Second-hand cars are much easier to get in today’s era. They cost lesser than the new ones, and within the same budget, you may enjoy a better ride. Second-hand car loans can be borrowed either from banks or NBFCs. Just check your eligibility and get a used car loan financing online.
Why Have A Second-Hand Car Over Fresh One?
Brand-new cars might come with all the new features, but they will surely cost you a fortune. So it’s better not to put stress on the pocket and purchase a second-hand car. The second-hand car will cost you half the amount, and choosing wisely may reward most of the new features as well. The value of a new car depreciates with every passing year. So getting a second-hand car, riding it until satisfaction, and then re-evaluating is a great deal. Also, in this pandemic, it is safer to use a personal vehicle than to use a public transport medium to keep social distance.
Advantages of Used Car Loan Financing
Due to the digital India movement, all the processes have gone digital. Now you can apply for a second-hand car loan online. Just visit the lender’s website and find the best option according to you need to apply online.
Other advantages of used car loan financing:
- Flexibility in repayment of the loan.
- Competitive interest rates.
- Easy and simple application process.
- Attractive schemes for specific car models.
- Simply available documents are required.
- Quick disbursement of the loan amount.
- Fast approval, merely takes an hour after all documents have been verified.
- The tenure period ranges from 1 year to 5 years.
Eligibility Criteria for Loan
There are some specific criteria that one is required to fulfil to be eligible for a second-hand car loan. These are listed below:
- It would help if you were a Salaried, Self-employed or an Agriculturist.
- Your age must be between 21 and 65 years from the time of application and end of the loan tenure.
- The minimum net salary must be 15000 per month for a salaried person and a net profit of 1.5lac per annum for a self-employed person.
After you meet these requirements, you may proceed to the application process to get your used car loan financing.
Applying for a Second Hand Car Loan
The process for used car loan financing is straightforward.
Here are listed the steps to apply for the loan online:
- Go to the lender’s website and click apply now on the used car loans page.
- A form will be presented to you, fill up the details, and proceed to the next step.
- You will get an OTP on the number that you filled in the form. Enter the OTP.
- Choose your current location and proceed.
- Select the car model you would like to purchase.
- Some necessary details will be asked, fill them, and submit the form.
- A customer care representative from the lender will contact you and walk you through the next steps for your used car finance.
For the offline application process, walk into your nearest lender branch, talk to the representative, and they will walk you through the application process.
Some details about the loan that you need to know:
- The loan will cover up to 95% of the car cost for specific models.
- A one-time non-refundable charge will be levied for the processing of the loan.
- A few nominal charges will be applicable for the processing of the loan. Apart from these no hidden charges will be applied.
- The pre-payment of the loan is possible with a nominal charge.
- You can choose a tenure period from 12 months to 60 months.
- A down payment can get you better interest rates, which will benefit you in your loan repayment. A 20% down payment can get you the best interest rates.
Used car financing is much more profitable than you think. Also, Muthoot Fincorp offers the best policies and repayment options for these joyful rides. Just forget about being stubborn for a new car and enjoy the benefits of having stylish, convenient, affordable, and a fantastic self-owned car.