10 Advantages Pre-Approved Used Car Loan before Buying Your Vehicle

A second-hand car can give you several first-hand benefits, such as affordability, lower insurance costs, reduced environmental impact, etc. If you have been eyeing a used car, you can avail of a used car loan. In fact, if your credit score is 750 or above, many banks and NBFCs may offer you a pre-approved used car loan. A pre-approved used car loan offers you funds before applying for the same. This blog lists the advantages of a pre-approved used car loan and how to apply. Read on!

What is a Pre-approved Used Car Loan?

A pre-approved used car loan is a type of loan offer where the lender already considers you eligible before even applying for one. The eligibility criteria involve age, income, employment, and citizenship criteria. Getting a pre-approved used car loan offer means you have already fulfilled all and can secure the funds to buy your desired car.
Here are some more benefits of a Used Car Loan. Check them out.

10 Advantages of Approved Used Car Loan Before Buying the Vehicle

1.    Quick Handoff 
If you already have a pre-approved 2nd hand car loan, you can buy the car whenever you wish to. Since the lender already considers you eligible for this loan, you do not have to go through the lengthy documentation and verification process.

2.    Simple Decision Making
A pre-approved loan helps you in negotiating the best price for the car. Eventually, the most important parameter when buying any product is its price in the market. The same stands true for any used car out there. Instead of worrying about interest rates, down payments, and different schemes, you can focus on finding the best deals on cars.

3.    Ease in Budget Planning
When it comes to finances, the best way to handle it is to plan ahead. But that is a challenging task as so many variables are involved in the picture. However, when you have a pre-approved loan, you have a clear idea about interest rates and available EMI options. All of this would help you with easy management of savings and plan the budget accordingly.

4.    Minimal Paperwork
If you get a pre-approved loan for your car, your verification will be already done through your credit score. So, while purchasing a car, you can enjoy minimal paperwork and hassle-free loan disbursal.

5.    No Last-minute Surprises
While closing the deal, a few unpredicted things or expenses often pop up, which might hinder the whole purchase. So, to avoid these last-minute hiccups, pre-approved loans are always better.

6.    Flexible Terms
Several lenders allow you to secure a high loan amount to finance your desired car with a flexible repayment tenure. The repayment tenure for a used car loan generally ranges from 5 to 7 years. You can also repay with multiple modes of payment, like online and offline modes. This kind of flexibility leads you towards a stress-free experience. 

7.    Easy Price Negotiations
Having a pre-approved loan improves the chances of negotiating on price. This is because dealers know that you are trustworthy. Hence, they try to offer you the best price along with additional perks.

8.    Quick Disbursal
A pre-approved used car loan saves the processing time when you go to buy the vehicle. This means you get enough time for other formalities while purchasing a car. NBFCs like Poonawalla Fincorp offer fast disbursals, which helps you secure immediate funds at the time of requirement.

9.    No Hidden Charges
One of the challenges that most credit applicants face is hidden charges. However, a trusted NBFC like Poonawalla Fincorp provides a pre-approved loan with zero hidden charges. This helps you finalize everything before you step out to buy your dream car. To ensure your safety, we at Poonawalla Fincorp provide end-to-end doorstep services with 100% transparency throughout the process.

10.    Attractive Perks
With attractive interest rates and high loan amounts, we also offer funding up to 100% of the car’s value. With all the finances sorted beforehand, you can find and purchase your dream car without any stress.

ALSO READ :- How To Inspect and Buy A Used Car?

How to Get a Used Car Loan in India?

Following are the steps to apply for a Pre-owned Car Loan from Poonawalla Fincorp:

• Step 1: Visit the website of Poonawalla Fincorp and click the 'Apply Now’ button.
• Step 2: Fill in the required details on the loan application form.
• Step 3: Upload necessary documents.

 On successful verification, the loan will be transferred to your bank account.

To Conclude

Owning a vehicle is a necessity in today’s time. A pre-approved used car loan helps avoid lengthy approval procedures, saving your time and effort. This loan also enables you to negotiate to get your dream car at the best possible price. Apart from this, a pre-approved used car loan helps you in better financial planning by giving you the loan’s insights in advance. Besides this, you can avail of numerous benefits with a used car loan from lending institutions, like Poonawalla Fincorp, such as competitive interest rates, flexible EMIs, minimal document requirements, and zero hidden charges. So, book your dream car now with a pre-approved used car loan without hassle.

Frequently Asked Questions About Pre-Approved Used Car Loan

1.    Is a pre-approved used car loan good?
Yes, a pre-approved used car loan is good as it enables you to avail of funds for your dream car without even applying for a loan and waiting for approval.

2.    What is the maximum tenure of a used car loan?
The maximum tenure for which you can take a used car loan often ranges between 5 – 7 years. Poonawalla Fincorp offers a Pre-owned Car Loan for a flexible repayment tenure of up to 72 months or 6 years.

3.    Can I get a used car loan with low-interest rates?
Yes, Poonawalla Fincorp provides a used car loan at competitive interest rates, which makes the borrowing affordable.

Disclaimer

We take utmost care to provide information based on internal data and reliable sources. However, this article and associated web pages provide generic information for reference purposes only. Readers must make an informed decision by reviewing the products offered and the terms and conditions. Pre-Owned Car Loan disbursal is at the sole discretion of Poonawalla Fincorp.
*Terms and Conditions apply