The number of vehicles on South African roads is increasing by the day and car buyers have numerous options for obtaining vehicle finance or refinance. Did you know that you can apply for vehicle financing online?
The Difference between Vehicle Financing and Refinancing
Vehicle finance refers to an outright loan obtained for the sole objective of purchasing a vehicle. Such options include taking a direct car loan, personal loan or acquiring a second mortgage on property. By contrast, the refinance vehicle loan option in essence entails closing out a particular car loan in preference for another with the aim of paying lower monthly rates.
Establishing the Most Suitable Loan Option
Consumer needs determine what kind of online car loan is most appropriate – if you need assistance, reputable companies like Carfin are eager to assist. A potential car buyer would be amazed at how quick and easy it is to apply for vehicle finance online. The refinancing option is available only to individuals with a car loan in existence already.
Are You Considering Vehicle Finance?
A lot of people may argue that consumers who apply for car financing or refinancing online can end up being burdened by the monthly repayments. Unless you have the cash to buy a vehicle outright, you will have to commit to monthly payments. Be mindful of how this will affect your monthly budget before you start searching for your dream car. It is obviously prudent to find the vehicle finance option with the best interest rate and repayment terms.
Have you considered the advantages of a well serviced vehicle loan? Not only will you have a car, you’ll also be establishing a good credit history, which will prove to be a strategic asset later when you decide to invest in business or residential property.
The Practicality of Refinancing a Vehicle
Refinancing a car loan online is sensible as it affords financial flexibility to vehicle owners. The loan instalments can end up being drastically reduced as the interest rate and monthly repayment amounts can be re-negotiated. The cash you save can then be utilised on other necessities.
Prerequisites for Car Financing and Refinancing
Obtaining vehicle finance means submitting important documents like identification papers, proof of income and a credit rating report. You can do this online. This is accompanied by a completed application form. In the refinancing option, prerequisites may vary slightly.
Both the choices of vehicle finance and refinance spell legally-binding implications for loan applicants, upon approval of the loan. Borrowers require ensuring compliance with the payment schedule, along with settling other monetary requirements within the period stated and agreed upon within their contract. For all the help you need, contact Carfin.