Loans secured by a car are becoming more and more popular with residents every year. This is explained quite simply – when a vehicle acts as collateral, the borrower’s chances of receiving the necessary amount increase significantly. At the same time, the borrower himself can freely use the car without restrictions.
However, a loan product such as a car loan is issued by credit organizations on a variety of conditions. If you choose the company carelessly, you run the risk of serious financial problems, and the overpayment for such a loan will be maximum.
Why is a loan secured by a car – is it profitable?
It is possible to apply for a loan for a car very quickly and simply, for this the client will not need to spend a lot of time out of strength. At the same time, he will receive an individual proposal from the creditor within 30 minutes. The client can sign the contract both electronically and by contacting the company’s branch.
The name of the loan service “loan secured by a car” does not mean at all that this loan can be provided on the security of an exclusively passenger car. One of the advantages of this company is the possibility of providing both cars and trucks, as well as motorcycles, scooters, boats, tractors, and other equipment as collateral. Another advantage of this company is a very quick loan agreement, so that the client can get his car on the day of application. At the same time, he absolutely will not need to draw up a contract and order a car rating.
And, of course, each of the company’s clients can count on the support of loan specialists and an individual approach.
Car Loan Terms of Service
You probably already understood that cooperation will be the right decision, it remains only to consider more specifically the conditions that the company offers its customers on a car loan product.
As we said earlier, any vehicle, not just a passenger car, can act as a guarantee. At the same time, an important advantage of the company is the possibility of issuing a loan in an amount that reaches the full market value of the car (100%).
The maximum loan amount that a client can count on is 10,000 dollars, the minimum loan amount is only 500 dollars. Loan terms – from 6 to 84 months. In this case, the client will not need to independently calculate the interest that he will have to pay. It is enough just to choose the amount of the necessary loan and its term on the company’s website, after which the system itself will calculate the estimated monthly payment, and the client will also be able to get a payment schedule that will make it possible to understand in more detail what amount he will need to pay each month.
The process of issuing a loan secured by a car
The process of issuing a loan secured by a car is very simple and consists of four stages:
- Customer is applying for a loan
- The company’s loan specialists review this application, evaluating what conditions they can offer the client, and then contact the latter
- The client decides whether the conditions offered by the company are suitable for him or not. In case of a positive decision, he signs a contract, and draws up a vehicle
- In case of successful completion of the previous stages, the client receives money in his account, and repays the debt every month. At the same time, throughout the entire loan period, he calmly uses his car for its intended purpose and without restrictions.
As for the requirements that the company makes to its customers, in order to successfully agree on an application for a car loan, the client must be an citizen or have a permanent residence permit, he must be 18 years old, and he must also have a source of constant income. In addition, the credit history of the borrower will be of no small importance. It is better if there are no flaws in it.