General Questions

What is a car loan?

A car loan is an amount of money used to purchase a vehicle that you are responsible to pay over the period of the loan. This allows you to purchase a vehicle that you may not be able to afford at the time, allowing you to take time to pay off the vehicle. Each loan is unique and your Car Loan situation will vary depending on which options you choose or need.

Common car loan types

Simple Interest Loan: The interest rate is based only on the outstanding balance. That gives the borrower the option to pay more than the standard monthly payment and thereby save on interest cost.

Pre-Computed Loan: All interest and principal payments are negotiated before the paperwork is signed. Payments are pre-calculated in advance, which excludes the possibility of early repayment.

What are the available terms for a car loan?

Most of the car loans in Canada are structured with 12-months increments. They last somewhere between two and seven years. Depending on whether you are planning to buy a new or used car, you will find loans between 12 months and 84 months. The average used car loan lasts between 36 months to 48 months. The average for new car loan lasts between 60 months to 72 months.

What is better: Short-term car loans vs Long-term car loans?

Everything depends on the personal preferences of each borrower. A long-term car loan comes with an increased interest rate. That means that your monthly payments will be lower, but in the end, your total loan cost will be higher. However, with the short-term car loan option, your monthly payment will be higher, but will also come with reduced interest and total overall credit cost.

What is the difference between a secured and unsecured car loan?

Secured car loans mean that the borrower offers the lender collateral or assets to secure the loan. Usually, this kind of loan used by people who recently went through bankruptcy. In most cases, the car itself is used as collateral. Unsecured car loans are the opposite, with no assets to recover in the event of default and with a higher car loan interest rate.

Why choose Simply Cars?

Because we are here to help you get a car and are one of the most trusted and experienced companies in Canada. We have helped thousands of no matter what your credit situation is. Good credit, bad credit, no credit, we help everyone find a vehicle.

Where is your office located?

You can find our main offices in Markham, Ontario. Our partners are located in all major cities in Canada. Car dealer partners will be located near you. Vancouver, Toronto, Montreal, Calgary, Edmonton, Ottawa, Saskatoon, Winnipeg, Edmonton, Winnipeg, Quebec City, Hamilton, Kitchener-Waterloo, London, Victoria, Halifax, Oshawa, Windsor, just to name a few across Canada.

How much will it cost me?

Our application process for the car loan is free! We work hard to provide you with the best service, guidance, and options available, even if you have bad credit. You do not need to commit to anything until you’re ready and have found a plan that suits your needs.

What kind of personal information do you need?

We ask our customers only for the information that we need to help their get approval, including necessary information (first name, last name and date of birth, Employment, etc.), your location and financial circumstance. We do not ask for SIN number or anything too personal.

Do you take trade-ins?

Yes, of course. It is possible to use your trade-in as a down payment or to help lower your monthly payments for a new or used car loans in Canada.

What are your terms and conditions?

You can find our terms and conditions here. Conditions can vary for each person depending on the type of information from your application and financial circumstances (bad credit, no credit, bankruptcy).