Car Finance Tips
With a car financing, you can buy your dream car. The car loan is an installment loan and comply concumenten credit. Find out more information about cheap car loans and a loan for the car.
How can you pay off your auto financing?
Installment loan (LAO) with an installment loan is a loan that you can pay off 100%, an advance is not mandatory. You pay on a regular basis (monthly, quarterly, half yearly or annually), a unique long as the loan amount from your credit car running. Your payment includes a piece to pay off capital and interest a lot. The term of your payment depends on the amount borrowed. Hire purchase, you pay off your new or used car. You pay an advance on the total amount of the loan. The minimum and maximum amount you can borrow are usually located between € 2,500 and € 50,000. In the hire purchase you can determine the monthly repayment. You can pay to eg 30 months or 120 months. The longer you paid off, the more you paid. Installment sales is usually the cheapest rate is lower because the formula. Special version: special variant of the loan or hire purchase in addition to the special name of the formula by striking a very low payment amount associated with a high eindsom.
Where can you apply for a car finance?
* The bank
You can apply for a car loan at the bank, this will usually only offer an installment loan. A car loan can also be obtained from the dealer where you can pay by installment loans and credit sales.
* Credit companies attached to a car brand
The credit companies associated with a car, often offer a choice of three options: an installment loan, a credit sales (except when the loan is here including an advance of 15% required) and a special variant of the loan or hire purchase in addition to the special name of the formula stands out for a very low payment amount associated with a high eindsom.
* The credit broker
The credit broker colostrum you to installment loans.
The interest on a car finance
Utgedrukt The interest will be included in the APR (eg 5%) The interest rate charged will be determined by three main factors:
* The interest rate
* The loan amount
* The installment
The law provides the rule: APR: APRC. This rule with you as a consumer and a basis for different auto loans can be compared. All additional costs must be apprehended in the APR. The law prohibits any additional expenses beyond the APR subsequently charged. Example: Suppose you borrow and € 7.500 to 18 monthly installments of € 435.55 does an annual charge of 5.80%, then the total cost of credit € 339.99.
Maximum repayment terms for a car loan
The maximum repayment terms are set by law:
1. <€ 1.250 € 2.500 € – 24 months 2. € 2.501 to € 3.700 – 30 months 3. € 3.701 to € 5.600 – 36 months 4. € 5.601 to € 7.500 – 42 months 5. € 7.501 to € 10.000 – 48 months 6. € 10.001 to € 15,000 – 60 months 7. > 15,001 to 84 maanden
Additional insurance – Outstanding
You can use a little extra insurance that you and the person with whom you enter into loan guarantees in case of death. In practice, the entire debt forgiven if the insured dies.
Some additional tips
* Before you sign a contract for a car loan, it is advisable to ask for several quotes
* Decide for yourself whether the monthly payment is feasible
* Use the APR as a basis to compare
* Many providers offer loan simulations, so you can go online to compare
* Please note that the interest rate for used cars is higher than that of new cars