Car
Finance Loans
Information
on Car Finance Loans
There
are specialist loans around that cater for those who specifically
need finances to purchase a car. They sometimes come with extra
benefits such as:
- Payments
whereby you do not have to start paying the monthly loan payments
till a certain time period which can sometimes be up to 12 months.
- Interest
Free where you have to pay no interest on the loan.
There
are some car finance loans whereby at the end of the loan you can
either:
- Sell
the vehicle and pay off the deferred amount outstanding.
- Change
it for another vehicle and use the trade-in value to clear the
deferred amount then simply take out a new Car Purchase Plan to
buy your next vehicle.
- Keep
the vehicle, and pay the same fixed monthly repayments until the
whole amount is cleared.
Some qualifications you may need to qualify for a Car Finance
Loan
To
qualify you must be :
- over
23 years of age and under 65
- are
a homeowner
- have
a home telephone
- are
in permanent work and earning a certain income
- hold
a current full driving license
- be
a UK resident (excluding the Channel Islands and the Isle of Man
- hold
a debit, credit or cheque guarantee card
- need
to ensure that you have comprehensive motor insurance
Please be aware:
- If
your motor vehicle is written off by your insurance company, for
whatever reason, the policy will pay any shortfall between their
payout and the outstanding balance of the loan so you're not left
out of pocket.
- If
you are made redundant or become involuntarily unemployed for
more than 30 days, the policy meets your monthly repayments for
up to 12 months or until you find a new job.
- If
you can’t work due to accident or sickness for more than
30 days, your repayments are covered until you can work again.
- If
during the loan period Should you die, the outstanding balance
on the Car Finance loan will be all paid off.
Tip:
After reading the above points you can see that loan potection is
a wise thing to take out, but it may not be necessary have to take
out any protection offered with the loan so shop around to get the
best deal.
OCIS
provide general financial information, we urge you to consult an
Independent
Financial Adviser ( IFA )
before making any important decisions about your finances. |
