Car Loan Calculator: British Columbia (600-700 Credit Score)
Navigating the car loan market in British Columbia with a credit score between 600 and 700 puts you in a unique position. You're often past the major hurdles of subprime lending but might not yet qualify for the prime rates advertised by major banks. This calculator is designed specifically for you, providing realistic payment estimates based on the rates available to residents of Vancouver, Surrey, Kelowna, and across BC in your credit tier.
Use the tool below to get a clear picture of your budget and borrowing power before you step into a dealership.
How This Calculator Works for BC Residents
This tool strips away the complexity to give you a straightforward estimate based on four key inputs:
- Vehicle Price: The sticker price of the car you're considering.
- Down Payment: The cash you're putting down upfront. A larger down payment reduces your loan amount and can help secure a better interest rate.
- Trade-in Value: The value of your current vehicle, which acts like a down payment.
- Loan Term (Months): The length of the loan. Longer terms mean lower monthly payments, but you'll pay more interest over time.
Important Tax Note: This calculator uses a 0% tax rate for its calculations to focus purely on the loan principal and interest. In reality, all vehicle purchases in British Columbia are subject to 5% GST and a provincial sales tax (PST) of 7% to 20%, depending on the vehicle's price. Your final, all-in price at the dealership will include these taxes.
Your Approval Odds in BC with a 600-700 Credit Score
With a score in the 600-700 range, your approval odds for a car loan in BC are very high. The primary focus for lenders shifts from a simple 'yes' or 'no' to determining the interest rate you'll receive. Lenders see you as a rebuilding or 'fair credit' borrower. They will look for signs of stability to offer you a better rate:
- Stable Income: Verifiable employment of 3+ months is a strong positive signal.
- Low Debt-to-Service Ratio (TDSR): Lenders want to see that your total monthly debt payments (including the new car loan) don't exceed 40-45% of your gross monthly income.
- Down Payment: Putting 10-20% down significantly reduces the lender's risk and can lower your interest rate by a full percentage point or more.
If you're in this credit range because of a past financial event, don't worry. Many lenders specialize in these situations. For example, if you've recently completed a consumer proposal, your path to a car loan is often clearer than you think. Learn more in our guide: Consumer Proposal? Good. Your Car Loan Just Got Easier.
Example Car Loan Payments in British Columbia (600-700 Score)
To give you a realistic baseline, here are some sample monthly payments for a borrower in BC with a fair credit score. These examples assume an average interest rate of 9.99% APR, a common rate for this credit tier.
| Vehicle Price (Pre-Tax) | Loan Term | Estimated Monthly Payment |
|---|---|---|
| $20,000 | 60 Months (5 years) | $425 |
| $20,000 | 72 Months (6 years) | $370 |
| $20,000 | 84 Months (7 years) | $330 |
| $30,000 | 60 Months (5 years) | $637 |
| $30,000 | 72 Months (6 years) | $555 |
| $30,000 | 84 Months (7 years) | $495 |
| $40,000 | 72 Months (6 years) | $740 |
| $40,000 | 84 Months (7 years) | $660 |
*Payments are estimates and do not include taxes or fees.
Managing an existing car loan is just as important as getting a new one. If you already have a high-interest loan and your credit has improved, you might be a candidate for refinancing. Discover the steps in our guide on Approval Secrets: How to Refinance Your Canadian Car Loan with Bad Credit.
Frequently Asked Questions
What interest rate can I expect in BC with a 600-700 credit score?
For borrowers in British Columbia with a credit score between 600 and 700, interest rates typically range from 7.99% to 14.99%. The final rate depends on factors like your income stability, down payment size, the vehicle's age, and your overall debt load.
Is a 650 credit score good enough for a car loan in BC?
Yes, a 650 credit score is absolutely good enough for a car loan in BC. You will have multiple lender options, including some from major banks' automotive divisions and specialized non-prime lenders. The key at this level is to secure a competitive rate, not just an approval.
How much of a down payment do I need with a 600-700 score?
While a $0 down payment is sometimes possible, a down payment of at least $1,000 to $2,000, or 10% of the vehicle price, is highly recommended. It shows financial commitment to lenders, reduces the loan amount, and can help you get a lower interest rate, saving you money over the life of the loan.
Can I get a car loan if I've been recently discharged from bankruptcy?
Yes. Many people in the 600-700 score range are actively rebuilding their credit after a bankruptcy. Lenders in BC understand this and have programs specifically for this situation. For more details on the process, see our article: Discharged? Your Car Loan Starts Sooner Than You're Told.
Does this calculator include BC's sales tax (PST and GST)?
No. This calculator intentionally excludes taxes to help you estimate the payment on the vehicle's sticker price. Remember to factor in a combined 12% (5% GST + 7% PST) on most vehicles when calculating your final 'out-the-door' price at a BC dealership. The tax rate can be higher for luxury vehicles.
