Certainly you are studying in a high school or at college and this is the exact time for your first car, you were dreaming about for so long time! The dreams should come true, but unfortunately the reality is not always the same as you were dreaming. To prevent crushing your dreams remember this article tips – they will help you in getting first used car deal without troubles.
The first thing you must remember - buy a car in which you can afford to put down 20%. A car will provide you with expenditures you are not expecting while buying a car. If you cannot put down 20% on the car, then do not buy that car.
Purchase a car that you can afford to pay off in 48 months. Include in your car-buying budget not only the price, but also all your annual costs to own that vehicle, like loan payments, tires, insurance, maintenance, etc. If you cannot squeeze that car loan into 48 months, do not buy that car, you are going to stay in dept.
The next step in buying a used car is getting an AutoCheck Vehicle History Report. Then have a mechanic inspect the car on a lift. If you do not do both of these vital steps, then do not buy that used car.
But do remember you are still a teenager or a student with no established credit history, so a number of barriers will be waiting for you in the way to your entry into car ownership. Let have a look what problems could you face with while buying Ontario used car.
Lack of credit history is the biggest barrier, it is very difficult to get a car loan in such case.
We advise all car buyers not to apply for a car loan unless you have checked your own credit score and credit report first. That is what the car dealers do, so you would better know what's wrong before they do. A car salesperson should never know more about your credit than you do.
By approving you for a car loan, lenders want you to have an established pattern of credit showing you paid your bills on time, no black marks on your credit history, no forgetting to pay your bills, no paying your bills 30, 60, 90 days past due. Lenders want to see you have a minimum monthly income of $1600, it is the minimum criteria.
What if you have no credit at all? You must establish credit. Once you do, you must be responsible and pay on time, and don't overspend. A good time to do this then would be 6 months before you think you might buy a new car.
The other barriers you could face with are:
• Some car sellers will try to overprice you if it is a first time you buy a car
• Lenders won't approve car loans on used cars older than 5 years
• Insurance rates for teens are especially very costly, often in the $5000 range
• Insurance rates for single males under the age of 25 are also very costly
Try to remember all this tips when buying used car in Ontario at the first time. This will keep you away from nightmares about your first car deal.
The first thing you must remember - buy a car in which you can afford to put down 20%. A car will provide you with expenditures you are not expecting while buying a car. If you cannot put down 20% on the car, then do not buy that car.
Purchase a car that you can afford to pay off in 48 months. Include in your car-buying budget not only the price, but also all your annual costs to own that vehicle, like loan payments, tires, insurance, maintenance, etc. If you cannot squeeze that car loan into 48 months, do not buy that car, you are going to stay in dept.
The next step in buying a used car is getting an AutoCheck Vehicle History Report. Then have a mechanic inspect the car on a lift. If you do not do both of these vital steps, then do not buy that used car.
But do remember you are still a teenager or a student with no established credit history, so a number of barriers will be waiting for you in the way to your entry into car ownership. Let have a look what problems could you face with while buying Ontario used car.
Lack of credit history is the biggest barrier, it is very difficult to get a car loan in such case.
We advise all car buyers not to apply for a car loan unless you have checked your own credit score and credit report first. That is what the car dealers do, so you would better know what's wrong before they do. A car salesperson should never know more about your credit than you do.
By approving you for a car loan, lenders want you to have an established pattern of credit showing you paid your bills on time, no black marks on your credit history, no forgetting to pay your bills, no paying your bills 30, 60, 90 days past due. Lenders want to see you have a minimum monthly income of $1600, it is the minimum criteria.
What if you have no credit at all? You must establish credit. Once you do, you must be responsible and pay on time, and don't overspend. A good time to do this then would be 6 months before you think you might buy a new car.
The other barriers you could face with are:
• Some car sellers will try to overprice you if it is a first time you buy a car
• Lenders won't approve car loans on used cars older than 5 years
• Insurance rates for teens are especially very costly, often in the $5000 range
• Insurance rates for single males under the age of 25 are also very costly
Try to remember all this tips when buying used car in Ontario at the first time. This will keep you away from nightmares about your first car deal.