Buying a car is usually an important investment.
Whether it’s second-hand or new dealership, buying a vehicle requires an outlay of money for which we’re not always prepared.
Fortunately, banks usually grant loans with special conditions to purchase a car. The concessionaires also usually do it and the percentage of loans that are requested in them has increased in the last years because their conditions are usually better than those of the banks themselves.
It is clear that whoever has the full money to buy a car is a lucky one. For those who are not so and have to resort to a quick online loan, a loan with bank or the same dealer, we will list the most important recommendations before buying a car:
Be honest and set a budget
Before making the decision to buy a car, it is essential to do a self-examination of our real possibilities. Knowing our ability to borrow and the ability we have to repay the loan, are the best indicators to establish a fixed budget and assess the options, brands and models available.
Analyze all the financing options that we have
As explained above, to finance a car there is the possibility of financing with the bank or with the same dealer. The most striking difference between the two is that dealerships are usually a little less restrictive with the loan requirements since their goal is to sell the car. Although they continue to look at their prospective buyers with a magnifying glass, the concessionaires will not ask for the loan to be associated with other financial products and may require less collateral than a bank, but the interest rate and loan costs may be a little higher. than in a financial institution.
Also quick credits without papers can resolve the amount necessary to complete the purchase of the car that interests us.
Find out about the interest rate and expenses included
Read, read and reread the conditions of the loan that is chosen and calculate on our own with an online loan calculator the total price that we will end up paying when returning all the capital. The small print usually hides expenses of opening and closing operations, commissions and other expenses that can make a loan much more expensive than choosing another loan with a higher interest.
The more input less money to finance
We know that it is not always possible, but giving a considerable amount of money will make the money to be financed less and therefore our economy will not be so resentful each month when having to pay a fee. Keep in mind that some dealers have a minimum and a maximum of money to finance depending on the total amount of the chosen car.
Have at hand the minimum documentation for the processing of the loan
Although it seems an irrelevant recommendation, many loans expire because they do not have the required documentation on time. Try to have your national identity document, driving license, the last 3 payrolls, the last declaration of the rent and any other document that shows payment guarantees.