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How to rebuild your credit with a car loan after bankruptcy?
Have you filed for bankruptcy and are looking for the best ways to rebuild your credit? It may be tough but there are things you can do, and one of them is a bankruptcy car loan.
Before we get into how a the bankruptcy loan and how a car loan can help, let’s look at what your credit score is made up of.
Payment history = 35%: one of the biggest factor that makes up your credit score is whether you pay your bills on time and the amount of the bill paid.
Credit utilization = 30%: This is the amount of credit you are using on your credit cards. If you are using more than 75% of your card, your score is going to be lower than if you are using less than 50%.
Length of credit history = 15%: Your credit score actually takes into account the amount of time in your life that you have been paying bills. If you are younger or are just entering the country, you may have very little, or no credit history at all.
New loans or applications = 10%: Your score actually gets negatively impacted if you have applied for numerous cards or loans. So make sure to only apply when you really need it.
Varied credit = 10%: The amount and types of credit you have is the last piece of the puzzle. If you have many types of credit such as student loans, credit carts, etc. Then your rating will be higher than someone who has not.
Now let’s look at how a car loan after bankruptcy can help build your credit and what you need to do.
Make a down payment. Making a down payment can lower the amount owed on the car and can help lower your monthly amount due.
Be aware of your budget. As exciting as getting a new car can be, you need to be smart. Only choose a car you know you can afford within your current budget.
Paying bills on time. Make sure you pay your monthly bill on time. This accounts for 35% of your credit score, so you don’t want to miss this step.
Minimum payments. Some loans come out of your account at a fixed rate, whether it’s biweekly or monthly. But if you’re able to, try to make more than the fixed monthly payment.
Try to pay it off fast. This one is simple, as the faster you pay off your loan, the faster your score will improve.
Payment extensions. If you have the option of a payment extension or grace period, try not to take it. Using them will not help to improve your score.
In conclusion, getting a car loan after bankruptcy can definitely help improve your credit score. For more information contact TransCan Leasing today!
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TransCan Leasing Corp. (TCL) came about because of a giant void in the Canadian Auto Lending industry. The good part is that our banks are solid and well capitalized; the bad part is that there are not vary many of them – hence no competition. The same can be said for Auto Lease companies.
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We want to be part of your solution – not your problem
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A Leasing Program Tailored To Your Unique Circumstances.
This is our ONLY business. We have virtually no limit to the number of vehicle leases we can accommodate, and we have hundreds of vehicles to choose from.Our lease rate is 11.9% for every customer (we don’t gouge someone just because we can).
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Unless one can figure out another way, without credit it is difficult to manage with some of the most frequently needed expenses encountered in our day to day lives; purchasing a home, furniture, cars, university or college education, cell phones or internet access to name just a few.
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With almost 50% of customers in bankruptcy, proposal, or facing credit challenges in need of a vehicle, our unique program is specifically designed to help. When followed properly, our process affords our clients the opportunity to have quality transportation at great rates, while restoring their credit. In fact, should you complete our program, you should have repaired your car payment history to the point that you will qualify for some of the best finance rates in the marketplace.
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Transcanleasing Customer Reviews
Mr A.K (Vancouver, BC) Says....
“I had an SUV at 29.9% interest and was treated like a second class citizen just because I had a past bankruptcy. It was awesome to be treated so respectfully by TCL, and now I’m driving a 2013 Buick Encore at 11.9%. Thanks TransCan!”
Be one among our satisfied customer list. To know more about us visit https://transcanleasing.ca/
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We are TRANSCAN LEASING!
View to more information https://transcanleasing.ca/dealer-login/
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Benefits of transcan leasing
Our Program Is A Lease Program For A Reason. The Purpose Is To Provide Options Rather Than Obligations. Our Job Is To Get You The Best Vehicle That Fits Your Needs And Keep The Price As Low As Possible Because We Carry The Risk For The Term Of The Lease. https://transcanleasing.ca/benefits-of-transcan-leasing/
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What is your credit track record?
Your credit track record consists of all credit transactions that you currently have, or have had and is represented in two integral ways; by your Credit Report and your Credit Rating.
The payment history of a multitude of credit profiles that makes up your credit track record is summarized through a electronic file that is gathered and stored by major credit-reporting agencies like Equifax or TransUnion.
This illustrates the history of your past credit and current credit and can come from any of the following lenders, or credit-using services we encounter in our lives:
Banks or Credit Unions
Retailers
Credit Cards
Auto Financing
Student Loans
Mortgages
Utilities
Rental Applications (apartments, homes, cars, etc.)
Credit Bureaus gather and maintain data obtained about your credit standing as a consumer every time you make or miss a payment; exceed or stay within limits on your credit cards or on any of the short-list of credit-using services listed above.
Then, whenever you apply for any kind of credit, these agencies sell your credit history data in the form your credit report.
Your credit history follows you everywhere as this valuable information that forms your credit report can be taken into consideration for any kind of lending situation. https://transcanleasing.ca/credit-education/
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