Archive for November, 2010

What Exactly Is Auto Finance?

Tuesday, November 30th, 2010

It is a known fact that car purchase involves thousands of dollars and arranging that kind of money can be difficult for any individual. At these times, if some person or institution can provide them with the money then it would be possible for the person to get the car that he/she desires. These facilities are called auto finance procedures and these are provided by a number of lending companies both online and offline. The lenders charge an interest for their services which the borrower has to pay back along with the main loan amount. The interest charged can vary from lender to lender and individual to individual. Read More…

Considering Zero Interest Auto Finance

Monday, November 29th, 2010

Due to the increase in lending options and internet lending companies, dealers have to provide benefits and offers to stay in the game and earn good money on auto finance. Moreover, the lenders associated with the dealers also get to lose clients if the dealers don’t get many clients. There aren’t many things which can counter a low interest rate or other benefits but some offers are good eye catchers and one of them is zero interest auto finance. This type of offer should be a must go in every borrower’s mind because the interest rate charged on the auto finance is nil. This means that the applicant can save hundreds or thousands of dollars by going for this loan. Read More…

Why And When to Prefer High-Term Auto Loans

Sunday, November 28th, 2010

When applying for auto loans, an applicant sometimes gets the chance to apply for a high term loan such as 72 month or 84 month. It just means that the term of the loan is going to be six or seven years but it is written in months to signify the fact that it is going to be this many installments. There are a number of reasons and situations in which these auto loans are the best thing that one could go for. Although, there is the disadvantage of increased interest, the monthly installments are significantly reduced which means that even a high priced loan can become affordable and cheap. Read More…

What Are Indirect Bad Credit Auto Loan Loans?

Saturday, November 27th, 2010

A bad credit auto loan is a type of financing which is given to applicants who have a record of poor credit history and have faced problems with borrowing and paying back in the past. The lender doesn’t know whether the applicant could be trusted with the finances or not which is why most applications were rejected in the past. However, the things have changed and the bad credit auto loan provisions have allowed many bad credit borrowers to get the finances without facing rejection. However, these loans aren’t provided by or at a single place due to the fierce competition between the different lenders and dealerships. Read More…

Why 72 Months Auto Loans Are Preferred

Friday, November 26th, 2010

The term of the auto loans holds major significance for the borrowers as this decides whether the monthly payments are going to be low or high. Usually, the term of the loan works good with the amount of the loan which means that a high amount should come with a high term otherwise the monthly installments would be impossible to pay. Many lenders advertise their loans as 72 month auto loans or 84 month because several borrowers wish for long term loans in which they can pay off the amount easily. The following example can shed some light on the amount of money that the borrower would save when going for a long term loan. Read More…

Why Should Anyone Go For Auto Finance?

Thursday, November 25th, 2010

There are a number of people who keep on debating over the fact that why should people go for auto finance. The things which go into their opposition is that the borrower cannot own the car until the loan term is successfully completed and he/she cannot default otherwise the car would be taken back. Moreover, due to the interest charged the borrower ends up paying a lot more money on auto finance than what the car is worth. However, there are a lot of supporting factors too which can be seen in the following lines: Read More…

The Role Of Income In Auto Finance

Wednesday, November 24th, 2010

A few years back, only the credit score of the applicants was necessary to decide whether the auto finance has to be approved or not and whether the interest charged should be high or low. But, with the introduction of special lending procedures, the applicants are getting easily approved for the financing. Moreover, more and more lenders are joining the competition which means that is getting more difficult to hold on to clients. But more importantly, it has become more difficult to judge whether the applicant can be approved of the auto finance or not. Read More…

The Role Of Credit Score In Auto Finance

Tuesday, November 23rd, 2010

For the people who have taken some sort of loan in the past this point is clear that the whole lending industry goes on the basis of credit score. It is the most important factor for any type of loan such as auto finance, personal loan or home loan. For people who don’t know why this is, the following lines can explain their importance – credit score is the record of a person’s all prior credit borrowings and repayments. Well, it is a rating which is based on the credit report but one look at the score can tell as to whether the person is a good borrower or not. Read More…

Auto Finance For Buying A Car

Monday, November 22nd, 2010

Buying a car is an easy process nowadays as we can get financial support from auto finance companies. There are mainly two options in auto finance such as using the loan amount for buying a car or keeping it for lease. Most financial lenders will check our previous credit report before sanctioning the auto finance. We can negotiate the interest with the lender and can make documents for that in writing as a permanent proof for the interest we have to pay. Independent auto finance option is the one which most dealers prefer. This is an easy option to pay in monthly installments which we can calculate by dividing total car price and interest to the number of months existing for completing the payment. Read More…

Why It Is So Difficult To Get A Bad Credit Auto Finance Loan?

Sunday, November 21st, 2010

Having good credit can immune you from the harsh and inhuman treatment that is meted to those who have bad credit by most auto lenders. Regarding taking up auto finance loans, taking up an auto finance loan when you have bad credit is something that you should never do. Read More…