Some Crucial Points About Car Loan To Be Checked

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Car loan is a loan which is taken for buying a car. It can be called a secured loan as your car is being kept as collateral with the bank. Loan value is computed by the bank on the basis of on-road-price of the car.

  • Shop around in order to get the right deal- If you want to find the right deal then you should shop around as there are varied loan options in the market like PNB car loan, SBI car loan HDFC Bank new car loan, Axis Bank car loan, ICICI Bank car loan, etc. Therefore, it is useful to make a comparison among varied loan options.

  • Down payment- Usually, 15 per cent-20 per cent of the total car loan would be paid upfront to the lender and it is known as down payment. It could be decided on the basis of the value of the car. So, it is crucial that before you apply for the loan, you should have some money in hand which you pay as down payment.

  • Crack a good deal- Convenience can be called the main point which should be given due weitage. You should renegotiate with the lender in order to get good deal. But here, one thing which is important is that you should have good negotiation skills and should do some groundwork in order to avoid unwarranted hidden costs.

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