Starting a new life in a new country is an exciting time that brings with it a number of challenges and hurdles to overcome — one of those challenges is getting yourself financially established in your new country. This includes the serious challenge of obtaining a no credit car loan!
No Credit Car Loans for New Immigrants
In a city the size of Calgary it’s almost an necessity to own a vehicle, something that might seem out of reach for newcomers. Most Canadian lenders need you to have a minimum credit score before they can process your car loan application. This is the one area that CALGARYDRIVES can help. We are able to get you approved for a car loan even if you do not have any credit. Apply here.
There are a number of major Canadian banks, like Scotia Bank, TD Bank and RBC that have programs set-up specifically for new Canadians. Not only will these programs provide you with a Canadian bank account and other financial services but they can also get you set-up with a credit card, a great tool for establishing credit. Talk to your financial advisor at your new bank to see what kind of card is right for you.
Once you have your credit card you can use it to start to build a credit history. Keep purchases within your means and make sure you’re making payments to the credit card company on time. Try to make more than the minimum required payment or if possible pay off the balance in full. The credit card company will report your repayment habits to the credit bureaus and this will start you down the path of building your credit.
The simple fact now is that a cell phone is a part of our daily lives. With more and more people cutting ties to traditional landlines they are often the only means of communication. There are two major types of types of mobile phone plans; pre-paid and post-paid.
A pre-paid plan is simple: you purchase a phone and then buy “pay-as-you-go” cards to add voice and data credit to your phone. This is an easy and affordable way to get a phone but has a distinct disadvantage when it comes to establishing your credit. Because the phone provider isn’t extending you any credit, the money you’re paying to use the phone doesn’t get reported to credit bureaus and therefore doesn’t do anything to help build your credit.
A post-paid plan is a one where you make monthly payments to a wireless phone provider on a contract. The advantage to this type of plan is that your payment history is reported to the credit bureaus and contributes to your overall credit score. There are a number different carriers to choose from, each with a range of different monthly plans.
A specialized lender like Calgary Drives gets car loans for people with a whole range of credit situations, even no credit car loans for new immigrants. Not only does a vehicle give you and your family freedom and independence it’s also another way to build your credit.
Having different types of loans like a credit card, cell phone plan or car loan is a big plus when it comes to building credit. The credit bureaus see your ability to manage multiple types of credit responsibly and reward you with a strong credit rating. All of this helps to make bigger dreams — like buying a house — even more attainable.
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