Your 36-Month New Car Loan Estimate for Quebec (600-700 Credit Score)
You're in a specific situation: you're looking for a new car in Quebec, you have a credit score in the 600-700 range, and you're wisely considering a shorter 36-month loan term. This calculator is built precisely for you, providing realistic estimates based on these factors.
A score between 600 and 700 is often considered 'fair' or 'near-prime' credit. This means you have a strong chance of approval, but the interest rate will be a key factor. A 36-month term is a powerful financial tool: while the monthly payment is higher than a longer term, you'll pay significantly less in total interest and own your car free and clear much faster.
How This Calculator Works for Quebec Buyers
Our tool isn't generic. It's calibrated for the realities of financing a new vehicle in Quebec with a fair credit profile.
- Vehicle Price: The sticker price of the new car you're considering.
- Quebec Sales Tax (GST/QST): We automatically calculate the total tax. In Quebec, new vehicles are subject to 5% GST and 9.975% QST, for a combined rate of 14.975%. This is added to your total financed amount.
- Interest Rate (APR): For a 600-700 credit score on a new vehicle, lenders in Quebec typically offer rates from 7.99% to 12.99% APR. We use a realistic midpoint for this calculation, but your final rate will depend on your specific credit history and income.
- Loan Term: Locked at 36 months to show you the financial benefits of a shorter loan.
Approval Odds with a 600-700 Credit Score
Your approval odds are high. Lenders see a 600-700 score as a sign of a responsible borrower who may have had minor credit challenges in the past. They will focus on two key areas beyond your score:
- Income Stability: Lenders want to see a consistent and provable source of income that can comfortably cover the new payment. Even with non-traditional income streams, options are available. For more on this, see our guide: Your Irregular Income Just Qualified You for an EV. Seriously, Quebec.
- Debt-to-Service Ratio (DSR): This measures your existing monthly debt payments against your gross monthly income. Most lenders prefer your total debt payments (including the new car loan) to be under 40% of your income.
If you've been turned down elsewhere, don't be discouraged. The right lender makes all the difference. Sometimes, a previous 'no' is just a stepping stone to a better 'yes'. If you've faced rejection, it might be helpful to read about how we can help: They Said 'No' After Your Proposal? We Just Said 'Drive!
Example New Car Loan Scenarios in Quebec (36-Month Term)
Here's a breakdown of potential monthly payments. We've used a sample interest rate of 9.99% APR for this credit range. Note how the mandatory Quebec sales taxes increase the total amount you finance.
| New Vehicle Price | GST/QST (14.975%) | Total Financed (Approx.) | Estimated Monthly Payment (36 Months @ 9.99%) |
|---|---|---|---|
| $30,000 | $4,492.50 | $34,492.50 | ~$1,114/mo |
| $40,000 | $5,990.00 | $45,990.00 | ~$1,485/mo |
| $50,000 | $7,487.50 | $57,487.50 | ~$1,856/mo |
Disclaimer: These are estimates for illustrative purposes only. Your actual payment will vary based on the final approved interest rate, vehicle price, and any down payment or trade-in value. O.A.C. (On Approved Credit).
Securing a car loan with a fair credit score, even if you're self-employed, is more achievable than ever. Lenders are increasingly flexible with income verification and past credit hiccups. For an in-depth look, check out Your 'Impossible' Car Loan Just Got Approved. Self-Employed, Poor Credit.
Frequently Asked Questions
What interest rate can I expect in Quebec with a 650 credit score for a new car?
With a 650 credit score, you fall squarely in the 'fair' or 'near-prime' category. For a new car on a 36-month term, you can generally expect an interest rate (APR) between 7.99% and 12.99%. The final rate will depend on other factors like your income, employment history, and the size of your down payment.
How does the 36-month term affect my approval chances in Quebec?
A 36-month term can actually improve your approval chances. Lenders see it as a lower-risk loan because you are paying it off quickly and building equity faster. The main challenge is ensuring the higher monthly payment fits comfortably within your budget and your debt-to-service ratio, which lenders will scrutinize.
Do I need a down payment for a new car with a 600-700 credit score?
While $0 down payment options exist, providing a down payment is highly recommended for this credit range. A down payment of 10-20% reduces the lender's risk, which can help you secure a lower interest rate. It also lowers your monthly payment and reduces the impact of initial vehicle depreciation.
Are there special programs for new car buyers in Quebec?
Yes, Quebec offers the Roulez vert program, which provides rebates for the purchase or lease of a new electric vehicle (EV). This rebate is applied after taxes and can significantly reduce the total cost of your vehicle, making your loan more affordable. This is separate from any manufacturer incentives or rebates.
How is sales tax calculated on a new car in Quebec?
In Quebec, the Harmonized Sales Tax (HST) is not used. Instead, you pay the federal Goods and Services Tax (GST) of 5% and the Quebec Sales Tax (QST) of 9.975%. The QST is calculated on the price including the GST. For a $30,000 car, the GST is $1,500. The QST is 9.975% of $31,500, which is $3,142.13. The total price becomes $34,642.13. Our calculator uses the effective rate of 14.975% for a close estimate.
