Who does not want to own a car and enjoy a great lifestyle? Having your own car is convenient way to commute and of course a great way to enjoy the weekend getaways as well. If not a new one, you may decide to go with a pre-owned car as well. If lack of money is what is stopping you from owning a used car, you can now apply online for personal loan for used car. In fact, taking a quick personal loan for used car is a better financing option than taking a used car loan from a bank. An online short-term loan from a new age digital consumer lending platform such as CrediFiable is a fast and hassle-free way to arrange finance for your needs. A used car personal loan can save you money and hassle vis-à-vis a second-hand car loan from bank.
Quick Personal Loan for Used Car vis-a-vis a Second-Hand Car Loan
You can get a second-hand car loan from different financial institutions, both the banks and the NBFCs. The age of the car, model primarily determine the eligibility for loan amount. Interest rate for used car loans from bank usually varies between 13% to 18%, and the tenure goes up to 5 years to 7 years. But the pre-owned car from a bank comes with its own set of issues. The foremost being that you will never get 100% finance on the used car from an established financial institution.
Now, if you, instead decide to apply online for personal loan on a digital consumer lending platform, you would not only get a quick personal loan for used car but also 100% finance. This is a completely unsecured loan. Here you do not have to offer your vehicle as a security and would be the true owner right from day-one.
Here are the Benefits You’d Get When You Apply Online for Personal Loan for Used Car
Let us now look at all the other advantages of taking a used car personal loan.
1. Get Maximum Finance with a Used Car Personal Loan
When taking a second-hand car loan from bank, you will get only 80-90% of the car price. Further, the bank will not consider the value that you have agreed to pay the seller. Instead they will have their own officer assess the used vehicle and assign it a value. So, the actual down-payment that you may have to arrange can be higher that 10% – 20% of the total amount you would have to pay the previous car owner.
When you take a used car personal loan from CrediFiable, you can take a loan up-to Rs.5 lakhs. This is a good amount to cover the cost of multiple small – mid-sized second-hand cars.
2. Online Short-Term Loan is better for Depreciating Asset
When you take a second-hand car loan from a bank or an NBFC the tenure of the loan can go up to 5 – 7 years as well. You must appreciate that a car is a depreciating asset. When you buy a second-hand car, its value would have already decreased from original market price. For its’ remaining life too, the value would only diminish over time. If you have a longer tenure loan, you would keep paying interest over longer time and hence, incur total higher interest cost.
Instead, when you take an online short-term loan from CrediFiable, the maximum repayment tenure is 36 months. This means that your overall interest cost will be much lesser as compared with a longer tenure loan.
3. Used Car Personal Loan is Unsecured & Comes with No Extra Charges
CrediFiable provides online personal loan for salaried employees. Hence there is no security or mortgage required. You also need not bring in a guarantor to avail the loan. So, you would not have to put your car on mortgage. Which means you will be the real owner of your car from day-one of its’ registration.
Moreover, you would also not have to bear the “RTO charges” and the other documentation charges related to hypothecation of your car. With CrediFiable used car personal loan, you only need to pay a one-time processing fee of 2% to 3% of the loan amount.
4. Online Short-Term Loan for Used Car Even Without Credit History
When you apply online for personal loan on CrediFiable, our risk engine carries out a holistic risk appraisal. It will go beyond the traditional CIBIL score and you can get a loan even if you have limited or no credit history. Apart from your credit score, we consider other details such as your education and employment details. This helps us to sanction you a quick personal loan for used car or any other purpose even if you have thin credit history.
5. Enjoy Zero Hassle When You Apply Online for Personal Loan for Used Car
With an online short-term loan from CrediFiable, say goodbye to hassle of endless paper-work. You can visit our website at a time convenient to you and fill a simple online application form and just upload all your documents online. With automated loan application process, you can get the approval in just 5 minutes. So, enjoy a zero-hassle quick personal loan for used car from CrediFiable.
To conclude, go for used car personal loan when you are buying a pre-owned car and looking for higher financing.