How much should a high APR impact your decision on whether or not you should continue buying a car? Indeed, this could really hurt your case especially if you are on a tight budget however this is not the end for you. You can still buy either a used or new car despite having high APR. An APR or Annual Percentage Rate, is the total amount of interest costs a loan incurs annually. Meaning, this is the total amount of interest that you will be paying per annum. To add, there are a lot of car dealers in Canada where you can get car loan with bad credit.

Before anything else, how is an APR determined? These are the factors that come into play:

  1. Credit History
  2. Credit Score
  3. Condition of the Vehicle (whether old or new)
  4. Duration of the Loan
  5. Your Capability to Buy a Car

Will a High APR Prevent Me from Buying a Car?

The short answer to this question is no. This is because car dealers are highly interested in giving you a vehicle and therefore they will find a number of ways in order to make that purchase happen. Meaning, there are a variety of auto loan options and approaches that are available for you. What’s the main point? Visit your local car dealer today and negotiate with him or her. You will then realize that having a high APR should not stop you from getting a new ride.

But the question remains, should you worry too much on a high APR? It goes without saying that a high APR will lead to more overall costs compared to a low APR. Obviously, a low APR is better than a higher one.

How to Deal with It

As mentioned, there are a lot of ways of dealing with this situation. For one, you can choose to stretch the loan duration so that your monthly payments will not be much of a burden. Extended loan term would lead to low monthly payments but at a longer duration. Another alternative is to make a relatively big down payment so that overall, your lender will only have to finance a lesser amount compared to those who didn’t make a down payment. Just as in an extended term loan, paying a down payment would lead to lesser monthly dues.

These are only some of the options that you can consider, so don’t give up right away. A high APR should not stop you from making your car dreams into a reality. However, you should also work on improving your credit so that the next time you will make a purchase, you won’t have to worry about a high APR. Try asking for your credit report so that you can look for aspects where you can improve in order to have a better credit score.

hatchbacksHatchbacks are a popular car but not all of them are as spacious as what you might think. Just because these vehicles are somewhat larger in overall size doesn’t mean that you’re going to get a whole lot of that space given back to your second-row passengers, as you’ll see from our bottom 5. 



Mitsubishi i-MiEV production version

Looking for an electric hatchback? Well, you’ve found one in the Mitsubishi i-MiEV. Though it only offers 30 inches of space for second-row passengers, it does hold four people and is fully electric, which is great for you and the environment. You’ll be able to save some money on those features and you’re not going to pay too much for it either, which is definitely going to be a bonus.



mini-hardtop-2-doorThe MINI is definitely a fun car to drive around in and the MINI Hardtop-2 Door is no exception. This vehicle is extremely unique and it’s great for anyone who wants a little bit of luxury but not a whole lot of high pricing. With 30.8 inches of space in the second row you’re also going to get great engineering and design, high-class technology and a lot of comfort on the interior as well. Why not give it a try?



kia-rio5This vehicle is definitely going to make you want to try out a foreign option for your next car because the Kia Rio5 offers a lot of great features at a very low price. With only 31.1 inches of space in the second row, it has to make up for it somewhere, so it does that with great gas mileage and some cargo space that you’re not going to want to miss. This is an option you’re going to love for the whole family and if you fill out this application you’ll be able to get one for yourself.



ford-fiestaIf you’re looking for a great option from Ford, the Ford Fiesta offers 31.2 inches of space in the second row. The hatchback version of this vehicle is definitely something that’s gaining in popularity because it offers the same amount of space in the second row while also allowing you to get some technological features that you’re definitely going to love. After all, this vehicle has a whole lot going for it in any form.



hyundai-velosterThe final vehicle on our list, offering the most space out of our low space hatchbacks, is the Hyundai Veloster. With 31.7 inches of space, this vehicle is actually a 3-door hatchback that offers you some high tech features and some good gas mileage for a moderate price. This is definitely going to make it a vehicle you won’t want to miss out on at least trying. What do you have to lose?


images (1)If you’ve looked at your credit and seen that it’s really not where you’d like it to be you’re probably suffering from bad credit. But that doesn’t mean there’s nothing you can do about it. In fact, it means that you’re definitely going to want to do something because having bad credit means a lot of things for your credit report and for your future as well. So make sure you’re paying attention to what this can really do to you as you’re trying to move on with your life.

