Fix a budget and assess your need before going out to shop for a car and a loan. Here’s how you should go about it.
CHOOSE LENDER
You can find out the interest rates offered by various lenders at one spot through loan portals, or visit the banks individually. Choose a few you like and negotiable for lower interest rates and choose the cheapest. Remember to check for special discounts, if any
COMPLETE DOCUMENTATIONS
Typically, you would need an identity proof (permanent account number card, passport), income proof (salary slip, From 16) and address proof (ration card, phone bill, electricity bill). Usually, lenders send their representatives to collect the required documents. Do keep a copy with yourself.
WAIT FOR VERIFICATION
Once your documentation is complete, the lender will send its agent to your home and/or workplace for verification. Make sure you are available during the visit to clarify doubts, if any.
GET LOAN
If the lender is satisfied with your verification, he will get the loan papers signed by you and disburse the loan in the form of a cheque or a demand draft soon after.
Average Car Loan Rate Ranges between 8 % to 11 % , While charges applicable are:
Charges for late payment (loans) is 2% per month on the outstanding installment
