If Indians know one thing, it’s how to have a bash during the festive season, be it Diwali, Eid, or Holi. The festivals bring with them not only a spirit of celebration but also a wave of great deals on cars, especially used cars, which you can bring home just in time for the festivities.
Given how popular festivals and used cars have become, it’s also a great time to apply for used car loans, since a festive bonus is unlikely to cover the cost of a car, even a used one.
Banks, during the festive period, offer a lot of enticing offers on loans such as lower interest rates, discount on processing fees, or even complete processing fee waivers in some cases. All these features help you save a lot of money in the long run.
But, to have your new car just in time, you’ll have to plan, since getting a loan during the festival can be a hectic process.
Here are some steps you can follow to get a second hand car loan quickly.
Choose your car
This may be the most time-consuming step, given how almost any car can fit into your budget depending on how old it is. Since there has been a surge in online platforms selling used cars, it’s advisable to start your search online and look for the car that suits your needs and that of your family.
After choosing your desired car, see if the car is being sold at a used car dealership nearby. Look for certified used car dealers, since they have rigorous standards by which they test the cars.
Additional Read: Top Used Cars to Go For This 2020
Get your documents ready
It’s a healthy practice to sort out your documents before applying for a used car loan. Overlooking the documentation part can result in a hectic situation if any one of the documents is missing.
Here is the list documents required:
- Proof of identity: PAN, Driving License Number, Aadhaar, and Passport
- Proof of income: Salary slips, Form 16, etc.
- Credit and Bank History: Bank statements of past 6 months
- Proof of residence: Electricity bill, Driving license
Set your down payment
Choose the down payment amount prudently, since it will directly affect the size of the monthly instalments you’ll be charged. It’s recommended to use an EMI calculator provided by the bank you’re borrowing from to fine-tune the down payment amount.
Choose your bank and apply
Almost all banks have some or the other offer going on during the festive period. Have a side-by-side comparison of all the offers and choose the one which suits you the best.
Before applying for the loan, confirm your eligibility, discuss the terms and conditions, fix the tenure and interest rate, and ask about for any pre-payment charges. If satisfied, go for the loan, and welcome your new car home.
Additional Read: How Tata Capital has simplified the Process of Buying a Used Car
Looking to bring a used car this Diwali? Apply for a used car loan at Tata Capital and enjoy flexible tenure loans and competitive used car interest rates.
Check your used car loan eligibility today.
Visit our website for more information.