Woman unhappy that her credit score is going down like the arrow she is holing
Woman unhappy that her credit score is going down like the arrow she is holing

Payment History and Car Loan: A Happy Marriage!

There are several factors that can speed up the processing of your car loan application in Canada. Among these, the payment history is undoubtedly an important element since it shows your capacity to pay regularly and gives confidence to your lenders.

L’Ami Auto Crédit has been specializing for many years in 1st, 2nd and 3rd chance car loan financing and considers that regularity in payments is an important factor when it comes to credit for the purchase of a new or used vehicle, without minimizing the financial situation of each of its clients. 

Getting a Car Loan Quickly

First of all, it is important to keep in mind that one of the most important factors in your credit score is your payment history, both for your credit cards and for other credit products

One rule of thumb: always make your payments by the due date; avoid missing or being repeatedly late. A few changes here and there probably won’t make a big difference, but if late payments or tardiness becomes a habit, your credit score will certainly suffer and be recorded accordingly.

The lowest car loan rates in Canada will be offered to you even more easily if your payment history remains in good shape. The auto financing experts at L’Ami Auto Crédit believe that there is a very close relationship between paying your bills on time and getting good credit scores from the credit agencies. In fact, it is best to pay your bills in full at the end of each month. However, if your situation does not allow it, sending the minimum payment required on credit card balances, for example, is enough to earn you points at Equifax and TransUnion.

It is important to know that these two credit agencies compile all of the information on your credit report for you and grant a credit score. Your credit report is essentially an ongoing record of how you have managed your credit over the years. Instead of providing you with a ton of different information and data, all of this information is calculated and combined into one easy to understand number

Lenders use your credit score to make a quick and unbiased decision about whether or not to extend credit. Scores range from 300 to 900; the average score is about 700 for most Canadians. 

But let’s go back to your payment history for a moment. If you are able to make your payments on time or in advance, you should know that it will be much easier to get a car loan. Your payment history shows over a fairly long period of time how you make your various payments.

That is why credit agencies put a lot of emphasis on this factor when calculating your payment score. But don’t panic if you have been in a difficult financial situation for a while. 

In fact, the auto financing specialists at L’Ami Auto Crédit go beyond examining your credit bureau. They look for beneficial solutions and know that difficult situations can arise along the way. They are open, flexible and will propose a game plan that will suit your current situation. We also have a car loan calculator that you can use anytime on our website.

Don’t let a difficult financial situation define you. Let us know your auto financing intentions and together we can find the winning conditions that will get you behind the wheel of your next vehicle. Sure, payment history and auto loans go hand in hand, but at L’Ami Auto Crédit we get into solution mode and give you the help you need.

L’Ami Auto Crédit: People with a Heart!

A team of experts awaits you and advises you. For many years, thousands of customers have taken advantage of advantageous solutions for the purchase of their next vehicle. Each situation is unique and our advisors take their job to heart. Come and meet with one of our team members today to discuss your next vehicle and how to finance it. You will be satisfied with everything. At L’Ami Auto Crédit, the customer comes first… and always!

 woman sitting at a desk in front of her computer holding a credit card in her hand to apply for a car loan in chicoutimi
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