Are you looking for purchasing a car? Do you have sufficient cash to purchase the car? Or are you looking for car loan? If you believe in the concept of “Cash is King”, then it is perfectly fine. Else if you’re looking for answers to finance your car, you are probably at the right place here. We shall discuss about the concept of guaranteed car loan in details. So, if you are looking forward to purchase a car with a car loan, you can definitely go through this topic. It will be a huge help to you for your process of buying.
Guaranteed car loan maybe for those, who are interested in purchasing an absolutely new car. But they do not possess the required credit score to buy the car. This concept of guaranteed car loan is a new topic in the domain of auto financing. Guaranteed car loan is also known as guaranteed car finance. It is basically an innovative technique for a car dealer to make the new buyer purchase a car irrespective of their credit score or credit history.
Define the term guaranteed car finance
This is basically defined as a free service. It is available to the borrowers with a poor credit score. The companies, which offer a guaranteed car finance allow the buyers to ask for the exact amount of credit required to buy a new vehicle. The agreement, terms and conditions with the guaranteed car loan lenders are not bounded to buying the car from the dealer. An individual, who is willing to buy a car is permitted to purchase the car from anywhere and bring the outside loan agreement for the purpose of finance of the car
The procedure of guaranteed car finance
Now let us discuss the procedure of the guaranteed car finance here in detail. The borrower chooses the car of his preference from the dealer of his choice. During the conclusion of the selection process the borrower applies for the guaranteed car loan. He has to deposit a sum of money, which is equivalent to 4 monthly instalments or 20% of the price of the car. Along with this, he has to submit some documents during application. This documents include an ID proof, the full name, the address, details of Employment, the information of bank, current bill and proof of rent payments.
Terms of the loan Agreement
It is basically a contract for hiring the arrangements, where the company, who is financing takes the ownership of the car all throughout the period of the loan. The company, in turn charges an instalment amount from the borrower in exchange of the use of the car. That instalment amount comprises the entire loan amount along with an additional interest and the financial charge.
At the end of the entire process, the borrower takes the possession of the car. The entire bad credit guaranteed approval process provides a lot of flexibility based on the needs of the individual.