What is Bad Credit?

Bad credit, typically referred to as subprime credit or poor credit, can be caused, and influenced, by a number of factors. Although the three main credit bureaus, Equifax, Experian and TransUnion have different qualifications, the typical estimated ranges are below::

  • Excellent credit: 740 to 850
  • Good credit: 680 to 740
  • Acceptable credit: 620 to 680
  • Subprime credit: 550 to 620
  • Poor credit: 300 to 550

Things that can affect your credit rating can include, but are not limited to, late or missed payments with a creditor, bankruptcy, foreclosure or defaulting on a loan, little or no credit history, too much existing debt, or having no assets that could serve as collateral.

Let's face it - bad credit isn't fun, and most of us have been there at some point in our lives, but regardless of your credit score or being labeled as having bad credit, our team is here to help you find the best auto loan to fit your situation.

Bad credit doesn't mean you're a bad person. Many of us have all been there, and getting a loan for reliable transportation is not only important, but could also help improve your credit


Although we all understand bankruptcy is one of the toughest situations to be in, it's not the end of the world! We at Summit GM understand that bad things happen to good people.

And we're here to help you at least get into reliable transportation that helps you get to and from the places you need to be. Our goal is to make this as simple and as comfortable a process as possible.

Learn More About Your Credit Profile

If you're ready to take the first step towards better credit, a new vehicle, and improved financial security, take that important first step and learn about your credit profile.

For an affordable auto loan—or even a bad credit car loan—you can use our free credit tool and find out where to start. Our team will work with you one-on-one to understand your unique situation and connect you with lenders that can get you approved - even with bad credit.

Rebuilding Credit with a Car Loan

Having bad credit can make it incredibly difficult to get approved for loans, credit cards, or even secure housing. But did you know that a car loan can actually be one of the best ways to rebuild your credit?

At Summit GM, we specialize in helping Canadians with bad credit or no credit history get approved for affordable auto financing. By making on-time payments on a car loan, you can start to improve your credit score and open up more financial opportunities in the future.

How a Car Loan Can Rebuild Your Credit

There are a few key reasons why a car loan is so effective for rebuilding credit:

  1. Secured Loan: Auto loans are considered "secured" loans because the vehicle acts as collateral. This makes lenders more willing to approve applicants with poor credit history.
  2. Consistent Payments: Unlike credit cards with fluctuating balances, a car loan has a fixed monthly payment. Making these payments on time every month will steadily improve your payment history.
  3. Diversified Credit Mix: Creditors like to see that you can responsibly manage different types of loans. An auto loan adds valuable diversity to your credit profile.
  4. Reporting to Credit Bureaus: Your on-time car loan payments will be reported to the major credit bureaus, directly boosting your credit score over time.

Summit GM is here to help find you the best subprime auto loans in the Fort McMurray, AB area. Contact us to get started and ask about our courtesy credit consultation today!

Financing Your First Car

No-credit situations can be challenging for credit approval as well, but it’s often possible to get approval.Owning your first car gives you the freedom to go where you want, when you want. Whether your vehicle is new or used, most people need to borrow from a lender to buy a car, truck or SUV.

If you're in the market to purchase your first car, truck or SUV, in the Fort McMurray, AB area, stop in and see us at Summit GM and let us show you how we can help you get your first vehicle financed. We are your local dealership and will work with you and national lenders to help you get the best deal.

What to Consider When Budgeting

Whether you're buying new or used, from a financial perspective, a vehicle's affordability is based on a few factors:

  1. Credit Score: Your credit score is a measure of financial health that can determine the amount of a potential car loan.
  2. Down Payment: Paying more money up front will help decrease the overall size of the loan you need to finance your vehicle.
  3. Loan Term: How quickly do you want to pay off your vehicle, and what interest rate do you qualify for?
  4. The 20% Rule: Your monthly automotive expenses shouldn't exceed 20% of your income, including gas, insurance, and maintenance.

Comparing Car Loans and Leases

When you first buy a new or used vehicle, you might want to take out a car loan, or even sign a lease. This decision between buying and leasing is an important one, and which you choose depends on how you'll use your vehicle, and what you are able to afford.

There’s nothing quite like owning a vehicle! Get pre-approved for a loan today through our easy-to-finish finance application; buy our vehicles with good credit, bad credit, or no credit!

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