Ask an Expert

 

Ask some basic questions. The answers can help you determine whether it’s worth a trip to take a closer look. That’s especially true when you’re buying from a private party. You might break the ice with soft questions such as the car’s color, but then get specific about its condition, features, and history. Any strange or far-fetched answers should put you on guard.

We can do it for you at Wheels and Deals, just come on over and see one of our specially trained Financial and sales Professionals or you can contact Equifax Canada National Consumer Relations P.O. Box 190 Station Jean-Talon, Montreal, Quebec, H1S 2Z2 (1-800-465-7166)—TransUnion Canada Consumer relations Centre P.O. Box 338 LCD 1 Hamilton Ontario L8L 7W2 (1-866-525-0262)

You can also get a copy “Understanding Your Credit Report,Credit Score” by contacting  www.wheelsanddeals.ca or Financial Consumer Agency of Canada info@fcac.gc.ca…I hope the past 12 weeks of reading my credit history tips have helped you.

There are a number of things you can do to build and maintain a good credit history.  Do’s.. Pay your bills on time, pay your bills in full or at least pay minimum statement balances. Contact creditors if you are having trouble making payments before they contact you. Make sure your monthly statements are correct. Read your statements stay up to date on any changes in your terms and conditions. Deal with well know and trusted companies. Get a copy of your credit report and review once a year.

Factors lowering your credit score are, you have to many consumer finance accounts on your credit report, also having to much available credit can actually hurt you (close a few accounts & reduce credit limits). Your account balances are to high, you are spending more than you can afford (keep your credit cards below 35% of limits). There is not enough recent info on your credit report (You need to use credit regularly but sparingly to have a credit history). Your loan balances are to high, high debt levels signal lenders you are over spending (owing balances above 35-50% lowers your scores and worries lenders.

In Canada there are two credit reporting agencies, which are Trans Union and Equifax. Both of these providers use data based on your credit worthiness and assign score numbers from 300 to 900 based on that established credit history. The score numbers indicate how your credit score ranks based on a Canadian population figure by percentage. Lenders decide after weighing this data score to provide a loan if requirements are met, and how much of a loan to provide.

National distribution of where Canadians are based on a 300 low and 900 high credit score is: 300 to 549 only 4% of population, 550 to 599 again is 4%, 600 to 649 is 6% of population, 650 to 699 is 11% of population, 700 to 749 of 19% of population, 750 to 799 is 27% of population, 800 to 849 is 24% of population, 850 plus is 5% of population. Your placement affects lenders polices towards you.

If the mileage is higher than, say, 20,000 per year or lower than 5,000, ask why. If a car has high mileage because the owner had a long highway commute, that’s better than if it did a lot of short trips, stop-and-go driving, or a delivery route. Still, take any “these were all highway miles” claim with a grain of salt. Low mileage is best…

“Has it been in an accident?” If yes, ask about the extent of the damage, the cost of repairs, and the shop that did the work. Don’t worry too much about minor scrapes, but think twice about a car that has been in a serious crash. Do A CarProof report, regardless of answer.

CarProof is a Canadian provider of vehicle history reports – a critical tool when you’re buying a used vehicle. A CarProof report establishes trust and transparency between a used car buyer and a used car seller by removing the guesswork about a vehicle’s past – replacing it with impartial, accurate and real-time data.

There is big difference between just fire, thief, collision and all perils. All perils may cost more but in the end you are getting far more protection. Also ask about the cancellation rules. Every policy has different rules and it's important to know what they are, otherwise an accident or a couple of tickets could lead to you being dropped.