In order to become the owner of the coveted car, you just need to get a loan. Many are afraid of the very word credit. But the desire to own a car exceeds the fear of having a car loan. And now you are already sitting at a table at the loan officer, and we are listening attentively to his questions, answering them not always in the way that would be necessary.
Sometimes a person who comes for a car loan does not understand the loan officer at all. He thinks only about how to quickly sign everything and, having received the keys to the car, happy to rush home. And then comes the reckoning for a hasty decision. It turned out that the loan is difficult to repay, since the loan rate is high. Whatever happens, let's take a closer look at this alluring term "Car Loan".
The main thing that needs to be done is to decide on the make of the car. The price of the car must be realistic enough for the borrower's income. The borrower must clearly understand that he will not pay the bank the amount indicated on the price tag in the car dealership, but much more. Now you need to decide on the amount of the initial payment. The amount of the down payment determines the interest rate on the loan. That is, the larger the loan installment, the lower the loan rate.
You can get a loan for a car without a down payment, but then the loan rate will be higher. If the future borrower is officially registered at work and can take a certificate of his income from work, then you can get a loan at a lower rate. The bank, having considered all the submitted documents, makes a decision on the issuance of a loan. The financial institution issues a letter of guarantee to the borrower with the amount of the approved loan. Taking this letter, the borrower goes to the car dealership for the car he likes. There, a contract for the sale and purchase of a car is concluded, an initial payment is made and an invoice is issued for payment.
Now the borrower returns to the bank and gives the lender: the sales contract, the invoice and the receipt for the down payment to the cashier. It remains for the borrower only to sign the loan agreement. The bank will transfer the money to the salon and issue a payment order to the borrower. With a payment order, you can go to the salon for a car. Yes, the procedure is long. It may take several days. But in that case, there is an opportunity to save a lot on interest. If the future borrower cannot provide a certificate of salary from the place of work, then it makes sense to apply for a loan immediately at a car dealership. Now in every car dealership there are representatives of several banks at once. They are very literate and competent.
In the case of a car loan in a salon, you need to focus not so much on the interest rate as on the amount of the monthly installment. The amount of the monthly installment for a car loan must be acceptable to the borrower. That is, the monthly income should be enough not only to pay off the loan, but also for other urgent needs of the borrower. Many are afraid of long loan terms and large overpayments. But in the absence of a permanent guaranteed monthly income, it makes sense to consider a longer loan. Then the amount of the monthly installment will be significantly less.
And one more, no less important question when choosing a car loan: it is registration and payment of CASCO. Some banks offer their clients to issue a loan without CASCO. But in this case, the interest on the loan will be much higher.
