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How TD Auto Finance can help newcomers to Canada
Start driving toward your goals sooner. Our flexible auto financing solutions can help meet the needs of newcomers to Canada.
Benefits of getting a car loan with TD Auto Finance
Buying a new or used car in Canada
The decision to buy a new or used car depends on factors such as your budget, preferences, desired features, and longer-term goals.
|
New car |
Used car |
|
|---|---|---|
|
Cost |
Generally, cost more than a used car. |
More affordable than new cars, making them a budget-friendly option. |
|
Warranty |
Comes with manufacturer warranties, which may provide coverage for certain repairs and maintenance over a set period. |
Typically, do not include warranty protection. |
|
Maintenance |
Buyers may experience lower maintenance costs during the initial years of ownership, especially since they have a warranty. |
While used cars may initially be cheaper to purchase, they may require more frequent maintenance and repairs, especially as they age and their mileage increases. |
|
Depreciation |
New cars may lose up to 20% of their value in the first year of ownership. |
Have already experienced the most significant portion of their depreciation, which may allow its value to hold better over time compared to new cars. |
|
Latest features and technology |
Often come equipped with the latest features, technology, and safety advancements; offers a more modern driving experience. |
Depending on the year it was made, a used car may not be up-to-date with the latest technologies. |
The process of buying a car
Buying a car is often one of the first big purchases that newcomers to Canada make. Here are some of the key steps to buying a car.
There are different ways to gather information and make an informed decision when buying a car in Canada. These include online research, manufacturer websites, automotive reviews, and visiting local dealerships.
To be eligible for TD Auto Finance as a newcomer – either as a Permanent Resident or Foreign Worker – you must be within your first 5 years of living in Canada and have proof of employment or income.
Our vehicle loan calculator can help you see how much your monthly payments could be. Try the calculator.
Our financing options are available for new or used vehicles that are sold through dealerships.
Find out if you’re eligible for our financing solutions for new Canadians.
Or learn how to apply for a private sale car loan.
When you’re ready to buy a car, you’ll need to prepare for your purchase. We’ve prepared useful lists of what to bring and what to expect when you’re ready to make your purchase. You can find helpful information here.
Private Sale Vehicle Loan
You may also be interested in a Private Sale Vehicle Loan which is a flexible borrowing option to help you get the vehicle of your choice.
- Available for: buying a new or used vehicle privately
- You can borrow2: up to $50,000
- Repayment: We’ll work with you to create a repayment schedule in accordance with our policies
Frequently asked questions
Our new to Canada programs are set up to help people who have limited or no credit history.
You can choose any make and model that you like, as long as you can afford the payments. Your payment will be determined by your loan amount, its interest rate and amortization.
Repayment terms can vary, depending on a car's model year. For Permanent Residents, it can be up to 96 months. For Temporary Workers, it is up to 60 months .
Some factors that you should consider are:
- Affordability
- Functionality – does the car suit your needs?
- Desired payment amounts, trade in/resale value
- Insurance
- Fuel consumption and maintenance cost
- If you need to purchase extended warranty
- Safety factors of the car, mileage on the car, understanding the finance obligations, vehicle history
Your credit history is a record of your past borrowing and provides lenders with a score representing your ability to repay loans on time.
TD Auto Finance offers Newcomers to Canada loans without any Canadian credit history!
Overall, one of the best ways to start building your credit history – or improve your credit score – is to apply for credit and then pay it off responsibly.
Car insurance: Make sure you choose the right insurance to cover accidents, as well as any upgrades, customizations or modifications to your car.
Maintenance costs: You can speak to a dealer and set up a maintenance plan to help prevent problems before they start.
A loan lets you borrow a specific amount of money in one lump sum. It's ideal for single transactions, such as major purchases, handling sudden expenses or paying off old debts. Your loan plus interest gets repaid over an agreed-upon length of time.
A line of credit gives you ongoing access to funds that you can use and re-use as needed.3 You're charged interest only on the amount you use. A line of credit is ideal when your credit needs can increase suddenly.