous car loan, can I get a new loan?
We work with clients that still owe money on their current vehicle and it’s still possible to get a loan. The two main things we look at are the value of your vehicle trade-in and the balance you still owe on your vehicle. Once we evaluate those values, we’re able to determine how much your vehicle is worth. We have a specialized department that consistently pays top dollar for trade-ins so we’ll do our best to maximize your vehicle shopping with us.
Do I need a co-signer to qualify for a car loan?
At Birchwood Credit, we do not require our customers to have a co-signer in order to purchase a vehicle. It ultimately depends on your current credit score and financial situation.
How to buy a car as an international student?
If you’re an international student, you can get approved for a vehicle loan but it really depends on your financial situation. It’s ideal if you have a source of income like a part-time job or a substantial down payment you can put towards your vehicle.
How to buy a car with a work permit?
If you want to buy a car with a work permit, it’s best if you have a down payment to put towards your vehicle. We’ll also talk to you about the terms of your work permit and how that will factor into your loan. Since these approvals are very situational, we recommend visiting our team so we can chat about your unique situation and how we can help.
How to buy a car as a newcomer to Canada?
We look at your entire financial situation when making an approval, meaning we consider factors like your income and payment history rather then focusing solely on your credit score. That means if you have little to no credit history, whether you’ve lived in Canada your whole life or just moved here, we’ll be able to help you find a vehicle.
Can you get car financing with really bad credit?
In short, yes – you absolutely can. While a higher credit score can get you a better rate, we want everyone to have an equal opportunity to drive a safe, reliable vehicle. Our credit experts are equipped to help with all types of credit situations so you can get a quality vehicle you can actually afford.
What is the minimum credit score necessary to buy or lease a car?
Credit bureaus rate your credit score on a scale from 300 (poor credit) to 900 (excellent credit). Lenders typically look for a credit score of around 620 or higher (good credit) when deciding to approve a potential customer. At Birchwood Credit, we look beyond the three-digit number and consider your entire financial situation when making an approval.
How can I improve my credit score?
There are many ways to improve your credit score, some of them being: pay your bills on time (every time), increase your credit limit but keep your balance low and avoid numerous hard inquiries when applying for loans (it’s best to choose one trusted dealership that truly cares about their clients, like us!). Check out our blog for 10 tips on how to improve your credit.
See More Questions
Applying for a car loan shouldn’t be stressful. We only ask for the information we need and finishing your application takes less than three minutes. Get started now!
