Book your car loan for poor credit
An increasing number of consumers now finance their new and used cars by a car loan, the Bank also offers a specially designed loan. It is advertised with favorable and above all flexible conditions, which are to be brought to bear above all by the on-line graduation.
See our new car loan interest rate
The online car loan offered by this resource from wowloans can currently only be applied for on the internet. As an advantage, the company states that this reduces the conditions for the customer. It is noticeable, however, that neither target nor effective interest rates are communicated on the product page. As mentioned above, the latter is determined individually during the application process. A processing fee is also not apparent from the published information, which makes comparison with other offers more difficult.
As usual with online loans, completing the online application does not constitute a binding contract. All signed documents must be printed out after processing and sent to the nearest post office along with a post-ID coupon and ID card or passport.
The car loan is paid out when the Bank has carefully reviewed the contract and ensured the creditworthiness of the customer. This usually happens within a few days after the documents have been submitted and a letter of credit confirmation has been sent to the applicant.
In addition to a sufficient credit rating, additional collateral for the car loan is required. After payment, the borrower has six weeks to send the Part-II registration certificate (formerly a motor vehicle letter), a transfer by way of security and a copy of the purchase agreement to Bank. This is necessary because of the retention of title, by which the comparatively favorable conditions are made possible. As a result, the vehicle remains the property of the bank until the loan is fully paid off. If the customer can not ensure timely submission of the documents, the interest rate is increased by the bank.
Optional credit protection
Bank also has credit insurance in its product range for car loans to ensure the repayment of the loan. For customers, such credit insurance should only be considered if the loan is completed over a relatively high sum with correspondingly long maturities. Because residual debt insurance for the borrower primarily means additional monthly costs. Credit insurance is basically nothing more than a term life insurance with falling contributions.
These are continually adjusted to the residual debt, which means that the expenses will initially be higher than at the end of the term. The residual debt insurance for the car loan offered by Bank covers defaults that may arise as a result of the death, unemployment or disability of the borrower. Worthwhile is an insurance primarily for sole earners with a family who want to avoid as much as a possible risk.
Online Car Loan Bank – The Conditions
The maximum loan amount of the online car loan is 50,000 USD. It does not matter whether a new or used car should be financed. The term of the contract can be set between 12 and 84 months, but the amount of the loan also has a significant influence on this.
When submitting an application, the customer has the option of specifying either a specific term or the desired rate. The current interest rate is determined in the course of the application in the form of the effective interest rate. For example, financing of 15,000 USD over a period of 24 months at a monthly rate of around 660 USD would result in an effective interest rate of 5.79%.