Car Deal Canada

BMO Car Loan Rates

BMO Car Loan Rates
BMO Car Loan Rates

BMO Car Loan Rates

About BMO

BMO car loan rates are some of the most favorable rates in Canada.

Meet the Bank of Montreal (BMO), a distinguished Canadian multinational investment bank and financial services company. With its establishment dating back to 1817 in Montreal, Quebec, BMO holds the esteemed title of Canada’s oldest bank. While its head office continues to reside in Montreal, its executive offices are located in Toronto. As one of the “big five banks” in Canada, BMO stands tall as the fourth-largest bank in the country in terms of market capitalization and assets.

Irrespective of the type of vehicle you’re in search of, BMO is your go-to source for obtaining the car loan you require! Whether you have your sights set on a sleek car, a sturdy truck, or a practical SUV, BMO is here to assist you in securing the ideal car loan that meets your needs and financial goals.

About BMO

BMO car loan rates are some of the most favorable rates in Canada.

Meet the Bank of Montreal (BMO), a distinguished Canadian multinational investment bank and financial services company. With its establishment dating back to 1817 in Montreal, Quebec, BMO holds the esteemed title of Canada’s oldest bank. While its head office continues to reside in Montreal, its executive offices are located in Toronto. As one of the “big five banks” in Canada, BMO stands tall as the fourth-largest bank in the country in terms of market capitalization and assets.

Irrespective of the type of vehicle you’re in search of, BMO is your go-to source for obtaining the car loan you require! Whether you have your sights set on a sleek car, a sturdy truck, or a practical SUV, BMO is here to assist you in securing the ideal car loan that meets your needs and financial goals.

7.99%

On Approved Credit

Current Lowest BMO Car Loan Rate

Current BMO Used Car Loan Rates

Loan terms of less than 78 months

7.99% - 10.99%

OAC

Loan terms of 84 months

7.99% - 9.99%

OAC

Loan terms over 84

7.99% - 10.99%

OAC

Car Loan Application showing BMO Car Loan Rates

BMO Car Loan Calculator

Want to find out your payments with a BMO Car Loan? 

Discover the full potential of our car loan calculator to effortlessly gauge your monthly payments with the Bank Of Montreal. Just enter your desired BMO car loan rate from the rate sheet above and select the terms that align perfectly with your preferences.

We understand the significance of maintaining your budget while embarking on the quest for your dream car. That’s precisely why we’ve created a specialized car payment calculator, designed to cater to this very need. This powerful tool serves as your guiding compass, providing invaluable insights into your payments, and ensuring you remain on track throughout the process.

Rest assured, the calculator is meticulously designed to ensure that the car loan rate you choose harmonizes seamlessly with your financial aspirations. Armed with this valuable information, you can confidently make an informed decision, bringing you closer to the car you’ve always wanted.

BMO Car Loan Questions?

BMO offers competitive car loan rates in Canada. For new car loans, rates can range from 7.99% to 8.99% for terms up to 84 months. For used car loans, rates are slightly higher and can range from 8.99% to 10.99% for terms up to 84 months. The rate offered will depend on factors like your credit score, loan term, down payment amount, and the age and mileage of the vehicle if it’s used. BMO also charges a one-time loan processing fee of $195 for auto loans.

BMO offers flexible terms on their car loans ranging from 12 months up to 96 months (8 years). Shorter terms of 12-60 months are common for new cars while used cars often get longer terms of 72-96 months. Going with a shorter term means you’ll pay less interest but your monthly payments will be higher. Longer terms have lower monthly payments but more interest paid over the full loan. When getting a BMO car loan, choose the longest term you’re comfortable with the monthly payments on.

To qualify for the lowest BMO car loan rates, you’ll generally need good to excellent credit. Here’s a rough guide on credit score requirements:

 

– Excellent credit (720+): Best rates of 7.99% to 8.99%

– Good credit (680-719): Standard rates of 8.99% to 9.99%

– Fair credit (640-679): Higher rates of 9.99% to 10.99%

 

The higher your credit score, the lower your interest rate will be. If your score is under 640, you may not qualify for a BMO car loan. Improving your credit can help you access better rates.

BMO typically requires a minimum down payment of 20% of the vehicle purchase price for new cars and 10% for used cars. With a larger down payment, you can reduce the amount you have to finance and qualify for better interest rates. For those with excellent credit, BMO may offer financing for down payments as low as 0% on certain new car models through manufacturer incentives.

