How to get a car loan during and after a divorce

How to get a car loan during and after a divorce

Posted on June 22, 2022

If you've recently gone through a divorce and need to purchase a vehicle, you've come to the correct spot. Our Freelton car loans team will teach you everything you need to know in order for you to emerge victorious.

Approximately one-half of all marriages will experience divorce at some point during their union, despite the fact that nobody wants to discuss it.

Accounting for your finances

Your finances will suffer significantly following a divorce, especially if you were the primary source of income.

The court may have ordered you to pay child support and spousal maintenance to your ex-spouse. These maintenance payments must be made before any of your personal living expenses are deducted; in essence, you are being compelled to support two households on a single income, which offers unique issues.

Financial difficulties are one of the top causes of divorce; you must examine your credit report by visiting both TransUnion and Equifax.

We recognize that this is a difficult moment, but you must endure it in order to comprehend what you are up against.

When you have access to your credit report, make a note of your delinquent accounts.

These accounts must be brought up to date without delay. If you have outstanding accounts, no lender will authorize a new auto loan for you.

Creating a budget for your new car

After reviewing your credit report for delinquent accounts, you may begin working on your budget.

The typical monthly automobile payment in Canada is approximately $600, but with gas, maintenance, and insurance, you should budget roughly $1,100 per month.

If your budget is currently tight, you might seek for ways to reduce unnecessary expenditures.

One option is by eliminating expenses such as cable television; most individuals now watch television over the Internet and have cut the cable cord. This might save you hundreds of dollars per month.

In addition to conserving money, you should consider taking on a second job to increase your income. These side gigs are an excellent way to supplement your income and keep you active as you adjust to the new norm.

Where to secure a great vehicle loan during a divorce

The Internet is an excellent resource for conducting research, but you should engage with a local dealership to acquire a vehicle loan.

These dealerships have extensive expertise working with folks like you who have undergone a divorce and will know how to organize your auto loan so that you receive the most favorable terms.

The dealership also employs credit specialists that can advise you on how to improve your credit score in order to qualify for the best credit products in Canada within one to two years.

Purchasing a new vehicle after a divorce is a significant milestone as you embark on a new chapter in your life; nevertheless, you are not alone; contact your local dealership immediately for assistance.

Contact Unique Chrysler for help, advice and competitive Freelton car finance and leasing.

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