Guide The Step-by-Step to Availing Used Car Loans in India
The first major purchase that all youngsters do when they become financially independent is to buy a car. It’s more than a mode of transport. It’s a way to signal freedom. Also, owning a car is a great way to escape from the hassles of congested public transport.
However, most youngsters don’t have the necessary funds to buy a brand new car. This is where used car loans come into play.
Reasons for Buying Used Cars
Most people opt to buy a used car before choosing a brand new car. There are three main reasons behind this.
- One, honing your driving skills is easy when you drive a used auto loan, avoiding new car jitters.
- Two, the cost, used cars are comparatively cheaper when compared new vehicles.
- Three, the depreciation, used cars don’t depreciate much and hence you can sell it off for a price that’s nearer to the one you bought it for.
Now, that you have decided to buy a used car, the next question that arises in your mind is, “How to refinance the car?”
The easiest way to get the funds is to apply for a car loan on used cars. A used car loan is the money you obtain from a lender to buy a second-hand car or used vehicle. The loan amount generally covers around 75% to 90% of the total expenses.
Step-by-Step Guide for how to get a used car loan
- Decide on the model and make
Choose a model that fits within your budget and meets your specific requirements. Most lenders look at the age and model of the car before sanctioning your loan. Choose a relatively newer model to make your loan approval easy.
- Save for the Downpayment
Financial institutions do not grant the total amount as loan. You have to pay an initial amount from your pocket. So, calculate the down payment and ensure that you get it ready.
- The Loan Features
Once, you have saved for the down payment the next step is to decide on the features of the loan like the tenure, whether you’ll repay the loan amount in EMIs or periodic payments and so on.
- Shortlist your Available Options
Once you have decided on the criteria, look around for options. Do your homework and find the right lender who offers you the best-used car loans.
- Approach the Lender
Finalise on one lender and then fill in the application, submit the required documents. The lender then checks whether you’re eligible and processes your application. Once satisfied, they disburse the loan amount.
Voila, you’re done! Avail scar loans for used car and drive your first four-wheeler. For great deals and comparison of loans from the different car loans brokers visit www.antworksmoney.com.
