Used Car Financing in Quebec: Your 60-Month Loan with a 700+ Credit Score
Welcome to your specialized calculator for financing a used car in Quebec over 60 months with a strong credit profile. A credit score of 700 or higher places you in the prime lending category, giving you access to the most competitive interest rates and favourable terms from major banks and lenders.
This tool is designed to provide a clear, data-driven estimate of your monthly payments, helping you budget effectively for your next vehicle purchase in la belle province.
How This Calculator Works
This calculator simplifies the loan estimation process based on your specific situation. Here's a breakdown of the key factors:
- Vehicle Price: Enter the total price of the used car you're considering. Important Note on Quebec Taxes: Used vehicle sales in Quebec are subject to GST (5%) and QST (9.975%). This calculator assumes the price you enter is the total amount you wish to finance. For an accurate calculation, be sure to add the 14.975% combined tax to the vehicle's sticker price before entering it here.
- Down Payment: The amount of cash you'll pay upfront. A larger down payment reduces your loan amount, lowers your monthly payments, and can help secure an even better interest rate.
- Trade-in Value: The value of your current vehicle, which acts like a down payment to reduce the total amount financed.
- Credit Score (700+): Your excellent credit score signals low risk to lenders. For a used car on a 60-month term, you can anticipate an Annual Percentage Rate (APR) typically ranging from 6.99% to 9.99%, depending on the age of the vehicle and the specific lender. We use a competitive average rate for this profile in our calculations.
Approval Odds: Excellent
With a 700+ credit score, your approval is not the primary question; securing the best possible terms is. Lenders like Desjardins, National Bank of Canada, Scotiabank, and other 'A' lenders will compete for your business. Your focus should be on comparing offers to find the lowest interest rate. A strong credit history demonstrates reliability, making you a highly desirable client. Even with non-traditional income streams, your application is viewed favourably. For those who are self-employed, lenders are increasingly flexible. Discover more on how Self-Employed? Your Bank Account *Is* Your Proof. Get Approved.
Example Scenarios: 60-Month Used Car Loan in Quebec
The table below illustrates potential monthly payments for various used vehicle prices, assuming a 7.99% APR, which is a competitive rate for a good credit profile on a used vehicle.
| Vehicle Price (After Tax) | Down Payment | Loan Amount | Estimated Monthly Payment (60 Months) |
|---|---|---|---|
| $20,000 | $2,000 | $18,000 | ~$365 |
| $25,000 | $3,000 | $22,000 | ~$446 |
| $30,000 | $4,000 | $26,000 | ~$528 |
| $35,000 | $5,000 | $30,000 | ~$608 |
*Payments are estimates. Your actual rate and payment may vary based on lender, vehicle age, and final credit assessment.
Your strong credit profile often means you can secure financing with little to no money down. While a down payment is always beneficial, understanding your options is key. The principles discussed in our guide on Zero Down Car Loan After Debt Settlement can be useful for understanding how these loans are structured, even for those with good credit.
Frequently Asked Questions
What interest rate can I expect in Quebec with a 700+ credit score for a used car?
For a 60-month term on a used car, a borrower in Quebec with a 700+ credit score can typically expect an interest rate (APR) between 6.99% and 9.99%. The final rate depends on the specific lender, the age and model of the car, and your overall financial profile, including income and debt-to-income ratio.
How do taxes work on a used car purchase in Quebec?
In Quebec, you must pay both the federal Goods and Services Tax (GST) of 5% and the provincial Quebec Sales Tax (QST) of 9.975% on the purchase price of a used vehicle from a dealership. The combined tax rate is 14.975%. This amount is added to the sale price and can be included in your total financed amount.
Is a 60-month (5-year) term a good idea for a used car?
A 60-month term is a very common and balanced option for used cars. It keeps monthly payments affordable while ensuring you pay off the vehicle in a reasonable timeframe. For a newer, certified pre-owned car, this term is ideal. For an older used car, you might consider a shorter term (36 or 48 months) to avoid a situation where you owe more than the car is worth (negative equity) as it ages.
Can I get approved with a 700+ score but non-traditional income in Quebec?
Absolutely. A 700+ score opens many doors. Lenders in Quebec are very familiar with diverse income sources, including self-employment, contract work, or variable income. The key is providing clear proof of consistent earnings, usually through bank statements or tax assessments (Notice of Assessment). If your earnings fluctuate, our article on Variable Income Auto Loan: Your Yes Starts Here offers valuable insights.
Does my 700+ credit score guarantee the best rate advertised?
Not necessarily. While it guarantees you will receive very competitive rates, the absolute lowest 'advertised' rate (e.g., 0.99%) is almost always reserved for brand-new vehicles on manufacturer-subsidized financing. For used cars, the rates are naturally higher. Your 700+ score ensures you get the best possible rate *for your specific scenario* (used car, 60-month term), but it won't be the same as a promotional new car rate.
