Unreliable.

Some big loan companies dare not make zero down payment, so zero down payment is generally unreliable.

If a borrower chooses to buy a car with zero down payment, he usually has to bear a higher loan interest rate. In essence, 4S shops and loan platforms need to bear certain risks, fearing that the borrower will be overdue or the vehicle will be damaged.

With zero down payment, 4S stores and loan platforms will bear greater overdue risks. In order to reduce this risk, the loan interest rate that borrowers need to bear will naturally increase. From the perspective of loan interest, the interest that the borrower needs to bear may be more than double, which is enough for the down payment.

Except for 4S stores, other financial institutions generally do not agree to buy a car in installments with zero down payment. In a 4S store, the borrower may have to pay a certain processing fee, which is paid monthly. The handling fee is generally 10%-20% of the loan amount, so it is no different from the down payment.

In addition, 4S stores may allow borrowers to purchase some services, such as car maintenance, recharge VIP cards and monthly car cards. In this way, on the surface it appears to be a zero down payment installment car purchase, or even an interest-free loan, but the reality is that the borrower needs to spend more money. Are the car loan handling fees reasonable

1. The car loan handling fees are unreasonable. Let’s make something clear first: the money you need to pay to the bank for a loan is called interest, not handling fees. The money given to the 4S store is called handling fee. Cheap cars cost three to four thousand, and expensive cars have no upper limit.

2. The handling fee charged by the 4S store is extra and has no legal basis.

3. But in reality, 4S stores across the country will charge this handling fee, which is similar to an unspoken rule. If the consumer does not pay this amount, in most cases the 4S store will not sell the car to the consumer.

4. There is no handling fee for buying a car in full, but buying a car in full is not as big a discount as buying a car in installments. For example: if you buy a car in full, you will get a discount of 10,000; if you buy a car in installments, you will get a discount of 30,000. Therefore, there is no need to charge additional handling fees when buying a car in full.

For more information on whether car loan handling fees are reasonable, go to: View more content: Can car loan handling fees be waived?

There are many types of handling fees for car loans. In some cases, only fees charged by indirect lenders such as intermediaries are waived.

Some intermediary loan sales such as car shops will charge more handling fees after seeking bank loans. You can avoid such handling fees by bypassing them and going to the bank directly. Some loan handling fees that must be charged cannot be waived, such as notary mortgage fees, insurance premiums, etc. Is it cost-effective to buy a car with a loan?

Buying a car with a loan is a method chosen by many car owners, but whether it is cost-effective to buy a car with a loan depends on factors such as loan interest rate, loan term, loan amount, and loan limit. This article will introduce you to the advantages and disadvantages of buying a car with a loan, as well as suggestions for buying a car with a loan, hoping to help you make a more informed decision.

1. Advantages of buying a car with a loan

(1) Buying a car with a loan can meet the consumption needs of consumers, allowing consumers to have more consumption choices, thereby satisfying consumers consumer demand.

(2) Loans to buy cars can effectively pool funds together, thereby saving consumers money and allowing consumers to buy more cars at lower prices.

(3) Loans to buy cars can increase consumers’ consumption levels, because consumers can buy more cars at lower investment costs.

2. Disadvantages of buying a car with a loan

(1) Buying a car with a loan requires consumers to pay higher interest, thus increasing the burden on consumers.

(2) Taking out a loan to buy a car may lower a consumer’s credit rating because the consumer needs to repay the loan on time. If the consumer defaults, it will affect his or her credit rating.

(3) Buying a car with a loan may lead to over-consumption by consumers, because consumers can buy more cars at a lower investment cost, thus leading to over-consumption by consumers.

3. Suggestions for buying a car with a loan

(1) Before taking a loan to buy a car, consumers should first understand the loan interest rate, loan term, loan amount, loan limit and other factors, so as to Take better control of your finances.

(2) When consumers take out a loan to buy a car, they should repay the loan on time to maintain a good credit record and avoid affecting their credit rating.

(3) When consumers buy a car with a loan, they should reasonably control their consumption and avoid excessive consumption, so as not to affect their financial situation.

Conclusion: Buying a car with a loan is a method chosen by many car owners, but whether it is cost-effective to buy a car with a loan depends on factors such as the loan interest rate, loan term, loan amount, and loan limit. Therefore, consumers should choose a loan when buying a car. Before buying a car, you should fully understand the relevant factors of the loan and reasonably control your consumption to ensure your financial status.