Securing a used car loan is a significant challenge, especially for first-time borrowers. But with a Pre-owned Car Loan from Poonawalla Fincorp, your used car loan application is faster, easier, and simpler. Mr. Abhay Bhutada, MD, Poonawalla Fincorp, says, “At Poonawalla Fincorp, we always believe in offering best-in-class and customer-centric products and solutions to fulfil the financial needs of our customers. With our digital-first approach we offer swift and smooth disbursals.”
Let’s look at the 7 useful tips to know before you get a Pre-owned Car Loan from Poonawalla Fincorp. Scroll down!
7 Expert Tips for First-time Used Car Loan Borrowers
Here are 7 must-know tips for first-time borrowers:
1. Know Your CIBIL Score: Your credit or CIBIL score determines your trustworthiness as a borrower. Lenders often use this as a critical factor in determining your interest rates. Check your CIBIL score to know your eligibility. A CIBIL score over 750 is considered good. If it’s below 750, consider improving it before applying for a used car loan from Poonawalla Fincorp.
2. Set a Realistic Budget: Establish a clear budget outlining how much you can afford monthly payments. Consider the loan amount and additional costs like insurance, maintenance, and registration fees. Maintaining a balance between your dream car and financial prudence is essential.
3. Understand Interest Rates: The interest rate on your used car loan significantly impacts the overall cost. The rate of interest for a used car loan from Poonawalla Fincorp starts at 11% p.a., which makes buying a used car more affordable.
4. Save for a Down Payment: Saving for a down payment can help you secure better loan terms. It reduces the loan amount and demonstrates financial responsibility to lenders. Aim for a down payment of at least 10-20% of the car's purchase price.
5. Explore Loan Terms: Carefully review the loan term – the tenure over over which you will repay the loan. Poonawalla Fincorp offers flexible repayment tenure of up to 72 months. Choose a term that balances affordability and financial efficiency.
6. Check All Charges: Poonawalla Fincorp’s processing fees and other charges are disclosed right from the beginning. Ensure you read and understand the applicable charges before applying.
7. Keep Documents Ready: You can apply online for a Pre-owned Car Loan from Poonawalla Fincorp. This means you require minimal documents to start applying for a used car loan. Keep your documents, such as, KYC, employment, address proof, etc. ready to make your loan application hassle-free.
To Conclude
Buying your first car is an exciting adventure. Make Poonawalla Fincorp your trusted loan partner to help you fulfil your dreams with zero stress and zero hidden charges. Apply for a Pre-owned Car loan and you will quickly forget that you are a first-time used car loan borrower. Poonawalla Fincorp’s used car loan journey is that smooth!