There are a few ways to apply for a BMO auto loan:

 

– Online through BMO’s website. You can get pre-qualified online without affecting your credit.

– Over the phone by calling 1-877-262-5907. A BMO lending specialist can take your application by phone.

– In person by meeting with a BMO loans officer at a branch. They can help guide you through the application process.

– Through a BMO approved auto dealership. The dealer handles the application and loan process.

 

You’ll need to provide personal and financial information for the application including your SIN, income, employment details, expenses, and debts. The process takes 1-2 business days.

When you apply for a BMO car loan, either online, in branch or through a dealer, make sure you have these documents handy:


– Proof of income – recent pay stubs or T4s

– Proof of address – utility bill, lease agreement

– Proof of auto insurance if available

– List of assets and liabilities

– Down payment amount

– Copy of driver’s license

– References – names and contact info

 

Having these documents ready speeds up the application process so you can get approved faster.

BMO can provide fast approvals on car loan applications. Here is the typical timeline:

 

– Apply online or in branch: 1-2 business days for approval

– Apply at dealership: Same day approval possible

– Documentation provided: 30-60 minutes for approval decision

– Funds deposited: Within 24 hours of signing loan agreement

 

Once approved, you’ll receive a loan agreement to review and sign. Bring proof of insurance to release the funds into your account. Then you can pick up your new vehicle.

Yes, BMO allows customers to get pre-approved for a car loan before shopping for a vehicle. Pre-approval locks in an interest rate and loan amount for up to 90 days. To start, you can apply online or visit a BMO branch. You’ll provide details on the type of vehicle you plan to purchase but you don’t need to have selected one yet. If approved, you’ll receive a pre-approval letter to show dealers as you negotiate and shop stress-free knowing your financing is secured.

Yes, BMO does offer auto loan refinancing options. If you have an existing car loan with another lender at a higher rate, you may be able to refinance with BMO and lower your rate, payment, or term length. BMO refinancing can apply to both new and used vehicles. To qualify, you’ll need to meet credit requirements and certain loan-to-value limits based on the current value of your vehicle. Start the process online or at a branch and provide current loan details.

BMO has a few optional loan protection add-ons for car loan borrowers:

 

– Credit Protection – Covers your loan balance in case of disability or job loss

– Guaranteed Asset Protection (GAP) – Covers difference between loan balance and insurance payout if vehicle is totaled

– Extended Warranty Protection – Adds warranty coverage beyond manufacturer’s term

– Replacement Cost Protection – Pays out full vehicle replacement cost rather than depreciated value if totaled

 

Ask your BMO loans officer which protections may be applicable to your situation. They do add a cost to your loan but can provide peace of mind.

Here are the main fees to be aware of with a BMO car loan:

 

– Origination fee: $195

– Prepayment penalty: None

– Late payment fee: $29 per month

– Returned payment fee: $45

– Lien registration fee: $52

 

Ask your BMO representative to explain any fees before signing your loan agreement so there are no surprises. Avoid penalties by making on-time payments each month.

Yes, BMO allows vehicle trade-ins and private sales for financed cars. However, your outstanding loan balance will need to be paid off first before releasing the lien. To trade-in, work with the dealership to have your loan paid out as part of the deal. For a private sale, you will need to pay the full buyout amount on your BMO auto loan from the sale proceeds before transferring ownership. Contact BMO to find out your current payoff amount.

BMO offers several convenient payment options:

 

– Set up pre-authorized debit payments from your BMO bank account

– Use online or mobile banking to make one-time payments

– Pay at a BMO branch or ATM

– Mail cheque payments to BMO Auto Payment Services

– Arrange for payments to be withdrawn from an account at another financial institution

 

Your monthly loan payment amount and due date will stay the same over the full term. Contact BMO if you need to discuss alternate payment arrangements.

If you’re struggling to make payments, don’t ignore the situation. Call BMO as soon as possible to discuss your options:

 

– Defer payments temporarily if you have short term financial hardship

– Modify your payment schedule to bi-weekly or semi-monthly instead of monthly

– Extend your loan term to lower your payment (will increase interest paid)

– Refinance your loan at a lower rate to reduce payment

– Sell your vehicle and pay off the loan balance

 

Avoid missed payments, defaulting on your loan or repossession by proactively communicating with BMO early on.

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