We often say that the best full amount to buy a car, not a loan. However, restricted by the limited funds or other reasons, we often still forced to buy a car loan. But now, many lending model, which actually select the most economical mode of lending it? In this regard, you may wish to listen to me and you said said.
the most stable lending model – Bank Loans
by banks for a loan to buy a car used to be a good choice, because the bank’s low interest rates, and covers all major car, as long as invoicing car sales company for a possible agreement to apply for bank loan procedures, bypass the auto dealers, brokers do not make the difference.
interest rates, the current car loan interest rates within three years of the bank’s mostly in the 5 percentage to 6 percentage, but some bank lending rate for three years as the Agricultural Bank of China and Bank of China will be higher than 10 percentage. Overall, the benefits of bank loans that cover a wide range, and generally low interest rates, there is no “middlemen” and therefore costs are often not too high.
However, bank lending is not worth very recommended car loans mode. Because now, there are many banks have closed personal car loan business, so many times we need a security company, but this will be a “middleman”, let’s get rid of one of the advantages of bank loans.
Secondly, bank loan procedures are very complicated, requires considerable data to show, such as identity cards, proof, nearly a year of bank water, proof of social security and so on, and the process is very close to home loans. Coupled with the current threshold for personal bank loans has further improved, so the budget for this low-income or everyday people, bank personal loans is not recommended.
simple and convenient mode of loans – credit card loans
reduce bank personal loans, followed by the rise of credit card loans. Cumbersome than the bank personal loans, credit card loans handContinued becomes a lot simpler, lenders only need ID card, proof of income and other basic materials to pay up, basically waiting for the credit review can be solved.
and credit card payments mode and also as an ordinary credit card, either through online payment, you can let it automatically debit, very convenient indeed. Most credit card repayment date of a month also, but each payment required to pay a certain fee. Sounds like credit card repayment really good, but we still have some caveats. When
First of all we purchase can not down payment by credit card, although generally require a down payment of not less than 20 percentage of the purchase price, but the actual banks generally require 30% or more. Second, the interest rate paid by credit card will be higher compared to bank lending rates, three-year loan interest rate is generally around 10 percentage even more. With a $ 100,000 car, for example, after the first Fusan Cheng loans of $ 70,000 installments for the 36, 10 percent interest rate, which is 7,000 yuan, to close to 1 times higher than the bank loans. In addition, credit card loans tend to have a certain amount, ranging from 3 to 70 million.
However, in reality good credit people can often get a discount when applying for a credit card loans, so the final cost could be lower than the theoretical value. It should be noted that there is no credit card loans cover all models, so the credit card loans worth recommending, but only if you need to buy models support credit card loans.
The quickest loans – auto finance company loans
in this way is actually a “new” loans mode. Moreover, many of the advantages of this lending model, such as low threshold, does not require much capitalMaterial proof, does not require high degree of credit, even regardless of your income. And it’s time to relax quickly, you can save a lot of time.
However, this aspect of interest rates kinds of loans will be higher than the bank base rate number, about 2 percentage -3 percentage / year, combined with the actual number of repayment, unless the higher price of the vehicle, or in fact, the difference is not very large. Moreover, this lending model, 4S will often charge a fee, the amount is about 1 to 3 percentage percentage of the loan amount. The basic fee is inevitable, we can do is calculate, let low as possible, more than 3 percentage a bit excessive.
In addition, the auto finance company will often introduce some such as zero interest rates to buy a car the activities, which are often true, by the finance company or subsidize dealers selling cars. However, we should also pay attention to this event and the existing rebates can overlap. For example, a $ 100,000 vehicle itself and 1 million offer, but can not enjoy preferential prices after the 0 interest rate, as opposed to two under, 7,000 yuan and 10,000 yuan of preferential interest, which is more cost-effective?
In general, due to the auto finance company and brand often linked, and therefore support this lending model of the brand is not very much, for consumers, I think this lending model can be recommended, but note doorways, do not step on the pit.
the most flexible loans – Guarantee Corporation
Why is secured loan is the most flexible of it? Because the source of this lending model, what kind of company can become a security company? This definition is hard to define, in fact, the most common form of our auto dealers, this also looks quite tricky one. However, this year October 23, CIRC silver hairThe sources said: the dealer may engage in auto loan guarantee business. In other words, this road has been closed.
security company snakes hybrid, so that the threshold pattern of the loan becomes extremely low, the corresponding fast speed lenders. But along comes a company that guarantees to bring hidden dangers, it is difficult to tell which companies are regular enough, do not know the terms of its natural formulation is reasonable. In general, this lending model, we need to pay interest in addition, also need to pay the guarantee fee, usually a percentage of the loan amount 3.
The rationale for prohibiting silver CIRC dealers involved in the security business, which I believe there must be reasons for regulation of the market, that is to make divisions ministries carry out their duties, will guarantee business back guarantee companies, other companies put an end to cross into the act of intention, lest further confusion in the market . Generally speaking, I do not recommend this mode, but if you need to quickly get a loan or mention cars, it can also be considered.
In summary, the bank personal loan lending model is the most economical, but also the most difficult one species. Secondly, there is more recommended mode of loans and credit card loans, finance company loans, but the former should be noted that the repayment on time, or there will be serious consequences such as impaired credit, reduce the amount of pay late fees and the trailer; the latter of which need attention doorway, do not be 0 down payment 0 interest rates and other gimmicks blinded. Finally, a security company is not recommended, or use it to find some well-known large companies safer.