Having bad credit means that your credit score is somewhere less than 650. On a scale of 300-850 that may not seem really low, but anything in the 300-500 range is considered practically unbelievable and when you get into the 500-650 it’s definitely considered bad. Even 650-699 isn’t really considered good but is instead considered ‘fair.’ That means you want to get your credit up above 700 if at all possible because that’s where you’re going to get the best results in trying to apply for loans or credit and getting the lowest interest rate that you can. It’s not always easy but that’s the best way to do it.

Bad credit could mean that you’ve missed payments or that you have made less than your minimum payments. It could mean that you’ve gone bankrupt or had a lot of accounts turned over to collections or that you have a very high debt to credit ratio. There are a lot of things that affect your credit and can easily turn it into something you’re not exactly proud of. But there are ways that you can work on it and continue trying to improve it. You’ll just need to work at it before it’s going to get you anywhere.

Unfortunately, bad credit also means that you might not be able to get the loans that you want or need. You could end up with problems because you can’t get the mortgage that you need for that new house or because you can’t get the car loan that you need to replace your old car. It’s not always easy to make things work with bad credit, but you can definitely work on it and you’ll be better prepared than you might think in no time. It’s going to take some work after all, just make sure that you know where you’re starting from and where you want to end up.

Having bad credit is definitely not something you’re going to want, but it’s possible to still get the things you need. You’ll be able to get loans, just not necessarily as good of loans as people with better credit, so make sure you work on what you can to improve your credit. And make sure you start with the best loan you can find. You’ll be able to learn even more by clicking right here and you can work with us to get approved for a car loan even with bad or terrible credit.

Are you ready to make that purchase on a new (or new to you) car? If you are then you definitely want to make sure you’re keeping a few very important things in mind before you sign on the dotted line. After all, a vehicle is a very big purchase and it’s something that you’re going to be driving for a decent amount of time. It’s not just a purchase but an investment. It’s something you need to trust to work for you a few years at least. So how do you make sure of that?

Test Drive

  1.       Take It For a Test Drive.
    One of the most important things is to make sure that you actually get to drive the vehicle and see how it feels. Even a private party seller should allow you to drive the vehicle because that says they know it runs well and they believe the vehicle is going to work for you. If they don’t want you to drive the car at all that’s definitely a red flag and something you should think about walking away from. After all, what possible reason could they have for not letting you drive it that isn’t trying to hide something?


  1.       Look Under the Hood. One way you can easily see if a vehicle has been taken care of is to open up the hood. You want to look at the engine block and see if there’s any dirt or debris. In your average vehicle there will be some. You should be able to see a little something just from driving the car around. There shouldn’t be a lot of dirt or oil stains however because this shows that the vehicle hasn’t been well taken care of. If it’s too clean this says they wiped it down recently and just why did they do that? Probably because it was really dirty.

fluid level

  1.       Check the Fluid Levels.This may seem strange because, of course, you can add more fluids yourself if the vehicle needs it. The key point is that the vehicle shouldn’t need it. The fluid levels should be right about average or close to the full line. If they’re a little below that’s fine. It says they’ve driven the car since filling up the fluids and that means they didn’t top things off right before you got there. Don’t just look at how much of each fluid is present however, look at what it looks like. You’ll definitely be able to tell if it’s old and old fluid means they didn’t care for the vehicle either.

Just these few steps are going to make it a whole lot easier to pick a good quality car. No matter who you’re buying from they shouldn’t have any problem with you following these steps because they’re things that any good car buyer should be doing. They show that you know what a car needs and that you’re looking to buy from someone else who also knows what that car needs, and took care of those needs.

Once you have decided to purchase a car, consider your financing options afterwards. Learn more about New Car Canada – Car Loans For Bad Credit and decide which is the best for you.