subject: Where can I apply for a car loan if I am a student? [print this page] Where can I apply for a car loan if I am a student?
If you are a student who has a driver's license, you may have noticed everything is working against you in the province of Ontario when you are trying to buy a car. Because of your lack of driving experience and your young age, your insurance rate will be through the roof. Many students today simply can't afford a car due to this primary reason, since the Canadian government can't do anything about this situation there is very little choice left for the young generation of Canadians other than to share your vehicle with your parents. Now if you are lucky enough to have understanding parents who trust you to drive the family car you have just won half of the battle.
For you to be independent and want to buy your very own car is another mission impossible all by itself. Since you are in school or recently graduated from your program, your grades will not help you when it comes to used or new car financing. Not only you will be slapped with a mountain of student loans but your credit history is virtually none existent. As a student who is applying for credit, you will be treated as an individual with "no credit" history. No credit is the same as bad credit, the banks or lending institutions will not want to take a chance on you because they are afraid you will default on your car loan. The lenders understand the high insurance rates associated with you, and they don't believe you can afford the vehicle without missing or defaulting on your payments.
If you have considerable amount of money saved up and you are willing to put it down as your down payment, you maybe able to get approved for a high interest rate car loan. The challenge is if you don't have enough money as your down payment, how can you get approved? Well the solution does exist for you in Toronto; you need to find a no credit check car loan provider in the city. No credit check car loan is usually funded by a private source, much like you are borrowing from another individual. Since the money is not coming from the banks there is no regulation or rules to follow when it comes to your approval.
Thank you for reading this article, it is brought to you by No Credit Check Car Loans, you can find us online at http://www.nocreditcheckcarloans.ca for more details and other useful articles.
