I just moved to Kitchener-Waterloo from another country. Will I qualify for a car loan?
Yes, if you meet a few key criteria. You must be a resident of Canada, have a full driver’s license, make $1,500 per month at your job, and be at least 18 years old.
Once I’m approved for my car loan, can I shop around at different dealerships in Kitchener-Waterloo?
No. Our car loan service matches you with a specific dealership, and that dealership will offer you the loan. Once you get your loan, you’re free to shop around for a vehicle on the dealership’s lot.
How much interest will I have to pay on my car loan?
The dealerships we work with offer interest rates that vary depending on your credit rating.
How much tax will I have to pay when I buy my car?
Sales tax in Kitchener-Waterloo (and the rest of Ontario) is 13%. Remember to factor in this cost when you’re budgeting for a car.
How does the length of my car loan term affect my monthly payments?
On a given loan amount (say, $10,000), a shorter term will result in higher monthly payments, while a longer term will result in lower monthly payments. The main advantage of a shorter loan term is that you pay less interest.
Check out the graph below to see exactly how different loan terms can affect the size of your payments:
Monthly payments on a $10,000 car loan (at 8% interest)
|Length of car loan||Car loan payment|