A busy and fast-paced life needs a convenient and easy way of travelling.
Are you also looking forward to buying a second-hand car?
Are you hesitating because of financial issues and hefty interest rate loans of the bank?
Do you want an easy loan for a used car to buy your dream vehicle, but your used car loan EMI calculator is stopping you?
If yes, then it seems to be the time you should consider the loan for a used car from NBFCs.
NBFC are those financial institutions and loan lenders that do not possess a fully authorized banking license but are guided by banking regulations of the Reserve Bank of India. For that, you need to learn the benefits availed by NBFCs. So, let’s discover some tangible benefits of loans for used cars from these institutions!
Burden Less Documentation
Generally, banks have overly critical processes for documentation. Also, they are very time consuming; they require a lot of paperwork and concrete proof of various fields to provide our desired loans. However, NBFC serves as a relatively easy and quick procedure for documentation. The most commonly require valid ID proof, valid address proof, passport size photo, income proof, and asset proof.
Easy Interest Rates
Lending a loan for a car can charge an interest rate from 9 % to 20% at any bank service. However, at NBFC, you find very low-interest rates and quick approval for the desired used car loans. The loans are quickly dispersed and even much lower interest rates than new cars. Some companies provide remarkable Loan Against Vehicles (LAVs). These low-interest-rate loans can be supplied on even ten years old vehicles.
Flexible Repayment Options
Most bank institutions are very straight in their return policies and allow truly little time for repayment. Also, they impart a little bit of higher instalments. Meanwhile, NBFC provides flexible repayment options extending from 12 to 60 months. They provide low instalment services based on per month or annum income of customers.
Desirable Funding
The NBFCs can provide up to 95% funding as a loan facility beginning from Rs. 50,000 to 10 lakhs. So, never worry about the expenses here. In addition to it, a loan for used cars is relatively easier and payable as compared to a new car. There are some charges before funding like nominal charges, registration charges, and some more minimal charges related to it.
Beneficial Schemes
NBFCs provide many exciting and beneficial schemes for easy loans. Some include reducing EMI rates, zero interest rate on EMI, long tenure, and hassle-free, quick procedures. They provide loans not based on assets proof base but based on income base.
Some provide a flat rate of interest on a loan, under which you can pay the interest on the principal amount till maturity. Even in the mid of decided instalments, you can pre-pay early; this is a welcome step of NDFCs. Some companies avail top-up offer car loans for immediate financing and happiness bringing.
Simple Terms and Conditions
Eligibility criteria for lending a loan from the NBFC include the age range between 21 to 60. The person should be salaried or agriculturist or self-employed. The person should have at least Rs. 15000 per month salary. They provide an extended repayment tenure than the banks for easy accessibility of loans. The loan is issued based on the model, age, condition, history, and basic banking associations of the car.
EMI Calculator Estimation
Used car loan EMI calculator is a digital calculator that considers loan amount, interest rate, and principal amount to bring out the payable EMI amount and payable interest amount. This used car loan EMI calculator checks affordability, financial planning, with 100% accuracy and user-friendly nature.
It plans our monthly instalments and helps us to determine our budget and sources. Thus, it is a beneficial tool in EMI estimation and deciding the source to receive the required finance on used cars.
Final Verdict
Taking loans from NBFCs is much less hassle worthy work than traditional financial institutions. It is an easier process and gives you a larger scope of opportunities to work with.
