How to finance tires & rims in Canada

Quality tires are essential to the safety, fuel economy and handling of your vehicle. Unfortunately, they’re also quite expensive—especially if you add new rims into the equation too. But if you’re looking for tire financing in Canada, there are plenty of options to choose from. Keep reading to learn how to get new tire financing and find the most affordable option.

1. Get tire financing through a tire shop using a payment plan

How it works: You can get convenient financing from your tire shop at the point of purchase. Buy Now Pay Later (BNPL) providers like Sezzle and Afterpay allow you to split the cost of your purchase into four equal payments across a six-week period. There’s no interest to pay with BNPL financing.

Alternatively, many tire shops allow you to access new tire financing with a monthly payment plan. You can split your purchase into monthly payments over a period that commonly ranges from three to four months, with longer repayment periods available from some lenders. 0% financing is available if you have strong credit.

Tire shops with BNPL tire financing

Check out the table below for details of tire financing options provided by popular tire shops across Canada.

2. Finance tires using a personal loan

How it works: You can use the funds from a personal loan for any purpose, including buying tires. However, major banks often have minimum loan amounts of $2,000 to $3,000 or more, so you may need to consider a personal loan from a credit union or alternative lender to fund your purchase. Repayment periods range anywhere from 3 to 60 months, and rates of 6.99% to 35% are available based on your credit score and income.

3. Finance tires with a credit card

How it works: If you have a low-interest credit card, you can use the card to pay for your new set of tires. Credit cards with the lowest purchase rates offer interest rates of around 8.99% to 12.99%, and using your credit card is a quick and easy way to fund your purchase.

Can you get tire financing with no credit check?

Yes, you can finance tires with no credit check in Canada. Most BNPL providers will only conduct a soft credit enquiry rather than a hard credit pull, so you can apply without it affecting your credit score and potentially qualify for a BNPL plan if your credit history is less than perfect.

Some alternative lenders also offer no credit check personal loans. They’ll look at your income and employment situation rather than your credit score when assessing your loan application, but high interest rates and fees apply.

Can you get tire financing with bad credit?

Yes, bad credit tire financing is available from alternative lenders that offer bad credit personal loans. These lenders work with borrowers with all types of credit, and they’ll assess factors such as your income and existing debts before deciding whether you can afford loan repayments.

But these loans come with high interest rates of up to 35%, and you’ll need to check the fine print for any fees that apply.

Can you get guaranteed approval for tire financing?

If you’re looking for easy tire financing, a lender promising guaranteed approval can sound like an attractive prospect. But be wary of any lender that guarantees loan approval.

Reputable lenders need to assess your income and financial situation before offering a loan. They will take care to ensure that you can afford to make loan repayments before they send any funds to you.

So if you’re promised approval, you could be dealing with a predatory lender or even a personal loan scam.

How much do tires cost?

The cost of tires varies depending on factors such as the brand you choose, the type of tire (such as three-season or winter), the size of the tire and how many you need. If you’re buying a set of four, prices can range from around $500 to well over $1,000.

It’s also worth noting that electric vehicles need tires capable of supporting their extra weight and fast acceleration, and that also limit road noise and help maximize their range. As a result, you can expect to pay around 20-30% more for EV tires.

Check the table below for details of the approximate price ranges for different tire types.

Are there any special rebates or offers for tires?

Yes, there are. Many popular tire brands like Michelin, Bridgestone, Pirelli, Firestone and others regularly offer customer rebates to help you save on the cost of tires. Depending on the retailer and tire brand you choose, the rebate may be instantly applied at checkout or you may need to fill out a rebate form and submit it online or by mail.

You’ll generally need to purchase a set of four eligible tires to qualify for a rebate or special offer. Leading tire shops prominently display current promotions on their websites, so it’s worth shopping around to find the best deal.

Bottom line

There are several ways to finance tires and rims in Canada. 0% financing is available on approved credit, and you can spread the cost of your tire purchase out over an extended period to help make it more affordable. Compare tire financing options to find the right funding for your needs.

Frequently asked questions

• What's the best place to finance rims and tires?

  The best place to finance rims and tires depends on your personal financial situation. If you've got strong credit, you might be able to qualify for a Buy Now Pay Later plan or competitive financing through a tire shop. Alternatively, you could pay for your tires with a personal loan or credit card, but you'll need to watch out for high rates if you have bad credit.

• Can you get Costco tire financing in Canada?

  Yes. If you use a CIBC Costco Mastercard to pay for your tires, you can pay the purchase off in monthly installments with a CIBC Pace It Installment Plan. The interest rate you pay depends on whether you choose a 6-month, 12-month or 24-month plan, and a 2% one-off fee also applies.

• Can you get winter tire financing in Canada?

  Yes. Many tire shops partner with third-party lenders and Buy Now Pay Later providers to offer in-store and online winter tire financing. Alternatively, you could apply for a personal loan from a private lender or credit union to buy winter tires, or pay for your purchase with a low-rate credit card.

• Can you do monthly payments on tires?

  Yes. Many tire stores allow you to pay for your tire purchase with monthly payment plans offered by providers like Affirm, Flexiti Financial and LendCare. Repayment plans commonly range from 3 to 24 months but can be longer in some cases, and 0% financing may be available on approved credit.

To make sure you get accurate and helpful information, this guide has been edited by Leanne Escobal as part of our fact-checking process.

Written by

Tim Falk

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Tim Falk is a freelance writer for Finder. Over the course of his 20-year writing career, he has reported on a wide range of personal finance topics. Whether you're investing in stocks and ETFs, comparing savings accounts or choosing a credit card, Tim wants to make it easier for you to understand. When he’s not staring at his computer, you can usually find him exploring the great outdoors. See full bio

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