Vehicle Loan
How it works
Vehicle loans can be used to finance commercial as well as private vehicles. Moreover, this type of loans funds both new and used vehicles. These loans can be secured or unsecured in nature. Vehicle purchased can be put up as a security in order to get the loan. No additional collateral is required for it. These loans are quite common and host of lenders are available as an option for loan application, this might help in interest rate negotiation in order to get lowest possible rate.
GET QUOTEBenefits
- Lower interest rates.
- Finance available for new and used vehicles.
- Disbursement of funds in no time.
- Option available to go for balloon payment as a part of repayment structure.
- Tenure can be between 1-10 years.
Flaws
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Used vehicle loans might attract higher interest rates and additional fees or charges.
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If the vehicle is purchased for personal use, depreciation might stand as a disadvantage. A scenario might arise wherein the outstanding loan balance is higher than the market value of the car. Such a situation would hamper sale of vehicle or upgrading the vehicle after a certain time period.
COMMERCIAL LOAN
BUSINESS LOAN
VEHICLE LOAN
EQUIPMENT LOAN