Today we went to a Toyota dealership to take our first car: a certified pre-owned Toyota Yaris 2012, 45000 km, automatic transmission, 5 doors, 3 years official warranty, plus a few nice options my wife didn’t tell me about 🙂
The actual car looks brand new, there is no single scratch on it, the color is the same dark grey. The reason I post a photo from the Internet not the actual photo of a car is simple: it’s late evening in Vancouver, I cannot make a good photo now 🙂
Buying a car in Canada is simple. You come to a dealership and speak to a sales representative. Find a car that looks right for you and ask for a test drive. If this is not a brand new car, you discuss all the service they did, warranty, financing options etc. And apply for a car loan.
Yeah, it is nice to have a great credit rating before you apply for financing. But if you don’t have any… Noone gives a crap if you’re willing to pay a little extra. For instance, our car was priced at about $15K CAD + taxes. We arranged a $6K downpayment and Toyota was very comfortable about it. They offered us a loan at interest rate of 1.9% per annum, ~$520 payment per month for 2 years. Huh, I wish Russian dealerships could offer anything like this.
Documents they required were very simple to collect. Employment verification letter from the company, $500 upfront, a bank draft to pay the rest $5,500, social insurance numbers for me and my wife, driver license of those who will actually drive a car. That is about it.
One extra thing that helps is a reference letter from foreign insurance company that you have a number of years of safe driving. Each year gives you a discount of 5% for your ICBC insurance.
So we applied for a loan on Monday, on Thursday the car was ready for pick up. Since we were busy on Thursday, we arranged to take the car today. In two hours all the paperwork was done and we were good to go 🙂
Car insurance. Insurance here is a complicated and expensive matter. Since we don’t own the car in full yet, we have to insure not only a third-party liability, but the car itself. Medical expenses in case of a car accident might be ridiculously high, so we went for 3 million dollars max coverage with $1000 deductible for both car and liability, and it resulted in $280 of monthly payment for insurance only. Fucking expensive! 😦 But.. lowering the coverage to $1 million (minimum) was not a game changer anyway, it was like $40 saved per month.. Not bad, but it is not something to fight for.