Buying a car is always a welcome and joyful event. But, often, to buy a car you have to work for years, save money, and the prices of cars only increase. The easiest way to buy a car is to use car loan services. Therefore, in our article we will tell you how to buy a car on credit..
Today, most banks in Russia offer car loan programs. But many borrowers who are faced with a car loan program for the first time are wondering where to start? After the car enthusiast has chosen the brand and model of his future car, two options for obtaining a loan appear in front of him.
The first option is to apply for a loan at a car dealership.
The second option is to independently choose a bank and car loan program.
When buying a car on credit, you should carefully choose a car salon. If the choice is made, the salon employees will tell you on the spot about banks that offer their lending services and advise on the account of credit programs provided by banks..
When choosing a bank and its credit program on your own, you should carefully study the entire banking structure, all the details of the credit program. Determine the interest rate, get acquainted with all the conditions of car loans.
How to buy a car on credit. Action plan and list of documents
When choosing any of the two options, the algorithm of actions when applying for a car loan remains unchanged.
Steps when buying a car on credit:
Choosing a car dealership and car loan bank.
Selection of the optimal lending program.
Collecting the necessary documentation.
Applying for loan approval.
Waiting for a response from the bank, about a week.
Today there are banks that offer their customers to get a car loan in just a couple of hours, presenting only two documents. To obtain such a loan, the borrower needs a passport and any second document (driver’s license, military ID, etc.). But such loans are more expensive than ordinary consumer and car loans, and the maximum loan amount is limited..
The conditions stated by the bank do not always correspond to reality. Sometimes it takes weeks to consider an application from a borrower in a place of two days, and in place of two documents it is necessary to provide a lot of additional.
To avoid surprises, the borrower should study the requirements of the bank, collect all the necessary documents before buying a car on credit.
Mandatory documents when applying for a loan in most Russian banks are:
— photocopy of your passport;
— a photocopy of the husband’s or wife’s passport;
— for married persons — a copy of the marriage certificate;
— photocopy of driver’s license;
— a photocopy of a work book, all pages of which are certified by the employer;
— certificate No. 2-NDFL on the amount of wages at the main place of work.
— copy of military ID, for males.
When choosing a loan for buying a car, the borrower must take into account not only the interest rate, but also the additional costs of processing and issuing a loan, insurance and making a loan account.
How to buy a car on credit. Car loan
Obtaining a car loan in car dealerships is an ideal option. The borrower gets rid of the need to look for a bank himself and draw up all the documents. Specialists of car dealerships will do everything themselves, the only thing that is required of the buyer is to choose the car they like and provide all the necessary documents.
In addition to the advantages of car loans, there are also disadvantages. First, after the loan is issued, the borrower is obliged to transfer a certain amount to the bank on a monthly basis. If within three months no funds are received from the borrower, the bank is entitled to collect the car as compensation and pay the borrower only the difference from the cost of the car and the amount paid for the loan. Second, a big overpayment for the car. That’s all you need to know to answer the question of how to buy a car on credit.