Find The Right Car Loan For You | Nifty Car Loans | Learn More!

How to Find the Right Car Loan for You

Find the right car loan for you

Buying a car may be one of the biggest purchases you’ll do in your life, and it is worth looking into all the aspects that are included in buying a car. If you don’t have the money to buy it upfront, you still have other options to buy your dream set of wheels. Taking out a loan can be daunting and it is a big decision to make. That’s why Nifty Loans has created a guide to getting the best car loan for your personal circumstances. Here’s our guide to find the right car loan for you. PS Craving More Time? Learn about working from home here.

Nifty - How to Find the Right Car Loan for You

What is a car loan?

If you can’t afford to buy a car upfront, a car loan is an ideal option to finance the purchase. You can borrow money from a lender and repay the loan over an agreed period of time.

A car loan is a type of personal loan to specifically buy a new or used car. Car loans are typically secured personal loans. When you are borrowing money to purchase a car you need a large amount of money. This is why these types of loans are secured. When you take out a secured personal loan, you’ll have to provide an asset as security for the loan. You can use the car you are buying or any other valuable asset as security. 

If you are somehow unable to make the repayments, the lender can repossess and sell the asset to cover the cost of the loan you have been provided. This, however, is usually only done as a last resort. This makes it a lot less risky for the lender to lend you the money you need, and you are eligible to borrow a larger amount than with an unsecured personal loan. 

How can I get a car loan?

You may wonder how you go about getting the best car loan for you and there are several factors to consider before applying. First off, you need to make sure you qualify for a loan. For your application to go as smoothly as possible, you need to have all your personal details handy and you need to find out if you are eligible for a loan. 

Am I eligible?

There are several points of eligibility requirements for all the different lenders, but generally, your age, income and credit score are the most important requirements. You need to be over 18 years of age, you need to have a stable income as well as being a Citizen or Permanent resident or having a suitable visa.

Most lenders check your credit score but it is not the determinant factor if you will get a loan or not. However, you can find and fix any errors or fraud on your credit report to increase your creditworthiness. Don’t worry too much if you know your credit score isn’t the best, most lenders aim to look at the bigger picture of your financial circumstances, like your current spending habits and your overall relationship with money.

Don’t let a past economic situation ruin your chances for getting the car loan you need, learn how to apply through Nifty Personal Loans!

Nifty offers fast, reliable car loans

You may already know Nifty as your friendly neo-lender, our commitment to finding quick loans for all Aussies had led us to offer car finance to customers. As lenders, we’ve noticed the influx of loans for car-related reasons, like rego, repairs or buying a new or used car. So, we listened and decided that we want to help Aussies fund their car dreams by offering fast, reliable car loans. Nifty could even offer bad credit car loans!

Applying for car loans with Nifty is easy! Our application is 100% online, so you can complete it anytime, and our team works hard and fast to bring you quick outcomes. If you’re in need of car finance, follow these 3 simple steps to apply: 

1. Apply Online 

2. Get An Outcome 

3. Get the Cash You Need

Nifty offers car loans from $300 all the way up to $50,000. We like to give power to the customer, which is why we offer flexible repayment periods. 

What car loan can you afford?

Before you apply for a loan it is important to know about and budget for all the costs of buying a car and owning the car. This will include the total cost of the loan with interest rates, fees and other charges. Make sure you agree with all the terms and conditions that are concerned with the loan, including the fine print on the contract.

It is worth looking into the repayment plan for the loan. The return of the funds borrowed happens through monthly payments during an agreed period of time. The longer the payment period is, the more interest you will pay. 

Check out your loan options before you go shopping for a car. Many credit providers will give you in-principle approval for a loan before you find your car. Then you will know exactly how much you’ve got to spend and you’ll only have one high-pressure decision to make at the car dealership.

Budget for all the costs included in buying and owning a car 

Owning a car involves costs like annual fees such as insurance and registration fees, as well as ongoing costs like road tolls, petrol, repairs and maintenance. We encourage you to budget for the full costs of buying and owning a car. 

Driving without car insurance in Australia is illegal. You can choose between third-party property insurance or full comprehensive insurance for your car. Third-party property insurance covers you for damage to other people’s vehicles or property that is not covered by your compulsory comprehensive third party (CTP) insurance. Full comprehensive insurance also covers you for damage to your own car. Insurance can be expensive, but in the event of an accident, it can cost you a lot more. Shop around for the best deal. It is often cheaper to arrange your own insurance, rather than going through the car dealership.

Consider if you can save money by refinancing your loan. An incentive to refinance is if you can save costs by lowering the interest rate on your existing loan. On large loan amounts such as a car loan, lowering the interest rate can result in saving a lot of money. However, refinancing is only desirable if it enables you to lower the current interest rate!

Do research before you apply for a car loan

Before you go ahead and apply for a car loan, do some shopping around and compare all the products you find in order to effectively find the right car loan for you. The research should include a determination of how much you can afford to spend, taking all the previously mentioned factors into account. Compare the lenders’ terms and conditions like early payout fees, penalties for missed payments and the repayment plan. Also, make sure you get the best credit deals before you accept a loan. You can call local banks and credit unions to find the best prices.

When you are searching for the best insurance deal, you might be offered additional options for insurance coverage. If a person offers you extra cover, be sure you’re not misled or deceived about the real benefits of additional insurance coverage. Always check the terms and conditions of any additional coverage, as they may vary from those included in your comprehensive insurance coverage. 

Don’t rush a decision!

Take your time to find the right car loan for you. Don’t feel pressured to make a spontaneous decision. Buying a car and taking out a car loan has a long-term effect on your finance and you should be confident you’re making the right decisions.  

Before applying for a car loan, be prepared to give your financial information and have all your personal details handy. 

Good luck and drive safe!

Apply Now

Andy Andy

AUTHORITATIVE SOURCE

Andrew Bell

Since founding Nifty in 2016, Bell has continued to make waves within the local financial sector for his continued ambition and willingness to adopt emerging technologies.

Read More