In life, financial problems are inevitable, they can occur all of a sudden and if you are not so prepared for it and need to generate funds immediately, then taking a loan against your vehicle is a good option. Instead of just selling it off, you can generate money on the basis of your car’s security. It is easier and faster to get a loan against the security of your vehicle. Also, as compared to a personal loan, the interest rates are lower. Through this article, we will give you all the necessary and important information regarding getting a loan against your vehicle.
Table of Contents
Application Form
Firstly, to get the loan against your vehicle, you will be required to approach a bank or maybe you can even get the loan through certain companies which operate online. They will give you a form in which you will be required to provide details like the name of the manufacturer, car’s model, manufacturing year, the reason for use (commercial or private). You will also be required to submit certain necessary documents along with the application form for a loan.
Documents
Your address proof and identity proof which are a part of KYC documents will be needed. The latest photograph, details of bank, bank statement copy, income tax return copies need to submit along with the application form.
Procedure
After you submit the documents to the bank, all your documents and application form will be evaluated and verified by the finance company or the bank. You will be granted a loan on the basis of the current value of your vehicle.
Expense involved
Processing fee for the loan, paperwork costs, note these expenses need to be paid by you when the loan against your vehicle is granted to you officially. Also, note that the loan will be furnished to you for a time period of 18 to 60 months.
Some Important Points To Be Mentioned-
If you have a commercial vehicle or if your car bears that yellow number plate, then there are considerable chances that the loan may not be issued against it. Warrantor is not at all essential for getting a loan against your car as you are using your car as security.
You can get loans instantly without checking the credit score by availing expert services offered by pawnbrokers Essex. It’s very convenient to get the loan immediately through online channels.
