How to Get a Used Car Loan: Simple Tips and Tricks to Get the Best Vehicle Loan

Features of Used Car Loans

Let us take you through some of the features of used car loans which you can avail to make a deal with second-hand car sellers like Auto Best Emperio:

• Used cars are priced depending on the on-road price of the model when you buy it through a car loan. Moreover, the price is inclusive of a margin of Rs.25,000 to fund the registration process, insurance for the vehicle and other addition of accessories in it.

• About 60% to 85% of the on-road price of the car is covered under the loan provided by the auto-financing institution.

• Used car loans are only provided on purchasing a vehicle which is not more than 3 years of age. In some special scenarios, the age of the used vehicle cannot be more than 5 years.

• Just like new car loans require you to pay a processing fee, similarly, a car loan for a used luxury car in India also levies a processing fee of 0.5%.

• Tenure for repayment of a used car loan is from 3 years to 5 years. Note that the tenure cannot be extended beyond this period for used car loans.

• EMIs to be paid against used car loans are comparatively lesser than a new car loan.

• However, the rate of interest charged on the sum borrowed solely depends on the lender.

• Down payment for used car loans is usually 15% and more.

• Upfront instalments are not charged for used car loans as in case of new car loans.

• Before applying for a car loan for used luxury cars, be prepared for paying high equated monthly instalments (EMIs) since the tenure for the repayment is comparatively shorter than new car loans.

• There is a vast scope in bargaining when you make a second-hand car purchase under the used car loan scheme.

• Private loan providers demand fewer documents as compared to public financial institutions like the public sector banks.

• Prepayment penalties can be more easily waived off in case of used car loans.

• Going for a second-hand car purchase by the aid of a used car loan is an effective way of securing an asset for your future and your perusal without having to dig deep into your income.

Important pointers for second-hand car buyers through used car loans

Tips to get a used car loan

Following are some of the ways by which you can easily get a car loan for purchasing a second-hand car at an affordable rate.

• Keep track of your Credit score: A greater credit score yields a lower interest rate on the sum borrowed. Hence, you must maintain a good credit history that depicts your financial well-being of the repayments of your EMIs or credits on time.

• Estimate your budget: Depending on your financial stability and the income you earn; you should set a budget limit within which you decide to make a purchase. Taking greater value car loans and being unable to pay the EMIs might drag you into a difficult state; therefore, it is better to estimate your limits beforehand.

• Check your affordability: Since buying a car is a big investment commitment, it requires you to analyse your monthly expenses before you sign up for buying a car through auto financing. You should not spend more than 10% of your monthly income on a vehicle.

• Compare various dealings: Do not rush into buying a car. Instead, take your time for proper research. Use the internet to compare various cars and dealers including the offers and prices enlisted. Check for the ones in your budget so that you can make a profitable deal within your capacity.

• Get loans from a trusted financial institution: Even though non-banking financial institutions pose competitive and interesting deals; it is always better to opt from reputed banks for a car loan in India so that you can get the best value loan with flexible tenure and low-interest rate.

Features of Auto Best Emperio’s (ABE) gallery

If you check out our website featuring a well-advanced gallery of luxury cars, you will find various models of cars which are designed by international manufacturers being sold at an affordable rate. You can also pick any of them to own by simply applying for a car loan for used cars from ABE and achieve your dream of buying that luxury car.

The reason why Auto Best Emperio is considered one of the top sellers of second-hand cars in Delhi is that it not only caters to look after the interests of its customers but also serves them in the best of their stature. We provide easy financing solutions by providing loans from the reputed banks in the country. With a minimum down payment requirements and lower loan processing fees, we at Auto Best try to make sure that our customers are satisfied with their purchase.

Depending on the terms and conditions of the banks, Auto Best also tries to minimise the interest rate and provide a longer tenure for easy repayment procedure. Thus, you can be assured that purchasing from Auto Best Emperio will be worth an investment to opt for.

Here are some of the other services we offer:

• Buying and selling of used cars.

• Providing insurance for the cars from reputed and well-renowned insurance providers.

• Installation of car organisers and gadgets.

• Settlement of claims.

• Loans from reputed banks.

• Online calculation of EMIs via car loan EMI calculator.

• Car servicing in Delhi.

For more details on the related topics of purchasing a second-hand car, you can check out our official blog. Moreover, you can also reach out to us through the Auto Best Emperio website at https://www.autobest.co.in/. We also provide online selling of cars, therefore, if you ever wish to make an online car purchase you can visit our gallery and check out the list of cars in it. Some of the imported cars to take a glance at include Mercede Benz, Range Rover, Volvo, BMW, Bentley, Cadillac, Mini Cooper, Audi, Ferrari, Jaguar, etc.

Read More:

1. How GST affects your Used Car Price?
2. 10 Tips for Financing a Car
3. 10 Ways To Save On Your Car Insurance