Your best friend has just dropped you off at the dealership. He waves through the passenger window as he speeds away (at perfectly legal speeds, of course) to buy a couple of celebratory coffees from Tim Horton’s. The sun is shining, your sweater feels warm against your skin: it’s a cold, crisp autumn day in Barrie, Canada. You think you’re thinking straight, but it’s hard to be sure, because you were so excited you could barely sleep the night before.
We’ve all been there. You’re about to apply for your first car loan. The hours of lessons, the tiresome words of warning from parents, friends, cousins, cousins of friends, teachers, colleagues, and cousins of colleagues. In-laws you haven’t seen for years have been practically jumping out of the woodwork to remind you to use your mirrors, but you don’t need to pay them any attention any longer.
Or maybe it’s not your first car loan in Barrie. Maybe it’s your second, or your third. Maybe you’re still recovering from an unfortunate hit to your credit score and you’re not even sure if you’ll get approved (if this is your exact situation, by the way, send us here at Barrie Bad Credit Car Loans an email: we consider every car loan application we receive, regardless of credit score).
No matter what the case is, since you’re armed with your document checklist, you know for a fact that you have every piece of paper you could possibly need to secure this all-too-important car loan in Barrie.
What’s that? You didn’t bring your document checklist, didn’t you?
Of course, you didn’t. Who has a document checklist? We certainly didn’t, when it was our first time (or our second, or our third… and so forth). But boy, do we wish we did. Nobody ever seems to mention how crucially important it is that you turn up with all the necessary documents at the dealership. Not after you’ve already taken her for a spin. Not as you’re screaming into a pillow in the bathroom—from delight, naturally. Not even as you’re declining the third call in a row from your father who really, very much, if you don’t mind, if it’s not too much hassle, would very much like to come along and whisper sage words of wisdom in your ear about transmission and mileage and how on earth to change the oil.
At the dealership. Before you even talk to anybody. That’s when you need to make sure you’ve got everything you need.
Nobody wants to ruin the excitement of finally securing a car loan in Barrie with the earth-shattering realization that, well. They haven’t secured the loan. Because they didn’t have everything they needed.
Here at Barrie Bad Credit Car Loans, we know how it is. We’ve got you covered. Read on to discover the only personal document checklist you’ll ever need to secure a car loan in Barrie, Canada.
N.B. Or anywhere else in Canada, for that matter. This story just happens to take place in Barrie.
The One And Done Personal Document Checklist For Getting A Car Loan In Canada
Document One: Proof Of Residence
Seems obvious, right? Of course, you need a way to prove where you live. How else could they send you all that stuff they’re going to need to send you? You know. All those documents. All that data. Of course, you know.
See the problem? As it happens, this one actually isn’t all that obvious. I myself know a few people personally who’ve fallen afoul of forgetting to bring along their proof of residence. It’s not exactly easy to draw a straight line between documented proof of where you live and your ability to secure a car loan in Barrie.
Luckily for you, this is a pretty easy-going requirement. Nowhere does it state exactly what kind of proof of residence you need, so you can choose from several options depending on what’s most convenient for you. A utility bill will do the trick, as will any other business correspondence that you get through the mailbox at your current address. Personal correspondence won’t be sufficient, however.
Document Two: Financial History
One of the main things any lender worth his / her salt will look at in a potential buyer is how big their debt is compared to the size of their income. The smaller the ratio the better, of course, but this is hardly a be-all-end-all type of requirement. They really just need a way to verify your credit history.
While you don’t need to actually bring this with you, physically—given that the lender doesn’t need anything more than some personal data from you, as well as your explicit consent, to access your credit and financial history—in our experience it really doesn’t hurt to print off a couple of records, even if you don’t need to show them, in the end. It shows confidence in your ability to handle debt, which is an attractive quality in a buyer each and every lender will always be happy to see.
Document Three: Proof Of Income
Following on from ticking the financial history box is the necessity to bring proof of income with you. This one’s logical: the lender is going to give you money. They’re going to expect you to pay them back that money, plus interest, at a later date. It makes perfect sense for them to require some sort of proof that you’re actively earning income and are able to pay back the debt you’re about to willingly incur. The worst-case scenario for everybody is for you to default on your car loan in Barrie—think of this item on the list as a fool-proof way of preventing that from happening.
