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self employed finacing?

Discussion in 'Canada' started by tinanbran, Dec 17, 2015.

  1. tinanbran

    tinanbran Member

    Joined:
    Nov 3, 2015
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    Location:
    Oshawa, ON
    Anyone else there whom is self employed? Who did you use for financing? Have a delivery coming in March and want to get things started.
     
  2. Doug_G

    Doug_G Lead Moderator

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    Ottawa, Canada
    Everyone's situation is unique, especially when it comes to the self-employed. It gets a lot easier when you have a long work history. If you're just a couple of years in the banks will look at you very skeptically, unless you can back it up with an asset (e.g. line of credit "mortgage" on your house).

    Perhaps a leasing arrangement might work for you?
     
  3. deonb

    deonb Active Member

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    Location:
    Redmond, WA
    Do you own/is partner in your self employment venture?

    I'm a partner in a company and dont get any salary - just the occasional K1 (or is it K2).

    Anyway. Bought (and financed) both a GMC Denali (price of a 70D) and Nissan Leaf this last year - and did a refinance. Nobody cared about the employment arrangement. It was purely total earnings and credit score.
     
  4. ZachShahan

    ZachShahan Member

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    Dec 3, 2014
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    Location:
    Sarasota, FL / Wroclaw, Poland
    I haven't done so for a Tesla (yet), but had no problem leasing a LEAF. As deonb said, all they seemed to care about was total earnings and credit score.

    Was much simpler than trying to get a loan for a condo in Poland... where everything fell through toward the end of a long process and we had to just buy with cash (a bit stressful). :p

    But good idea to start looking early. Let us know if you find any good avenues. Am saving this thread. :D
     
  5. cwave1

    cwave1 Member

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    Oct 26, 2013
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    234
    Location:
    Mississauga, ON, CANADA
    I am self employed and used the Scotia financing offer 2 years ago that Tesla arranged. Being self employed doesn't change credit approval. It just means they want to see the past 2 years NoAs from Revenue Canada to prove your income.
     
  6. wayner

    wayner Active Member

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    Canadian banks tend to be stricter than US banks - which is just one of the reasons that we didn't have to have a government bank bailout in 2008.
     
  7. Doug_G

    Doug_G Lead Moderator

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    Ottawa, Canada
    US banks have tightened up. I know someone who has been self-employed for about a year, and had trouble renewing his mortgage.
     
  8. Chrisizzle

    Chrisizzle Member

    Joined:
    Nov 25, 2014
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    163
    Location:
    Toronto, Ontario, canada
    I am self employed. I have a good credit rating despite my taxes showing a loss after all my expenses.

    I applied for a lease through Tesla's website in early November 2014. I didn't hear back after a day or so and went to the Toronto Lawrence showroom. I moved forward to purchase a demo Model S and was approved. There were some paperwork delays waiting for Tesla in California but I had my keys in a week.

    After enjoying the car for a month, I got a letter from Tesla saying my credit application was denied. Whaaaat?

    I have to assume it was my online application that was denied. So, my advice is to apply in person at the showroom. At the very least it will be faster to get a yes or no. More over, people on the ground are more practical than people just looking at credit ratings and income through a remote monitor.
     
  9. MikeC

    MikeC Active Member

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    Los Angeles
    I used Alliant. I think they just wanted two years of tax returns.
     
  10. Koryin

    Koryin Member

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    Jul 20, 2014
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    Location:
    Victoria
    I'm in BC and I went through with this earlier in the year before I picked up my car.

    I'm self employed as well and all the banks wanted the last two years of CRA NoA's to show my income. Credit score and current income played very little role in it. Since I only got my current income this year, all the banks denied me.

    Tesla Leasing, however, approved me with very little issue.
     
  11. sitter_k

    sitter_k Member

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    Location:
    Toronto (GTA)
    What was the rate difference between banks and Tesla or did u get that far with the bank?
     
  12. Koryin

    Koryin Member

    Joined:
    Jul 20, 2014
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    Location:
    Victoria
    It was more or less the same as through a bank actually. Vancity offers a good rate for green vehicles and Tesla was pretty close to that. The rest of the banks had a higher rate.
     

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