Buying a New Car in Paris Ontario: 3 Important Considerations

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Buying a New Car in Paris Ontario: 3 Important Considerations

Posted on May 18, 2022

Anyone who wants to buy a new car in Paris Ontario should follow our game plan if you want to come out ahead.

 

 

The first thing you should do is prepare yourself for increased prices; it should come as no surprise that prices on pretty much everything in Canada have gone up.

 

This is not unique to Ontario; the entire global economy is experiencing inflationary pressures due to the pandemic.

 

Budgeting and setting the right expectations

 

We touched on how prices are rising; you should revamp your budget to account for these changes.

 

Before the pandemic, the average car loan in Paris was $500 per month, but that is going to be considerably higher going forward.

 

If you thought used car prices would be a bargain, they have risen in parallel with new car prices, so you need to squeeze as much room as you can in your car-buying budget.

 

Assessing your financial health

 

You should take a look at your credit score and overall financial health before you move forward with buying a vehicle.

 

There are free apps like Credit Karma, which give you access to your TransUnion credit report; if your credit score is over 700, you should have no issues getting a car loan at very low-interest rates.

 

 

Even if your credit score was in the low 600s, you could get a car loan, but your income would play a pivotal role.

 

Lenders look at both your credit score and income when making a decision on whether to approve a car loan. If your income is stable and sufficient, you can still get a car loan.

 

The majority of lenders will not approve a loan if your debt-to-income ratio DTI is 40% or lower.

 

This would be a great time to start working on rebuilding your credit. Since you have free access to your credit report, take a few moments to look for any accounts that are either past due or in collections.

 

If you have accounts that are past due, then you need to do everything you can to bring them current.

 

By spending some time rebuilding your credit, it will save you money on borrowing costs in the future.

 

Where to find the best car loans in Paris

 

There are a plethora of websites offering car loans online, but if you want to find the best deals, you need to reach out to your local car dealership.

 

 

These dealerships have the most extensive network of lenders anywhere in Canada. Even if your credit is bad, the dealership would know which lenders specialize in providing car loans to borrowers with credit challenges.

 

The dealership will show you how to repair your credit, so you never have to worry about being rejected when applying for credit in the future.

 

If you are truly interested in buying a car in Paris, now is the time to make the purchase. Prices and interest rates are rising due to inflation; if you wait too long, then you could miss out on some truly amazing deals.

 

We’d love to help you buy a new car in Paris Ontario. Simply fill in the form below and we’ll get back to you ASAP or see our selection of new and used cars at our Burlington dealership. 

 

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