What a secured loan changes for you
File assessed on income
The vehicle covers the risk, so your ability to pay weighs more than your credit score.
Accessible with damaged credit
Bankruptcy, consumer proposal, late payments: a secured loan stays financeable where a personal loan is refused.
No branch visit
The lender registers the lien on the vehicle directly on the dealership purchase contract.
Fast decision
An answer within 24 to 48 business hours, with no application fees.
What is a secured car loan?
Most car loans are, technically, secured loans: the vehicle is the asset protecting the lender. In Quebec, that right is registered in the register of personal and movable real rights (RDPRM) under the lender’s name, on the vehicle identified by its serial number. Until the loan is repaid, the lender keeps that security.
That security is why a secured car loan is easier to obtain than a personal loan or a line of credit: the lender knows exactly what it recovers in case of default. In exchange, you must insure the vehicle (collision and fire coverage at minimum) and keep up with payments — a default allows the vehicle to be repossessed.
Dealer car financing: everything is settled at the dealership
Dealer car financing means the loan is arranged at the dealership, at the time of purchase, instead of going through a bank branch. Our job is to prepare the approval before your visit: you arrive with a budget and a pre-approved loan, and all that is left is the signature.
The partner dealership prepares the sales contract, the lender adds the lien on the vehicle and pays the dealer. You have nothing to register yourself, and no deposit is required in most files.
Fast car loan: an answer within 24 to 48 hours
A fast car loan rests on three documents: an ID, proof of income (pay stub, bank statements or benefit statement) and the details of the vehicle you are targeting. With those, the decision comes within 24 to 48 business hours — often the same day when the file is complete.
The online application takes about 5 minutes and commits you to nothing. If the vehicle you wanted sells in the meantime, the approval stays valid for another vehicle of comparable value.
Secured car loans for bad credit
Damaged credit files are exactly where a secured loan changes everything: a discharged bankruptcy, an active consumer proposal or recent late payments do not automatically block financing, because the lender is covered by the value of the vehicle.
These files go through our 2nd, 3rd and 4th chance credit programs, with payments reported to the credit bureaus every month. A down payment, even a modest one, reduces the amount financed and often improves the terms you get.
Frequently asked questions about secured car loans
How is a secured car loan different from a personal loan?▼
Can I get a secured car loan with bad credit?▼
What happens if I stop paying?▼
Can I finance a vehicle bought at a dealership?▼
How fast is a fast car loan?▼
Is a down payment required with a secured loan?▼
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