Second Hand Car Finance – How Does It Work?
Buying a second hand car is a wise decision and if you have made this decision, it is time to make sure that the purchase does not hurt your budget. You can get a car of your choice with second hand car finance. The loan is offered by reliable lenders in the industry and it is available for all car brands and types. You need to remember that the car should not be more than eight years in age. It is possible to own a premium used car at the cost of a brand new car.
Head to the used car market and take a look at all the available models. You need to take a test drive in the car you shortlist. It will give an insight into the performance of the car. Nobody wants to invest in a car that will require high maintenance in the long run. Hence, take a test drive and choose a car that fits your needs. Check the engine, brakes, lights and overall condition of the car. Shortlist the models that you are interested in and then approach the lender.
Application procedure and documents
The loan application procedure is simple and hassle free. In order to apply for the loan, you ned to be above the age of 21 and have a valid driving license. You can make an online loan application by filling up the application form and submitting the necessary documents. You need to provide identity proof, address proof, invoice of the car you want to own, salary slip and passport sized photographs. You need to make a downpayment before you apply for the loan. You can make the minimum amount of downpayment or make a higher downpayment if you have excess funds on hand. Once the downpayment is made, the balance amount will be your loan.
Tenure and interest rate
Before you sign on the loan documents, you need to compare the rate of interest offered by different lenders in the market. Low interest rate will make it easier for you to make the loan repayment on time. Different lenders have varying interest rate and you can compare the same online. The loan has to be repaid in EMIs over the tenure. Hence, you need to consider the monthly inflows and outflows before you agree on the EMI amount. Timely payment of dues will help build a strong credit score.
With second hand car finance, it has become possible to own any car of your choice. You do not need to worry about the purchase price or your budget. Simply decide on the car you want to own and make a loan application. You are only required to make the downpayment at the time of purchase and the balance can be paid while you use the car. The hassle free and simple loan application procedure makes it easy and convenient to get a quick approval and an instant disbursal of the funds.