Bankruptcy isn't the end of the line, think of it as the beginning of a fresh financial future. There are several reasons why people enter a bankruptcy: marriage split, loss of income, illness etc. Car loans are a great tool for rebuilding your credit report. In this uncertain financial time many people can get themselves into trouble credit-wise however there are bad credit auto loans available. "Easy to say but how do I do it?" Well, there are several things to consider a) Know your budget and what you can afford. Sit down by yourself or partner and write everything down on a piece of paper. Everything like money coming in and money going out each month needs to be considered. b) Keep copies of your pay stubs & tax documents in a safe, secure place. These documents are nearly always required by lenders to prove to them how much money you are making. c) Keep copies of all of your bankruptcy papers for future reference. Sometimes lenders will want to see these documents. Your initial bankruptcy papers showing what was included in your filing and your discharge papers are the most commonly request documents. d) Review your credit report for accuracy. You can obtain a copy of your credit file through the two main reporting agencies in Canada: Equifax Canada (Equifax.ca) and Trans Union (transunion.ca). You should do this periodically to assure that the information on your credit file is complete and accurate. e) Purchase from the right dealership and lender program! There are two types of non-prime lenders in the Canadian automotive market: 1) Standard financial institutions and 2) In-House leasing companies. The standard finance companies place a secured lien on your credit file and show each payment you make. Showing each payment you make is very important as it improves your credit rating and other lenders can see it. The In-House or ‘Buy-Here-Pay-Here' dealerships place a secured lien on your credit file however rarely show each payment you make often due to a lack of resources. Don't be swayed by interest rates. Understandably, rates will be higher following a bankruptcy filing however there are programs available to break you out of existing loans after a year or so. These initial higher interest loans serve as a credit re-building tool and once you've established a positive payment history you can qualify for lower rate loans. There is no magic pill, it's just time, following the proper advice and hard work! At NewRoads Credit we have talented people with industry-specific experience working on your bad credit auto loan. We have 6 dealerships in our NewRoads Group serving all of Ontario. That gives us 800+ new and used vehicles for you to choose from. You may have had or are just entering a bankruptcy… take advantage of this opportunity to get your financial future set up properly. Good luck!