In the value evaluation, the depreciation rate will be much higher than that of the mortgage loan, and the car price will be much lower than the house price, followed by the loan period, so the car mortgage cannot apply for a long-term loan. Because the value of the car is not so fixed relative to the real estate, if the car is usually used as a mortgage loan, the term will not exceed 1 year, which is a short-term loan.

In the process of handling car mortgage, there will be certain expenses, such as evaluation fee, GPS installation fee (in the case of parking the car) and so on. In fact, the cost in automobile mortgage is not low.

Extended data:

Matters needing attention in automobile mortgage:

Automobile mortgage's funds are often used for short-term turnover. If you need a long-term loan, it is not applicable to borrow money with a car as collateral.

Because automobile mortgage often produces higher expenses, if you choose a vehicle mortgage loan with a long cycle, you can try to repay it in advance if there is prepayment.

When choosing institutions, borrowers should try to choose formal lending institutions. Such as banks and small loan companies in industrial and commercial registration. On this basis, legitimate rights and interests can be truly protected, and once disputes arise, the law can solve them.

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