When anyone starts savings they thought about a particular car, and save the money according to the car’s cost. After saving the money for 5-6 years, they chase their dream car. When finally they reach the showroom to borrow the car, they came to know that the price has increased. They feel helpless, do not know what to do next. Many of them take the wrong decision, they opt for a personal loan what costs much more money than normal.
Then what is the best choice to grab the dream car? The answer is the Car loan.
Car loan in India is very reliable we can get a car loan here very easily by doing some simple steps. But first of all, we need to understand why do go for car loans, not personal loans for borrowing a car.
A personal loan is used for any purpose, but a car loan is only for borrowing the car. To get a better understanding we compare both these loans to each other:
A personal loan is an unsecured loan, the interest rate of a personal loan is much higher than any other loan, car loan interest rate is much lower than the personal loan rate.
Credit score plays a major role in getting a personal loan, a car loan does not need a higher credit score.
A personal loan has many more regulations than a car loan.
We discuss little the difference between a personal loan and a car loan. But it always depends on the borrower, what type of loan they want to purchase their car.
Let us look out for the benefit of a car loan in India:
It gives you the chance for borrowing money when you don’t have all the money.
Most of the car loans finance the on-road price of the car.
Some car loans do not even charge downpayment also.
In India, car loans are basically secured loan, this means the car is used as its own security or collateral basis.
Car loans are not meant only for a new car, it is also applicable for the used car( in India what we call second handed car), used car loan help people to borrow a pre-owned car.
So, there are lots of options available to buy a car from the car loan. First of all, arrange all documents what is required for the car loan or can say a car loan required documents in one word. The documents are important to fulfill the legal criteria to grab the car loan, do not worry these are basic documents that require for the car loan.
Visiting the showroom of the cars, choose the car and ask for the details of that car from the price to its maintaining charges and procedure. Cause owning a car is not everything, maintaining it properly is the major key. Ask for the insurance, it is also very important otherwise your money will waste after 2-3 years. Do not go for any luxury car that can not fit your budget. Always remember one thing owning one car means you have to invest two cars’ cost, which includes the maintenance charge as well as insurance charge.
Do not worry too much before applying for the car loan, visit the bank’s site and check all the details, and going through the instruction before fill-up the form very well. If you have any query regarding it, call them in their official number otherwise visit the near branch of that bank and discuss your queries, they will definitely help you out to solve all the problems and sort out all your queries.
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