How to Get a Car Loan with Bankruptcy in Canada

Can You Get a Car Loan with Bankruptcy in Canada?

Yes — even if you've filed for bankruptcy, it’s still possible to get approved for a car loan in Canada. At Dealerhop, we match Canadians with lenders and dealers who specialize in working with bankruptcies, consumer proposals, and bad credit situations.

Types of Bankruptcy Situations We Work With:

• ✅ Recently discharged bankruptcy
• ✅ Currently in a bankruptcy (with permission from trustee)
• ✅ Consumer proposals (filed or completed)
• ✅ Multiple past bankruptcies

Steps to Get a Car Loan After Bankruptcy

1. Check Your Credit Status
   Understand if your bankruptcy is discharged or still active. Lenders typically prefer discharged cases but some will consider active bankruptcies with trustee approval.
2. Gather Key Documents

• Proof of income (pay stubs, bank statements)
• Government-issued ID
• Proof of address
• Discharge papers or consumer proposal documentation

1. Apply with a Specialist Lender
   Dealerhop connects you with Fulfilment Partners who understand bankruptcy situations. These dealers and lenders evaluate more than just your credit score.
2. Choose a Realistic Budget
   Focus on vehicles that fit your income and monthly budget. Being realistic increases your approval odds.
3. Get Pre-Approved Before Shopping
   A pre-approval helps you understand your financing limits and makes car shopping stress-free.

Tips for Getting Approved

✅ Have a steady job or source of income

✅ Stay within a reasonable budget

✅ Consider a down payment to reduce risk

✅ Be honest about your credit situation

✅ Choose a lender that specializes in bankruptcy cases

Why Choose Dealerhop?

🚗 We work with bankruptcy-friendly lenders across Canada

💳 No minimum credit score required

💼 We help match you based on income, not just credit

🔄 Trade-ins accepted — even with negative equity

📍 Nationwide coverage with in-store or at-home delivery options

Start Here:

Apply Online at Dealerhop.com to see what you qualify for — there's no obligation and no impact to your credit score to get matched.