Types of loans
Scotiabank has financing solutions tailored to your needs if you want to buy a new or used car, a motorcycle, a boat, or an RV.
- Auto loans
With an auto loan from Scotiabank, you can borrow up to $200,000 to purchase a car of your choice — either a new one or one no older than seven years. You can stick to either a fixed or variable rate and the term of up to 8 years. With flexible payment options, you can choose to pay on a weekly, bi-weekly, or monthly basis.
- Grad auto loans
If you have graduated recently or are about to, Scotiabank has a financing solution to help you buy a new or used car up to 3 years old. To qualify for a grad auto loan, you should start your full-time job within 90 days from purchasing a vehicle.
This lending option provides 100% financing and allows you to skip payments for up to 90 days.
- StartRight auto finance program
For newcomers to Canada, Scotiabank offers the StartRight auto finance program. Under this program, borrowers with no Canadian credit history can apply for a car loan and purchase either a new or a used car up to 4 years old. In addition, newcomers to Canada can get up to $75,000 in financing and pay it back within up to 5 years.
- Marine and boat loans
If you want to buy a boat, Scotiabank can lend you up to $200,000 for the purchase. The boat of your choice can be of any age, and the loan term can be up to 20 years.
- Motorcycle and leisure vehicle loans
Need money to buy a new or used motorcycle, all-terrain vehicle (ATV), quad, snowmobile, or personal watercraft (PWC)? Scotiabank has financing options for that. Apply for a motorcycle and leisure vehicle loan and pay it back within up to 6 years.
- Recreational vehicle loans
To buy a new or used RV of up to 12 years old, you can get financing of up to $200,000 from Scotiabank. The loan term can be up to 20 years, and the amount of the down payment is up to you.
How to apply?
Over 4,000 dealerships across Canada partner with Scotiabank, which means you can apply for an auto loan right where you shop for a car.
Requirements
To qualify for car loans from Scotiabank, you need to be at least 18 years old. To verify your identity, residency, employment status, and financial capabilities, have the following information and documents at hand:
- Your passport, your driving license, or a valid government-issued ID
- An employment letter
- A salary slip
- CRA My Account Assessment or recent NOA and corresponding T1 General 4-page summary (for self-employed)
With certain types of car loans, Scotiabank will check your credit score — ideally, it should be 650 and higher. StartRight auto finance program allows you to apply for a car loan with no Canadian credit history.
To apply for a grad auto loan, be ready to provide a college diploma, a university degree, or reasonable proof of graduating within 90 days. In addition, you will need to show a letter from your employer or a contract with your start date to verify that your job starts within 90 days and your income will allow you to pay for your loan.
To qualify for the StartRight auto finance program, you should be a Canadian resident for three years or less. To apply, have Proof of Permanent Residence or Foreign Worker status at hand and provide the date of your arrival in Canada.
Pros and cons
Here are the definite pros of Scotiabank auto loans:
- A possibility to apply for Scotiabank financing at the dealership
- The flexibility of payment schedules
- No penalties for making lump-sum payments or paying off your car loan in full early
- An opportunity to manage your loan through online or mobile banking
- A possibility to take a payment break and postpone one payment per year
As for the cons, beware of the following:
- Applying for a Scotiabank car loan is only available through dealerships
- The maximum amount to borrow under a grad auto loan is unclear
- The interest rates are not present online, so you will need to reach out to dealerships to find them out
- When you postpone a monthly payment to take a payment break, interest will still accrue
- Variable interest rates are not available in Quebec
How to make a payment?
You can pay for your Scotiabank car loan directly from your bank account — either online or through the Scotiabank mobile app. You can also set up automated payments on the due date to avoid late fees.