The only complicated part of providing your proof of income is if you’re self-employed. If you’re not, a recent pay stub that shows your year-to-date income is sufficient. If, however, you are your own boss, you’re going to need bank statements from the last three months at least, as well as anywhere from two to five years of tax returns. We always recommend over-preparing, especially when it comes to securing car loans in Barrie—just to be safe, bring five years of tax returns if you can, plus maybe four or five months of bank statements. It can’t hurt.
Document Four: Information On The Vehicle In Question
This item only refers to those among us who are applying for a used car loan in Barrie. Let’s face it: most of us don’t walk away with a brand-new Mercedes after financing our first loan. It’d be nice if that were the case, but then what would Mercedes owners have to feel superior about? (That last bit isn’t anything more than a friendly joke, Mercedes owners. The rest of us are all secretly just jealous.)
In the case that it is a used car loan you’re applying for, you’re going to need a wealth of information. Because it plays such a big part in determining the financial viability of granting you the loan, the lender will want to take note of every category they possibly can—and rightly so. That will include the obvious year, make, model, and mileage; as well as the somewhat less obvious purchase price, original title, and identification number; as well as the downright obscure datum which is the state of any liens currently tied to the car. A lien is essentially an outstanding loan already on the car. You can find out more information about what exactly that means to you, the buyer, here.
A final note on vehicle information is that if you’re applying for a car loan in Barrie, Canada, the dealer is most likely bound by the so-called Used Car Rule, and has to provide you with a complete buyer’s guide for the automobile you’ve got your eye on, which will contain all of the facts listed above. It’s highly recommended to ask for this guide, if they haven’t already given it to you, and to peruse it carefully before you sign any paperwork.
Document Five: Proof Of Identification
Next on this list of documents you’ll need to apply for a car loan in Barrie, Canada, is proof of identification. While this sounds like it’s far and away the most straightforward piece of documentation so far, it isn’t necessarily so. Proving who you are is an important legal process, and so the lender who is setting you up with a car loan in Barrie is going to need to take all the right steps to ensure they’ve ticked all of the correct legal boxes.
Proving you are who you say you are requires two months of current bank statements (again, it can’t hurt to bring an extra one if you’re able to, just in case there happens to be some finicky formatting issue with one of the others), a photo ID with your signature on it, and a current utility bill issued to the same place of residence as is listed on the photo ID. The bill will have to be in your name, of course; and if you don’t have a standard country-wide ID, various other documents will be perfectly able to take its place. Some—but not all—of these include stock certificates; any titles you might hold, such as for other vehicles or your home; a passport; and any government-issued card, like medical insurance documentation. You can read more about the kinds of identification accepted in Canada by following this link.
Document Six: Proof Of Insurance
It’s a law that all cars on the road must be insured. As a result, the lender is required to know for certain that you have enough coverage to be road-legal in the case of approving you for your car loan in Barrie. While the ideal scenario is that you’ve already purchased insurance and can as such simply print those documents off at home and bring them with you, most dealerships will have a service in place to allow you to phone a company from their office and arrange a deal.
We don’t really recommend doing this, though, because you’re robbing yourself of the opportunity to window-shop various insurers for the best deal for your situation. After all, you’ve put all this time and energy into getting a car loan in Barrie—why hamstring yourself at the final hurdle? Before you even leave your house, research what it takes to insure a vehicle in Canada. It’s well worth your time, and that dotted line isn’t going anywhere.
So there you have it: the six documents you absolutely must bring with you to the dealership to ensure you’re going to be able to secure your car loan in Barrie. As always, it’s important to conduct your own research as well, just to make sure you’re not missing out on anything that might be pertinent to your own specific situation. Finally financing your new ride with a car loan in Barrie is a terrific feeling, and we here at Barrie Bad Credit Car Loans hope that this checklist is helpful to you on your own automobile journey.
If you’re finding it difficult to get an automobile loan because of your credit score, maybe consider giving Barrie Bad Credit Car Loans a call. We support those who have new credit, who have no credit, who have bad credit, and who are complete newcomers to the scene completely.