Different people across the globe tend to need financial aid at one point or the other. The need for financial aid seems to be on the rise with people looking to meet their financial obligations while ensuring comfort and enjoying some luxury of life. One of the very expensive assets anyone can think of acquiring is a car. Due to the cost of acquiring such an asset, car finance seems to be the best option.
However, it is no news that getting a car is not the easiest of tasks. This is particularly true as most lending companies look for good credit standing to be sure that borrowers do not default on payment. Unfortunately, not everyone has a decent credit history, bringing a new twist to the situation.
Guaranteed car finance simply means an assured approved car financing for persons who are able to make a decent down payment regardless of the credit history. In such cases, finance companies and dealers often collaborate to offer loans that banks and lending institutions tend to run away from. With assets being assets that lenders can take legal action on, it is relatively easier for them to grant guaranteed car loans. If you are looking for car reviews for new and used cars why not consider sites like MotorNet and Honest John
Guaranteed to Buy a Car for You
When it comes to guaranteed car finance, interest rates tend to vary depending on the credit score of the patron. A satisfactory credit score usually means lower annual percentage rate (APR). Expectedly, poor or non-existent credit history will most likely lead to excessive interest rates. However, this does not prevent the applicant from going home with a new car.
Online Car Loan Applications
It has become relatively easy to get guaranteed car finance in recent times, with car loan deals becoming more accessible through the internet. It gets even better with online loan applications as they often processed within hours of submission. Many online companies also offer free service for receiving loan applications applied online and the submission of such applications them to associate lenders and dealers across the United Kingdom. This also helps to increase the chances of buyers obtaining approval of their loan application.
Some internet companies even go to the extent of providing discounted rates for online applications, with others providing credit limit that can be used for purchasing any vehicle from any preferred dealer.
Improves Credit Rating
One of the benefits of getting guaranteed car finance is that it can help in improving a person's credit standing. As time passes as the borrower continues to comply with the terms of payments and due dates, his or her credit score tend to improve. This can also increase the borrower’s chances of qualifying for refinancing should in the future.
Flexible Offers for borrowers
All in all, guaranteed car finance customers are treated like any other customer, giving them some flexibility to trade in their vehicle at any point in time during the loan period. This also makes it easier for borrowers to adjust to sudden needs caused by unforeseen contingencies.
In conclusion, borrowers are advised to be as prudent a possible in choosing the most suitable company for their needs.
There are many ways to get car finance, but in the UK companies cannot guarantee car finance for everyone.