Looking for a new car but you have insufficient savings? Then a car loan can offer a solution. Read more about the possibilities to finance your car in this blog.
Choose the car financing that suits you
You can finance your car with a loan from the bank, with a car loan through the dealer or by leasing. All loan forms have their advantages and disadvantages. We list them for you. If you take out a personal payday loan for your new car, the car is really yours.
You know exactly where you stand: both interest and duration are fixed in advance. You can use the residual value of your car to pay off the loan without penalty. With a hire-purchase loan through the dealer, the car is only yours after you have paid off the car. You often pay a higher interest rate than with a personal payday loan. The duration is often longer and additional repayments are not always possible. This makes you a lot more limited.
With a private lease you have to return your car after the lease period has expired. If you want to terminate the lease contract in the meantime, it often costs a lot of money. Moreover, after the lease period you can only take 3 damage-free years for your car insurance.
In short, of all these loan forms, the personal payday loan is the most favorable way to finance your car
Personal loan most suitable form of car financing
With a personal payday loan, you receive the amount to finance your car in one go on your checking account. You choose in advance how many months you will pay off (the term). This way you know in advance what you pay per month in interest and repayment (monthly installment).
Because the car is really yours, you build up claim-free years and you benefit from a no-claim discount on your car insurance. Moreover, with a personal payday loan you can now pay extra without penalty. If you have extra money once, repay your loan extra. Then you save on interest costs.
Note the monthly car loan charges
After you have bought the car, additional costs will be added. So not only look at the monthly costs of the loan, but also at what you have to spend on the car. Think of fuel, car insurance and road tax. The total picture must fit in your budget.
Car loan? Insure your car all risk
Did you buy the car of your dreams? Then it is smart to properly insure your new purchase. An accident is in a small corner and it is a shame if you drive damage and receive no compensation due to the wrong coverage.
Are you buying a car with financing? Then we recommend to insure the (car all-risk) depending on the year of manufacture and new value. For example, if you drive the car through your own total loss, then it is useful to be sure of a claim for damages. This way you prevent yourself from getting stuck with car financing while the car is on the scrapping.
Why choose car financing through ABC?
- Lowest fixed interest
- Arranged directly online
- No closing costs
Take out your car loan in 4 steps:
1) Calculate your loan and monthly costs
2) Apply for your car loan. Receive a no-obligation quote immediately
3) Do you agree? Deliver the required documents online in my ABC, our digitally secured environment
4) We handle the rest for you free of charge. The money will be in your account within 2 working days.
Take out your car loan now