1. Finalizing the vehicle: we spend lot of time in searching for our favourite vehicle, & do lot of research on vehicle color, mileage, damage & History of the vehicle. Luckily with the advent of many organised used car dealers, market places finalizing the used car dealer became easy, who also give warranty, certification etc.. So the confusion &
complexity to finalizing the used car came down drastically from months to days.
2. Finalizing the Financier for loan to purchase the used car or pre owned car or second hand car is the second most important step, If we dnt plan properly we end up paying more... As many financiers are entering in to second hand car purchase market, it became very complex & confusing in finalizing the financier.
We should do proper research to finalize the Bank/ NBFC.
In this segment there are many organised & unorganized players who lend to all categories of buyers from excellent credit score to bad credit score.
Bank/NBFC mainly look at parameters while lending to the customer
1. Previous credit score
2. Profile of the customer
4. Own House/Property
6. Previous vehicle/ Previous car payment History
7. Down Payment
As a customer We should do little ground work to finalize the Bank/NBFC otherwise we end up paying more.
We should focus on these parameters :
1. Bank/NBFC Charges like Processing fees, Valuation charges, Hypothecation Charges, Stamp Duty, any other documentation charges
2. Rate of Interest
3.Tenure of Loan
5.Time to process Loan