According to the last research, 10 per cent of the people between the age of 25 and 40 years would like to purchase a new car. Unfortunately, another research shows than only 10 per cent of those people could afford to do so and the other 90 per cent- they could just dream about their new car.
However, there is already a way which allows the people who do not have money to get a new car also. It is called car financing! You will just not believe it how easily it all happens. The first thing which a person has to do is applying for car financing. There are three basic sources of car financing: those are the banks, auto finance companies and the dealers which work as a physical person (not a company). We are going to describe all of them at one time because the procedure is basically the same- what you have to do in order to get car financing from a bank, the same you have to do to get car finance from a dealer or finance company.
Now, let’s start with the beginning of the procedure. Once you apply for car financing, you need to wait until they do phone you or email you with the result. Basically, there are two possible results which you could expect: Approved or Disapproved! Hopefully, you will be approved but if you are not, there is still a chance- you could try with another bank, finance company or dealer- at least one of them will approve you. So, never give up hope! And if approved, you will be offered a contract- it will be individual and prepared according to your needs, incomes, expenses and general finance status. If you do not think that the contract is favorable enough, then just do not sign it and try somewhere else.
Basically, there are several reasons why a contract could be unfavorable for you. Firstly, the interest could be very high. You should know that on average, the rate of interest is 7 per cent for dealers and auto finance companies and around 13 per cent for most of the banks and bank institutions. But you could find the financing unfavorable if you had to refund it too much time- for example $100 for 10 years, instead of $200 for 5 years. It is also an important factor so if you do not think it is what you want, just do not sign!
Well, that was everything which you need to know about the car financing. You are already well-informed and not only can you have a new car if you do not have money, but you can also choose the way for being provided with the sum which you need. It is really much easier, isn’t it?