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.
