Which car loan option is more suitable for you? The answer depends on the loan interest rate and the discount on the car price. If you buy a car with a loan from an auto finance company, there will generally not be a big discount on the car price; in contrast, if the dealer can make a few thousand dollars in profit, it is more cost-effective to buy a car with a discount through a bank loan.

Because of the fear of bad debts, 85% of car loans that were popular a few years ago disappeared. Banks are unwilling to lend, guarantee companies are unwilling to accept loans, and the success rate of consumer loan applications is low. This has greatly restricted the development of the car loan business with low down payments and long repayment cycles, and has also shut out many prospective car owners. But recently, 85% of car loans, which have disappeared for a long time, have returned to the market. Currently, when 73% of car loans are prevalent, I believe that the emergence of 85% of car loans will further stimulate loan purchases for cars.

Option 1. 85% loan with 20% down payment to buy a new car.

According to reports, this type of loan program provides car buyers with a loan ratio of up to 80%, a term of up to 5 years and an interest rate reduction of 10%. The bank will specifically determine the loan policy for individual customers. After adjustment for less than 5 years (including 5 years), the insurance rate for domestic cars is 2.75%, the insurance rate for imported cars is 3.5%, and the maximum discount is 0.475%. Post-loan maintenance fees are 300 yuan for domestic cars and 600 yuan for imported cars. Credit evaluation fees and notary fees are both more than 100 yuan.

2. Financial companies have a slight advantage in terms of plans, down payments and loan terms.

In fact, there are currently two types of car loan plans: banks and car finance companies. consumer? In particular, foreign accounts do not have to choose bank loan options. So, what kind of car loan is more suitable for consumers? It is understood that in terms of loan terms, in addition to the five-year loans provided by individual banks mentioned earlier, the maximum loan period provided by most banks is only three years, and the loan period provided by financial companies can be extended to five years. A staff member of a bank said that for most consumers who buy cars, the repayment time and amount of the three-year loan period are moderate, so the business volume is also the largest among the bank's car loans. However, if the repayment period is extended to five years, the monthly repayment amount can be minimized, which can ensure that consumers’ life will not be greatly affected after buying a car with a loan, thus ensuring the quality of life. In addition, for consumers who want to buy a car, the amount of down payment is also of great concern. At this time, banks and financial companies have reduced the down payment to 30%, but some car finance companies can use 20% down payment to provide special care for customers with high credit ratings. That is to say, lenders can enjoy advance driving with at least 20% down payment. .

Applicants whose credit reliability is not high in the bank evaluation system can give priority to apply for loans from auto finance companies; lenders with good reputation and strong down payment ability can give priority to bank loans.

One million car purchase subsidies