In today’s time, owning a car has become very simple. Many working class people own cars which they could purchase courtesy of a car loan. After taking a loan, you will pay monthly EMI’s until the loan tenure ends. In case an emergency strikes and you need a huge sum of money, your car can save you. You can opt for refinancing your car In order to get loan amount which can be used to clear your short term issues and payments.
But before you take this decision, consider these 5 aspects. These aspects will help you in taking the decision of applying for a car refinance.
Faster than other loans: Like how the cars are supposed to be fast, even the car refinance process is very fast. If all your documentation is done right, you can get your loan approved within 72 hours. These 72 hours will involve providing documents related to your identification (PAN, Aadhar), Income proof, Job stability, IT Returns, Vehicle ownership and other documents related to your current car loan.
Use the car loan calculator – Get more clarity when you use our car loan calculator. This can help you in understanding how much loan amount you can get. The only 3 details you will need to fill will be the loan amount, Interest rate and Tenure. You can keep trying different combinations to understand which EMI will be good for you to pay back.
Lesser fees and charges – When compared to other loans, Car refinance has very lesser transaction charges and fees that you have to pay. These are nominal in nature and affordable.
You can apply with a co-applicant – It is very important to maintain a good credit profile and history in order to get a good loan. But in case your credit score is weak or not satisfactory, you can apply with a co-applicant for a car refinance. With this you can get the loan at good rate of interest but the only downside here is that the co-applicant will get partial ownership of your vehicle.
A good credit score helps – As mentioned above; maintaining a good credit score will always help. Banks always appreciate an individual who has a high credit score (eg: Above 800). These individuals can get lower rates of interest for the car refinance loan because as per the bank, these customers have higher credit worthiness. Hence you need to work on improving your credit score as much as possible as a better credit score will mean you get the loan at lower interest rates.
Refinancing your car is a good option for those who need cash immediately. You can use this amount to fulfill a lot of cash payments and obligations. This can help you in the long run and save a lot of interest money. In case you have any such queries with regards to Car Refinancing, Click Here.