We all need a car and we all like to have one of our own. In the past, people used to first save and then buy a car, but not any more... Nowadays, life without a car is simply unmanageable. As a result, there is an increased demand for car finance, all over the world. Take advantage of the growing competition in the auto loan market to get a fair deal.
Typically, every potential car buyer wants a loan that is cheap and feasible. Hence, cheap car loans are highly in demand in the UK market. One can choose from a cheap new car loan and cheap used car loan, depending upon his preference.
As a common rule, an auto loan is a secured loan and the vehicle itself serves as collateral for the loan amount. However, some lenders do give the option to pledge something else as a deposit.
As the name suggests, the APR of a secured cheap car loan is comparatively low as compared to standard car loans. Usually, these loans offer an extended pay back duration, which makes the EMI’s (Equal Monthly Instalments) less burdensome for the borrower.
Market also offers unsecured cheap car loans and in rare cases cheap bad credit car loans. However, these loans come at comparatively high APR’s and fixed repayment plans.
EMI’s always depend upon the financial position of the borrower. Hence, one must have a clear idea of his finances and should choose the repayment plan that would best suit his pay back ability.
Please note that conversion or exchange and saving money for a sizeable down payment also helps in getting a good deal. So, investigate to find out which ensures the finest deal.
It is very important for the loan seeker to stay focused on his goal of getting the most for his money and to save as much as he can on his auto loan. In that direction, resist alluring offers from aggressive salespeople, and explore the required car model and related products along with the necessary finance.
Do proper homework to find a cheap car loan... Selecting a lender for a good deal is as important as selecting a car. There are a number of cheap car loan providers in the UK and most of them are approachable online. Use the user-friendly internet platform to negotiate with them.
Article Source: EzineArticles.com
Friday, March 30, 2007
You Can Get Cheap Car Loans Now
We're talking here of that dapper car you set your sights on today. The car you can't wait to own; the car whose perfect metallic finish awaits the caress of its owner and to be driven, wheels zooming. The possibility is not distant that you could be that owner and driver. And the possibility is brought closer to you by something called car loans.
Car loans are the passport to the territory of your cherished car. Cheap car loans are slowly becoming the order of day.
Car loans can be secured or unsecured. In case of secured car loan, you may have to pledge your car (else your house) as security. In case of unsecured car loan, you may have to produce your income documents. In any case, you are closer than ever to a cheap car loan.
Secured car loans have an advantage of much lower interest rate of repayment and flexible terms of repayment. This means that not only will you have lesser amount to pay every month but also a longer period to repay it in. This option sure makes your car loan repayment easy.
The only thing to be careful about, in case of secured car loan, is that be it your car or your house, it stands the risk of repossession if you are unable to repay your loan in time.
Unsecured car loans do not require the security of collateral, or your property: be it your car or your house. This is good news for those who do not either have property to place as collateral or do not wish to expose their property to the risk of possession. Circumventing such risks entail a price of its own, namely a higher rate of interest on the loan amount and, at the same time, shorter repayment period.
To procure cheap car loans, try getting as many quotes from different lenders, so that you have more scope for comparing loans and their different criteria and terms.
Article Source: EzineArticles.com
Car loans are the passport to the territory of your cherished car. Cheap car loans are slowly becoming the order of day.
Car loans can be secured or unsecured. In case of secured car loan, you may have to pledge your car (else your house) as security. In case of unsecured car loan, you may have to produce your income documents. In any case, you are closer than ever to a cheap car loan.
Secured car loans have an advantage of much lower interest rate of repayment and flexible terms of repayment. This means that not only will you have lesser amount to pay every month but also a longer period to repay it in. This option sure makes your car loan repayment easy.
The only thing to be careful about, in case of secured car loan, is that be it your car or your house, it stands the risk of repossession if you are unable to repay your loan in time.
Unsecured car loans do not require the security of collateral, or your property: be it your car or your house. This is good news for those who do not either have property to place as collateral or do not wish to expose their property to the risk of possession. Circumventing such risks entail a price of its own, namely a higher rate of interest on the loan amount and, at the same time, shorter repayment period.
To procure cheap car loans, try getting as many quotes from different lenders, so that you have more scope for comparing loans and their different criteria and terms.
Article Source: EzineArticles.com
Thursday, March 29, 2007
Car Loans After Bankruptcy - Tips to Getting Approved
A car loans after a bankruptcy is one way to help build back your credit history. In fact, once your bankruptcy closes, you can apply for a car loan the next day. To get approved with the best rates for your car loan, follow these tips.
Review Your Credit Report
Before you start applying for a car loan, check out your credit report and make sure all your accounts are in order. It is not uncommon after a bankruptcy to see open accounts that should be closed, which hurt your credit rating.
While looking at your credit report, consider adding a page explaining the situation that resulted in your bankruptcy. If there were extenuating circumstances, lenders may approve you for a better rate than under normal conditions.
