1. Auto loan refers to the loan issued by the lender to the borrower who applies for buying a car, also called auto mortgage. Object of loan: The borrower must be a permanent resident of the place where the loan bank is located and have full capacity for civil conduct.
Second, the loan conditions: the borrower has a stable occupation and the ability to repay the principal and interest of the loan, and has a good credit; Can provide recognized assets as collateral or pledge, or a third person with sufficient compensatory ability as a guarantor to repay the principal and interest of the loan and bear joint liability.
Third, choose a bank loan to buy a car. The loan interest rate is moderate and there are many kinds of cars to choose from. However, in the process of handling loans, it actually takes time and energy. In order to control risks, banks usually spend a long time reviewing and require applicants to submit a lot of information. If you want to apply and don't bother, a bank loan is a good choice.
As we all know, credit cards don't charge interest by installment, which is also the biggest advantage of buying a car by installment. At the same time, credit card installment is convenient and quick, and it can be done with one phone call. Sometimes banks can enjoy certain discounts when they cooperate with car dealership companies. However, it should be noted that although credit card installment does not charge interest, there is a handling fee. The higher the staging time, the higher the handling fee rate. Usually, the handling fee rate for more than one year will be the same as or slightly higher than the bank's consumer loan interest rate for the same period.
Fifth, it is convenient and quick to buy a car through the loan from an auto finance company, and the application threshold is not high. As long as consumers have a certain repayment ability and pay the down payment, they can apply for a loan. However, consumers also need to pay attention to the fact that the loan cost for auto financing companies to buy cars is usually relatively high. Generally, in addition to paying the loan interest fee, there are a series of fees such as handling fees.