There are many people who do not have sufficient cash to buy a car, a motorcycle or a motor home require a loan for the payment of the same, and in this sense the Auto Financing is presented as a viable option to make the purchase of a new vehicle, used or zero km, in peace.
The Auto Financing, a loan Finalized, that is intended for the purchase of a particular and specific good or service may be required:
- The Bank;
- Institute of Credit;
- The Company Brand.
The purpose of the applicant is the time to buy a car (or another type of vehicle), and to then return the sum obtained by means of the payment of installments on a regular basis, monthly or half-yearly.
The installments are in turn composed of a fixed capital, which is the amount to be repaid, and an addition represented by a fixed fee, if you talk to a fixed rate of interest used in the majority of cases, or a variable, If you choose instead a variable interest rate.
Usually the Auto Financing is required directly at the dealership where we turn to buy the car, the dealer will act as an intermediary between the applicant and the Society of Credit, or the Bank that the giving of the sum.
With a fixed-rate loan, to be repaid with payment by installment in a variable period of time, you can get 2,500 to 31,000 Euro amounts (in some cases up to 60,000 euros).
The duration of a loan varies according to the needs of the applicant, generally the funding can last between 6 and 60 months, and cover up to 85% of the value of the car to buy.
The Auto Financing prompted by the signing of a contract, which specifies all the parameters, some of which are:
- Interest rate;
- Amount to be repaid;
- The number and amount of each installment;
- Necessary guarantees;
- Tan and APR;
- The amount of the loan;
- Any additional expense;
- Any insurance.
Financing may require a car or motorbike all workers and retirees aged 18 to 75 years, provided the guarantees that are presented proving the feasibility of the economic commitments agreed upon, ie be able to pay the installments of the loan .
For this, the applicant must bring the contract of employment, retirement, payroll or income from self-employment certificate. If you are not in possession of such requirements, it is possible that the donor organ however ask for promissory notes as collateral to guarantee the mortgage, the mandate to enroll mortgage and the signature of a guarantor.
The "captive" companies, finance companies specifically created by the same car, or brand companies, and financial which provide funding for the purchase of the car, check that the subscriber has taken out an insurance policy for the vehicle purchased, and in some cases also require the signature of the fire and theft insurance. In case of theft of the vehicle in fact, the compensation goes to the lender, to the extent that the amount is to cover the sum due for repaying the loans. The customer must personally cover any excess not covered by insurance. Sometimes financial companies require the signing of a bill that provides coverage in the event of death, disability or unemployment of the subscriber. The banks instead, delivering a personal loan, require guarantees related to the customer and not to the purchased vehicle.
In recent years, a growing number of brand companies and financial institutions offer their customers the option of a Zero Rate Auto Financing, a form of loan for the purchase of an asset, proposed during advertising and promotional campaigns involving an annual rate, or TAN zero. This loan provides that the interest on the purchase of a car are paid by the manufacturer or possibly from the dealer, with the aim to promote the product.
The Auto Financing, generally is delivered directly from the dealer of the good or service, so it is convenient request a quote to other finance company or credit mediation, in each case to assess the best offer.
Translated via software
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