Used cars are a great value for money option; historically buying one was expensive. Buying a second-hand vehicle is now easier because of customer friendly finance options by banks and non-banking financial companies (NBFCs) across India. Lenders have simplified the application procedure and minimized the time taken for the entire process to be completed.
Here are four features and benefits of pre-owned vehicle loans
1. Quick processing
The complete loan application and processing is fast, transparent and hassle-free. Furthermore, documents needed for availing of such loans are minimal.
2. Higher loan amount
Lenders may provide up to 120% of the price of the vehicle.
3. Longer repayment tenure
You may choose a flexible and convenient Equated Monthly Installment (EMI) structure based on your financial situation. The tenure for a second-hand car loan may be up to 7 years. This ensures you do not have financial difficulties while repaying the amount.
4. Affordable borrowing costs
Contrary to belief, a used car loan interest rate is affordable. This ensures you are able to purchase the car you want without worrying about finance.
Having understood the features and benefits of such loans, here are three eligibility criteria you must meet to avail used car finance -
- Minimum Age – 21 years
- Maximum Age of the vehicle – 10 years
- You must be residing at the location and working with the company for at least one year
Documents to be submitted along with the loan for used cars application form -
- Photo identity proof
- Residence proof
- Latest photograph
- Three months bank statement (salaried customers) and six months statement (self-employed)
- Income documents
Before applying for second-hand car finance, it is important you research different options available from the lenders. You may also check your eligibility through their websites. Furthermore, you may estimate the EMI using an online calculator for making an informed decision. Get a loan for second-hand car today and enjoy driving in comfort in your own vehicle.