Yukon Pickup Truck Financing: Your 72-Month Loan with a 600-700 Credit Score
Navigating the truck financing landscape in Yukon with a credit score between 600 and 700 puts you in a strong position. You're past the deep subprime category and are often considered a "near-prime" borrower. This calculator is tailored specifically for your situation: financing a pickup truck over a 72-month term in a territory with the significant advantage of 0% Provincial Sales Tax (PST).
Use the tool below to get a clear, data-driven estimate of your monthly payments and understand what lenders will be looking for to give you the green light.
How This Calculator Works for Your Scenario
This calculator is pre-configured with the key details of your search to give you the most accurate estimate possible. Here's what we've already factored in:
- Province: Yukon (0% Provincial Sales Tax applied). While the 5% federal GST will be added at the dealership, the lack of PST gives you a major cost advantage over other provinces.
- Credit Profile: 600-700 Score. We've adjusted the estimated interest rate (APR) to reflect what lenders typically offer in this range for a valuable asset like a pickup truck. Expect rates from approximately 8.99% to 14.99%, depending on your specific financial profile.
- Vehicle Type: Pickup Truck. Lenders often view trucks favourably because they retain their value well, which can sometimes lead to better terms.
- Loan Term: 72 Months. This longer term helps keep monthly payments manageable, though it's important to remember that it results in more interest paid over the life of the loan.
Example Pickup Truck Loan Scenarios in Yukon (72-Month Term)
To give you a real-world perspective, here are some typical financing scenarios for popular used pickup trucks in Yukon. We've used an estimated interest rate of 11.99% APR, a common rate for a 650 credit score. Note: These are estimates for illustration purposes only. OAC.
| Vehicle Example | Vehicle Price | Down Payment | Amount Financed | Estimated Monthly Payment | Total Interest Paid |
|---|---|---|---|---|---|
| Used Ford F-150 | $35,000 | $3,000 | $32,000 | ~$622/mo | $12,784 |
| Used Ram 1500 | $42,000 | $4,000 | $38,000 | ~$738/mo | $15,136 |
| Used GMC Sierra | $50,000 | $5,000 | $45,000 | ~$874/mo | $17,928 |
Your Approval Odds: What Lenders See in a 600-700 Score
With a score in the 600-700 range, your approval odds are generally Good to Very Good. Lenders will approve you, but they will look closely at two key factors to determine your interest rate and final loan amount:
- Income & Stability: Lenders need to see consistent, verifiable income that can comfortably cover the new payment. For those with non-traditional income streams, options are still very much available. If you're in this situation, it's helpful to understand how to present your earnings. For more details, see our guide: Self-Employed? Your Bank Account *Is* Your Proof. Get Approved.
- Debt-to-Service Ratio (DSR): This is a critical metric. Lenders calculate the percentage of your gross monthly income that goes towards debt payments (rent/mortgage, credit cards, other loans). They want to see that your new truck payment won't push your total DSR above 40-45%.
- Down Payment: While not always mandatory, a down payment is the single best way to improve your loan terms. It reduces the lender's risk, lowers your monthly payment, and can help you secure a lower interest rate. Even if you think you have nothing to put down, it's worth exploring the possibilities. Learn more in our article: Your Down Payment Just Called In Sick. Get Your Car.
Frequently Asked Questions
What interest rate can I really expect in Yukon with a 650 credit score for a truck?
For a 650 credit score on a pickup truck, a realistic interest rate (APR) would typically fall between 9.99% and 15.99%. The final rate depends on factors like your income stability, the size of your down payment, the age and mileage of the truck, and your overall debt load. A larger down payment and a stable job history can help you secure a rate at the lower end of that range.
How does the 72-month term affect my pickup truck loan?
A 72-month (6-year) term lowers your monthly payment compared to shorter terms like 48 or 60 months, making a more expensive truck more affordable on a month-to-month basis. However, the trade-off is that you will pay significantly more in total interest over the life of the loan because you are borrowing the money for a longer period.
Is a down payment required for a truck loan with a 600-700 credit score?
It is not always strictly required, but it is highly recommended. For borrowers in the 600-700 credit range, a down payment of 10% or more demonstrates financial stability to the lender, reduces their risk, and almost always results in a better interest rate and a higher chance of approval for the exact truck you want.
Does Yukon's 0% PST really apply to vehicle financing?
Yes. Yukon does not have a Provincial Sales Tax (PST). This means the total amount you finance is based on the vehicle price plus the 5% federal Goods and Services Tax (GST). In a province like British Columbia with 7% PST, a $40,000 truck would have an extra $2,800 in tax added to the price. In Yukon, you save that entire amount, which reduces both your loan principal and your monthly payments.
Can I get approved if I have a past credit issue but my score is now over 600?
Absolutely. Lenders understand that financial situations change. A score above 600 shows you are actively rebuilding your credit. They will be more interested in your recent payment history (the last 1-2 years) and your current income stability. A past event like a consumer proposal doesn't automatically disqualify you. For more on this specific situation, check out our resource on The Consumer Proposal Car Loan You Were Told Was Impossible.