Plan Your Car Purchase
Before purchasing a vehicle, decide what you can afford in a monthly car loan payment. This will help you decide which financing package is best for you. Both the loan amount and length of payments will determine your monthly payments, so there is flexibility in determining which vehicle you can afford to purchase.
Use A Car Loan Lender
Car loan lenders make their money by finding you a loan. Car loan lenders work with several financing partners to back loans with all types of credit risk, including bankruptcies.
Online car loan lenders deal with thousands of loans, and can usually find you a better deal than your local car dealerships. Online car loan lenders will send you a check when you are approved, basically making you a pre-approved car loan buyer.
Consider Refinancing
Once you are approved for a car loan, keep your eye on future refinancing. By making regular payments on all your bills, in a year’s time you could qualify for significantly lower interest rates. In three years, you can build your credit score to near excellent and qualify for even lower rates.
Article Source: EzineArticles.com
Review Your Credit Report
Before you start applying for a car loan, check out your credit report and make sure all your accounts are in order. It is not uncommon after a bankruptcy to see open accounts that should be closed, which hurt your credit rating.
While looking at your credit report, consider adding a page explaining the situation that resulted in your bankruptcy. If there were extenuating circumstances, lenders may approve you for a better rate than under normal conditions.
Plan Your Car Purchase
Before purchasing a vehicle, decide what you can afford in a monthly car loan payment. This will help you decide which financing package is best for you. Both the loan amount and length of payments will determine your monthly payments, so there is flexibility in determining which vehicle you can afford to purchase.
Use A Car Loan Lender
Car loan lenders make their money by finding you a loan. Car loan lenders work with several financing partners to back loans with all types of credit risk, including bankruptcies.
Online car loan lenders deal with thousands of loans, and can usually find you a better deal than your local car dealerships. Online car loan lenders will send you a check when you are approved, basically making you a pre-approved car loan buyer.
Consider Refinancing
Once you are approved for a car loan, keep your eye on future refinancing. By making regular payments on all your bills, in a year’s time you could qualify for significantly lower interest rates. In three years, you can build your credit score to near excellent and qualify for even lower rates.
Article Source: EzineArticles.com
Car Loans Are Easy To Get, But Watch Out
Besides the excellent conditions offered by some car loan dealers, they will also help you get a better price for the car you want, since their professional mediation is more powerful than most privates.
Watch Out For Dark Cats
The reference to “dark cats” is that they all look the same at night. So with some light and a good eyesight you’ll be able to pick out what is convenient for you. If your credit rating is less than perfect, you just need to apply for a secured loan, in which the payment is secured with the car itself. Secured loans are something like a white elephant, but they are an option too and will depend on your good financial background.
Three Variables
No doubt about this: Interest Rate, payback term and insurance. Interest rate and payback term as essential condiments of the loan and insurance to cover your back. But you are essentially shopping for a car, giving you the most important job to carry out after the loan is dealt with. You can try independent operations or have both done through the broker, but work out if there is a real advantage in having one operator perform everything for you.
A Good Way To Know
Little things like wanting to make you change your decision on the choice of a car or model, will give you a hint. They might be luring you into something convenient for them and not necessarily for you. It’s so easy to just say “Yeah, sure, let’s go ahead”, and they’re really not offering you your own convenience but theirs.
A Different Deal For Each Situation
If you are an employee, for example, you may want to apply for a novated lease, in agreement with your employer. This means that the payment is taken from your pre-tax salary, making your taxable income a little lower. If you should change jobs before the loan has expired, the car and the novated lease go with you to your new job.
Article Source: EzineArticles.com
Watch Out For Dark Cats
The reference to “dark cats” is that they all look the same at night. So with some light and a good eyesight you’ll be able to pick out what is convenient for you. If your credit rating is less than perfect, you just need to apply for a secured loan, in which the payment is secured with the car itself. Secured loans are something like a white elephant, but they are an option too and will depend on your good financial background.
Three Variables
No doubt about this: Interest Rate, payback term and insurance. Interest rate and payback term as essential condiments of the loan and insurance to cover your back. But you are essentially shopping for a car, giving you the most important job to carry out after the loan is dealt with. You can try independent operations or have both done through the broker, but work out if there is a real advantage in having one operator perform everything for you.
A Good Way To Know
Little things like wanting to make you change your decision on the choice of a car or model, will give you a hint. They might be luring you into something convenient for them and not necessarily for you. It’s so easy to just say “Yeah, sure, let’s go ahead”, and they’re really not offering you your own convenience but theirs.
A Different Deal For Each Situation
If you are an employee, for example, you may want to apply for a novated lease, in agreement with your employer. This means that the payment is taken from your pre-tax salary, making your taxable income a little lower. If you should change jobs before the loan has expired, the car and the novated lease go with you to your new job.
Article Source: EzineArticles.com
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