Car installment is to divide users into several installments and pay in installments every month. Installment payment is a hot spot in the current automobile market. In the current depressed market environment, installment payment is regarded by many businesses as an effective means to seize market share.
Advantages of installment payment:
Long payment cycle and wide choice.
Some time ago, the staged car sales activities launched by merchants generally required to pay off the balance within two years. Some merchants extend the payment period to 40 months, and the monthly payment is greatly reduced. The monthly payment is only a few hundred yuan, which is more attractive to consumers. At the same time, the down payment has also been appropriately reduced. As long as the down payment of Changan car in Ordnance Auto Trade is 3000 yuan, a mid-range color TV can drive the car home.
The enthusiasm of the merchants is very high.
In the current market environment of car fans, installment payment is regarded by many businesses as an effective means to seize market share.
Advantages and disadvantages analysis:
Benefits:
The bank's car loan execution rate is high, but the repayment pressure is relatively small. The Financial Weekly reporter learned that many banks provide car loans. However, due to the high risk of car loan, general banks will implement the benchmark interest rate or floating interest rate. The staff of Shenzhen Development Bank in charge of auto loan business told reporters that citizens can apply for auto loans as long as they buy cars and family cars. However, the lender is required to be a civil servant, a university teacher or a formal employee of a top 500 enterprise. The general loan can reach 70%, and the highest loan can reach 654.38+0.5 million yuan.
The maximum term is 5 years. "Because the risk of car loans is relatively high, and only new cars are needed as collateral, cars are constantly depreciating, so only the benchmark interest rate or the appropriate floating interest rate can be implemented." The staff of SDB's auto loan business department explained to the Financial Weekly reporter that according to the loan interest rate announced by the People's Bank of China, the benchmark interest rate for 1-3 years is 7.56%, and that for 3-5 years is 7.74%. Banks will decide how much interest rate to raise according to different situations of customers. In addition, bank car loans also have some cooperation projects with dealers or manufacturers, and these partners can give discounts, but these cars are generally high-end cars.
For example, some manufacturers can make a one-year interest-free loan for designated models, and the loan interest is paid by the car factory or dealer. Car buyers need to pay 50% down payment, and the remaining principal can be paid back in full after one year. Suppose the customer is short of funds one year later, you can apply for another year's loan extension only by paying 15% of the fare, but this year's extension needs to pay interest and repay it every month. Some banks have introduced interest-free and fee-free car purchase services to customers of * for designated models, but those who can enjoy these benefits are generally old customers who hold * and must be designated models. "China Merchants Bank's' Car Purchase Easy' is relatively convenient to use, and the approval is fast, so you don't have to wait that long." James Zhou thinks that the biggest convenience of buying a car with * is that you don't need to provide household registration certificate, property certificate, income certificate, marriage certificate and so on like traditional loans. * You don't need to apply for a mortgage to buy a car by stages, and you don't need to buy car loan insurance or additional guarantee companies to counter-guarantee. After the car buyer negotiates the price with the car, he can fill in the installment payment application form. Because the procedures of mortgage, guarantee, etc. are omitted, you don't have to buy all kinds of insurance for several years at a time to buy a car by stages.
Disadvantages:
But the maximum amount of installment payment will be linked to the overdraft limit of *. For example, most cars are purchased by stages, and the maximum amount is four times the overdraft limit. But the installment quota and the consumption quota are separate. After buying a car by stages, the consumption quota is not occupied and can still be used normally. "Counting the minimum down payment of 30%, this is enough to cover various models ranging from 50,000 yuan to more than 200,000 yuan." The customer service staff of China Merchants Bank explained that the market expects that the interest rate of auto loans will be lowered from 10% to 6% after the introduction of the Adjustment and Revitalization Plan for the Automobile Industry. According to the staff of China Merchants Bank, as long as customers who have held China Merchants Bank for more than 3 months, have a good repayment record and a credit line of more than 5,000 yuan, they may participate in the installment payment business of * car purchase. If they are new customers, they can also apply for this function. "However, customers who apply for new cards are generally civil servants, teachers, doctors, lawyers, accountants, employees of Fortune 500 companies, etc. To qualify for this feature. According to reports, China Merchants Bank also cooperates with Guangben Automobile Department to make installment payment, but it needs to pay 3.5% handling fee and 7% handling fee for two years in one lump sum.