Car Loan After Bankruptcy
You CAN Get a Car Loan After Bankruptcy!
Filing for bankruptcy is no laughing matter. According to the Canadian government, one in six Canadians files for bankruptcy or consumer proposal at least once in their lifetime. The unfortunate thing about bankruptcy is that once you do, that notation remains in your credit file for at least six years, and every creditor can see it. If you've personally filed for bankruptcy, however, there's no need to feel embarrassed. Nor should you feel down for the count. At Cochrane Dodge Jeep Ram, we can help you get the financing you need even if you have a bankruptcy on your credit report.
Check Out Our Inventory
Perhaps because of the record number of bankruptcy filings, several alternative lenders have demonstrated a willingness to approve new car loans even to those who have filed for bankruptcy. At our dealership, we work with such lenders to help put our customers, no matter their financial circumstances, behind the wheel of a new car.
How Long to Wait
The good news is that you don't have to wait for more than a day after your bankruptcy is discharged to apply for a new car loan. However, keep in mind that as a high-risk borrower, you may be required to pay a higher rate, at least initially. But once you establish your creditworthiness, your increase rate will eventually decrease.
Finding Potential Lenders
While several lenders will work with consumers with a discharged bankruptcy, others will not. Our dealership works with lenders who can help design a payment program that best fits your situation. Contact us to determine how you can get a preferred rate for your new car loan after bankruptcy.
Getting Your Credit Report and Credit Score
Before you even apply for a loan, you'll want to obtain your free online credit report and credit score. After all, potential lenders will be looking at that information and, in particular, how you paid any past auto loans. You should know what they are seeing and be prepared to answer any questions they may have.
Refinancing Your Car Loan
The best way to repair your credit is to pay your loans and other bills promptly consistently. Your initial rate may be high, but if you always pay your loan on time, your credit score will improve, and you may qualify for refinancing.
Are You Ready for a New Car?
If you've been through a bankruptcy, you know you have some hard work to do to repair your credit. Just don't let it stop you from moving forward. When you're ready to shop for a new car, come check out our new inventory and apply for financing.