At the peak of the development of bank lending, more and more often you can hear about buying a car on credit. This is the right decision, because thanks to the car loan system, you can become the owner of a car without paying all of its cost right away with cash savings. But in order to correctly pay off the loan received with the bank, you must adhere to the car loan repayment procedure specified in the loan agreement.
It is necessary
- - car loan agreement;
- - insurance contract.
Instructions
Step 1
Carefully read the terms of the loan agreement for the purchase of a car. Such a loan agreement must necessarily include: the brand of the purchased car, the repayment schedule, loan repayment terms, the amount of the monthly payment, penalties for late repayment and other conditions.
Step 2
Make monthly payments according to the loan repayment schedule specified in the loan agreement. There are two ways to repay your car loan on a monthly basis: annuity payments or differentiated payments. With an annuity repayment schedule, the car loan debt is repaid in equal amounts. And with a differentiated repayment schedule, the amount of your monthly payment will constantly decrease. Such repayment methods are negotiated at the time of concluding a loan agreement for the purchase of a car.
Step 3
Pay monthly installments according to the due dates set in the repayment schedule. In case of late repayment, the amount of the penalty for the late payment is added to the monthly payment amount. Remember that frequent untimely repayment of monthly payments will entail the formation of a "negative" credit history for you, as a borrower of this bank, and will affect the subsequent decisions of the bank on the advisability of issuing other loans to you.
Step 4
Renew your car insurance contract. When concluding a loan agreement, a prerequisite was the insurance of the pledged object, which is the purchased car for car loans. Usually, insurance contracts are drawn up for a period of 1 year, but since car loan contracts are concluded for 5-7 years, then you need to go through the procedure of renegotiating the insurance contract for the next year yourself.
Step 5
Check with the bank the amount of the last repayment of the car loan, as it may be different from the amount specified in the repayment schedule. After the full repayment of the car loan agreement, the bank must remove the arrest from your car and remove it from the register of pledged objects. Then the bank employees must put a mark on the loan agreement - "repaid" and certify this mark with the signature of the head of the department.
