Many people dream of buying a car, but not everyone can afford it due to the high cost. And here installments and car loans come to the rescue, which are designed to solve the problem of lack of money in some part of the population. However, you need to be well versed in all the variety of lending options in order to get installments on really favorable terms.
Instructions
Step 1
Dozens of banks offer a wide variety of car loan services at various rates. Every day the terms of the loan are becoming softer, but the more banks, the more different options there will be. In one place, for consideration of an application for a car, you can present only a couple of documents, and in another you will have to submit many different additional certificates. So, the first aspect of lending that you need to pay attention to is the documents required for obtaining an installment plan.
Step 2
The next important parameter is the time of making a decision on the issuance of a car loan. Some banks consider the application immediately, while others ask to wait a long time, sometimes up to two weeks. For many, the most important parameter is the lending rate. However, you should pay attention to various "commission" fees and additional payments, the amount of which can significantly exceed the loan percentage itself.
Step 3
The easier it is to take out a loan, the more you will pay for its use. To calculate the cost of your installment plan, look at the increase in the price of the selected car. Each bank calculates payments in its own way, so first write down all your payments for each month, and only then add the resulting numbers and determine where the conditions are really more profitable. Some banks, by lowering the interest, add additional money, for example, for servicing a loan.
Step 4
Please note that many banks require additional car insurance under the CASCO and OSAGO programs. This adds about 10-12% to the cost of the loan, although the cost of insurance directly depends on the value of the car.
Step 5
When choosing a car loan, read the terms of the agreement in detail before signing it, and not after. The document must describe all the terms of the loan and indicate the full interest rate, as well as the cost of the machine itself.
