What is the purpose of a car loan?

Auto credit is the easiest way to buy a new or used vehicle when you do not have funds at the time of purchase. But did you know that your loan can also allow you to buy car accessories or pay the necessary official documents?

 

What is a car loan?

 What is a car loan?

Auto credit is a service by which a person (or a company) buys a new or used vehicle without having the corresponding amount in advance.

The organization that offers the credit (credit agency, bank) pays the seller of the vehicle instead of the buyer. In return, the latter reimburses him each month a portion of the amount paid, plus interest.

In summary, with an auto fuel credit you can get the funds to buy a new or used vehicle at any time. It is also up to you to choose the duration of the loan , from twelve months to several years!

It depends on your monthly repayment capacity as well as your preferences: repay quickly, but with high monthly payments, or spread the repayment over a long period, with milder monthly payments.

Buy a vehicle in the broadest sense

It is obviously possible to use auto credit for the purchase of a vehicle. It can of course be to buy a new vehicle, but not necessarily: the purchase of a used car is quite possible.

In the same way, contracting a car loan can be used to finance something other than a “car” in the strict sense. You can get a loan to buy:

  • a car
  • a motorcycle
  • a utility
  • a trailer
  • a caravan
  • a camper

Buy a vehicle and its accessories

 Buy a vehicle and its accessories

The car loan can also be used to finance all the expenses that accompany the purchase of a vehicle :

  • pay official documents, such as registration certification (or registration card)
  • equipment and purchase of auto accessories
  • interview
  • insurance
  • assistance
  • Extended Warranty

Whether it’s buying auto accessories at the same time as your vehicle (such as a roof box, an anti-theft tag, a trailer hitch) or paying official documents , or financing repairs , credit auto is also the solution! Their costs are simply added to the cost of the vehicle to get the final loan amount.

The steps are all the easier as some auto loans include all the necessary to get on the road: financing + insurance + assistance + maintenance and extension of the manufacturer’s warranty.

Now, it’s up to you!