Automotive Financing

Reliable Auto Financing in Oshawa, Ontario

At Ontario Motor Sales, we pride ourselves on transparency throughout the car buying process, including the financing process.

Because buying a car is one of the biggest purchases you will ever make, it’s important that you have all the facts when it comes to deciding how you will pay for your new car. That’s why we’ve gathered information to help you better understand the auto financing process.

Why finance a car at OMS?

The OMS team has served the people of Oshawa and surrounding areas for over 95 years. That’s given us plenty of time to build a financing process that’s fast, competitive, and tailored to our community of customers.


Kristi Sawyer OMS Finance

Kristi Sawyer

Catherine Clarke

Nadia Bateni

Nadia Bateni

Winston Williams


Can I apply online?

Of course! Our online car loan application is straightforward and quick to complete. APPLY NOW

What’s the difference between a line of credit and a personal loan?

A personal loan is a lump-sum loan for a large, one-time purchase (such as a car). Personal loans are given a term during which debtors make structured payments on a weekly, bi-weekly, or monthly basis. Interest is calculated based on the full loan amount. A line of credit, on the other hand, is used for ongoing purchases and may be secured against the equity in your house. You’re given a set amount from which you can withdraw at any time for any purchase, and you only pay interest on the amount used. If your LOC (line of credit) is secured, you are only required to pay the interest each month. If you LOC in unsecured, which means it is not tied to the equity in your home, you are required to pay a percentage of the remaining balance on a monthly balance. For example, if the payment requirement is 3% each month, you would be required make a minimum payment of $300 on a $10,000 LOC.

What should I do if my application is turned down?

The first step is to find out why. We can help review your credit report and point out areas that resulted in denial so you can work on correcting them. We understand, though, that rebuilding your credit isn’t always a quick process - at least not quick enough to happen in a day at our dealership. Depending on the institution with which you submitted your application, we may be able to provide alternatives.

Why do some lenders have really high rates?

Having bad credit is very similar to having a poor driving record. You may have to pay higher insurance premiums if you have had some at-fault accidents, or multiple driving infractions. Once you have had a reasonable length of time driving without any issues, your insurance will go back to normal. Lenders look at credit the same way. Many lenders are willing to take a chance, but will charge a higher rate because there is a little more risk for them. Once you have made positive repayment history over a period of time, you may qualify for lower rates on a newer car.

What if I have bad credit?

No problem. For us, “bad” is a matter of opinion and degree. We work with customers in all credit situations, including damaged or no credit, bankruptcy, consumer proposal, missed or slow payments, and new immigrants. If you’re worried about your credit status, stop by our dealership or give our finance team a call. We’ll take the time to review your unique credit situation with you, find a car you’ll love, and build a plan you can manage with full confidence.

Can I qualify even if this is my first vehicle purchase?

Yes! It doesn’t matter if this is your first time buying a car or your 50th. All we need is information about your credit history, income and expenses. Even if you have no credit history, our financing professionals will work with your to find a suitable option.

Which loan institutions do you work with?

OMS has built relationships with a number of local and national lenders including GM Financial, TD Canada Trust, Scotiabank, Scotia Dealer Advantage, Bank of Montreal, RBC, Auto Capital Canada, Desjardins, Cars on Credit, Carfinco and Industrial Alliance Trust.

What information will I need to provide?

Our secure credit application will ask for standard personal information such as your name, address, and contact information. Additionally, you’ll need to provide information regarding your housing status, income, and job. Feel free to explore our credit application and get acquainted with the process before submitting!

What are your loan requirements?

While we don’t maintain any base-level requirements, we do review personal information for certain qualifications.

How long does it take to get approved?

Thanks to speedy online application processes, getting approved for a car loan is faster than ever. OMS can process your application in a matter of minutes, and most of our partner lenders work just as quickly. In the event that a bank takes longer than your schedule allows, our relationships allow us to move things along with a quick phone call.

Can I pay my loan off early? Should I?

All loans can be paid off early. With Dealership Financing, the benefit is yours. Loans are calculated through a “simple interest” calculation so if you decide to pay the loan off early or trade the vehicle in, you would have only paid interest on the vehicle until that point, and there are no early payout fees. Of course, you’ll need to decide for yourself if paying a loan off makes sense. First, calculate how much you’ll save by eliminating payments and interest accrued. For low-interest car loans, this amount may not add up to much. Next, take the money you’d put into extra payments and calculate how much you could make by investing that amount in a high-yield savings account. If you could make more investing, then an early payoff may not make sense. Currently, though, interest rates on GICs, Term Deposits and savings accounts are relatively low, so keep that in mind.

How are car payments structured?

Here’s the simple explanation: a lender gives you a fixed sum of money now in exchange for a guarantee that you will repay that amount with interest over a given period of time. Common car loan agreements span 4 or 5 years, but dealerships have flexibility to offer both short-term loans as well as longer term loans up to 72 or 84 months. Many major lending institutions offer dealer plan finance programs that give the dealership the opportunity to offer rates that even the best qualified customers might not be able to get through the same institution at their own branch.

How can I find out more about my credit history?

Canada’s major credit-reporting agencies, Equifax Canada and TransUnion Canada, can provide you with a copy of your credit report, including your credit score.

What does my credit score mean?

Reporting institutions calculate credit scores to assist lenders in risk assessment. Credit scores range from 300 to 850, with 720 being the general benchmark for “good” scores. Knowing your credit score before you apply can help you understand the type of loan you’re able to pursue. Factors that affect credit score include:

  • Timeliness of payments
  • Credit history length
  • Type and amount of debts
  • Your public records

How are auto finance decisions made?

Typically, finance institutions consider these five important factors when determining your approval and interest rate:

  • Credit score: A three-digit summary of your credit report
  • Down payment: How much cash you’re willing to pay before the loan
  • Term length: The amount of time during which you’ll pay your installments
  • Total debt servicing: The monthly payments of your current credit cards, mortgages and installment loans compared to your monthly income
  • Vehicle condition: Age, mileage, and cost
  • Personal information: The information you enter on your financing application helps lenders assess any risk associated with potential debtors. Lenders place more weight into your expense-to-income and loan-to-income ratios and career length.