Do People Still Get Car Loans in Grimsby?

Do People Still Get Car Loans in Grimsby?

Posted on March 16, 2021

It wasn’t that long ago that the media was heralding the end of car ownership and saying goodbye to auto loans for good. Reality so far has proven that wrong and that shows no signs of changing anytime soon. So, are we really giving up car ownership?

Our Grimsby auto loan team decided to find out.

There were two factors people thought would see the end of car ownership. Autonomous cars and car rental schemes.

Autonomous cars

There is no doubt that autonomous cars are on the way. We are seeing more and more autonomous technology in new models and that will increase exponentially as we go.

However, automakers are pouring resources into alternative drivetrains right now. With more countries around the world banning the sale of new fossil fuelled cars, the switch to electric is accelerating. This requires significant investment to keep models compliant.

Investment that cannot be funnelled into autonomous technology.

Then there’s the appetite for autonomous cars. While there are many use cases for it, it would only be cities that could hail a car from a central pool to take them to work. The rest of us will still need access to our own cars.

Car rental schemes

A few automakers set up car rental schemes where you pay a set monthly fee and you get the car, insurance, maintenance and everything included. It was like a lease but included all car-related expenses except fuel.

But where are they now?

Some automakers have given up their schemes while others are seeing very low uptake. Why? The price.

The prices of these schemes were prohibitive. Much more expensive than leasing and even more expensive than a Grimsby auto loan. All for the equivalent of a lease with insurance and maintenance thrown in.

Such schemes just didn’t make sense and that’s the main reason they didn’t take off.

You can still find them but they aren’t changing car ownership anytime soon.

Grimsby auto loans and car ownership

For the foreseeable future at least, using a Grimsby auto loan to buy your own car is going to be the main way we get around. Alongside leasing, it will still be the primary way to access new cars for at least the next decade.

A new, more affordable model may come along at some point but it won’t be anytime soon. The auto loan system works. It’s affordable. It involves purchasing an asset and it leaves you in control.

For those reasons and likely many others, we think auto loans will remain popular throughout Canada for anyone who doesn’t live in metro areas.

What do you think? Do you consider car rentals or other ownership models to be worthwhile? Tell us your thoughts in the comments.

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

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