Ways to Increase Your Chance Of Loan Approval in Canada

Loan Approval in Canada

The consequences of ignoring your debt might translate into having to deal with collection agencies, late payments, defaulting on loans or filing for bankruptcy – factors that can all lead to poor financial health.

If you’re deeply stuck in debt, you might be struggling to get out of it. You might also have a more difficult time with loan eligibility. If it stresses you, don’t worry. If you’re sinking in quicksand, relax and move smart. When it comes to credit repair, this tactic works.

Canadians with no or low credit rating might feel like it’s impossible to be debt-free. Here’s a secret: the only way to improve your credit rating is to actively use your lines of credit. Putting money on, and paying off, your credit will show lenders that you’re capable of returning the money to financial institutions. However, given the fact that lenders consider a person’s credit score when applying for new credit, the opportunity to rebuild credit is slim if you have a poor credit history.

At the end of the day, you need to prove to lenders that you’re not a high-risk loan applicant. High risk applicants are seen through the eyes of lenders as customers who won’t repay their loan. The result to these customers: high-interest rates, and being deemed as ‘untrustworthy’ from a strange source who only cares to know one thing – your credit report.

Thankfully, credit rebuilding services can help people with low credit fix their history. Professionals who are dedicated to your account will help educate and inspire you to make serious financial changes by branching out your debt. These six reasons why credit repair services are immensely lucrative for people who are considered a high-risk to lenders say it all:

  1. Partnering with a credit repair institution will show credibility to lenders and that you’re able to get your finances back on track
  2. After working with a credit repair company, you’ll be able to qualify for financing at lower rates without being declined
  3. You’ll have more financial flexibility in the future
  4. Credit repair services can help you consolidate debts and get approved for higher limits on credit cards and loans
  5. You can be proactive instead of waiting years for negative financial marks on your credit history to disappear

Canadians who generally get approved for higher credit limits at better rates usually have a credit rating that falls at 750 or higher (and these people take up a small percentage of the Canadian market). Approximately 21.40 per cent of Canadians have credit rating between 680 – 749, and 2.85 per cent fall below 520. Having a less than perfect credit score can impact your life negatively – it could be the barrier between getting the car of your dreams, saving money and being able to get approved fast and easy for loans.

If the you are still procrastinating your financial well-being, buckle up and consider using the resources that Canadian credit repair services have to offer. Ready to start building credit with some cash back, we can help you in your journey. Visit Canada Auto Experts or call 1-855-550-5565 today!