The concept of a loan against one's car emerges as an increasingly appealing choice when it comes to buying a new car in India. A loan against a car presents a compelling alternative to traditional loan avenues. Unlike conventional loans, which often involve extensive documentation and lengthy approval processes, a loan against a car streamlines the borrowing experience, providing borrowers with access to funds within a short time frame.
With its simplicity, accessibility, and potential for favourable terms, a car loan in India stands out as a preferred option for individuals seeking quick and efficient financial assistance. Let's explore multiple reasons as to why is a car loan in India preferred as much safer option to proceed ahead.
Why is a loan against a car better in India?
In India, taking out a loan secured by a car is a very beneficial option for people who need money quickly. A loan secured by an automobile, in contrast to more conventional loan options, provides unmatched efficiency and simplicity, making it a desirable option for borrowers in need of quick cash. A loan secured by an automobile simplifies the borrowing procedure and gives borrowers a hassle-free experience by requiring less paperwork and completing loans faster.
In addition, the ability to borrow up to 200% of the automobile's value and a cheap interest rate make an Indian car loan an excellent option for anyone navigating the country's lending market. When it comes to financing unforeseen costs or grabbing investment chances, a car loan becomes the more advantageous option. Whether for meeting unforeseen expenses or seizing investment opportunities, a loan against a car emerges as a preferred financial tool for individuals seeking swift and convenient access to funds in India.
Why loan against a car is better?
A car loan in India is a secured loan that you can take by pledging your car as collateral. Sounds simple enough, right? Park+ in partnership with IDFC First Bank brings you a loan against your car. If you need quick cash then here are 5 reasons why is a loan against a car better in India:
Low-interest rates: One of the primary advantages of opting for a loan against your car is the typically lower car loan interest rate compared to other types of loans. Since the loan is secured against the value of your car, lenders are more inclined to offer competitive interest rates, making it a cost-effective borrowing option.
Disbursal within 2 days: In times of urgent financial need, the swift disbursal of funds can make all the difference. With a car loan in India, you can expect quick approval and disbursal of funds within as little as 2 days, providing you with timely access to much-needed cash.
Loan up to 200% value of your car: Unlike some other loan types where the loan amount may be restricted, a loan against your car typically allows you to borrow up to 200% of the assessed value of your car. This generous borrowing limit ensures that you can access substantial funds based on the equity in your vehicle.
Minimal to zero documentation required: Navigating the cumbersome documentation process often associated with loans can be a deterrent for many borrowers. However, with a loan against your car, you'll be pleasantly surprised by the minimal to zero documentation requirements. This streamlined process not only saves time but also reduces paperwork hassles.
Post car verification: Get money in your account and continue driving your car: However, one may consider the ease that comes along with the loan against your car to be one of the biggest benefits. After the required formalities are complied with, a borrower should count on a fast crediting of the specified sum of the microloan to the account. Furthermore, you can keep on using the car for your regular purposes as the treatment’s outcome will not significantly impact your daily schedule.
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In conclusion, for those who require instant access to money, a car loan offers a strong borrowing choice. Its low interest rates, quick disbursement, high borrowing limits, and easy application process make it an excellent choice for handling financial emergencies or achieving other financial objectives.
Are you interested in knowing how much loan can your car fetch for you? Click here