A loan is a type of secured loan where the borrower obtains a certain loan amount using the of their car as collateral. All vehicle types are likely to qualify for a car loan. Whether you own a truck, classic car, sports utility vehicles, or even a motorcycle, all can get to qualify for a car loan depending on your lender.
How Much Can I get?
When you apply for a car loan, you can get a loan amount as much as your car is worth. Your lender will appraise your car and you will be able to get between 25% to 50% of the value of your car.
No Credit Checks
Most loan lenders do not carry out credit checks when their customers apply for a loan. Therefore, all credit types can qualify to get a car loan.
Easy to Secure
Since there are no credit checks when you apply for a car loan, it is easy to secure one. Another thing that makes it even easier is that most loan lenders now operate online, this means that you can apply anywhere you are, whether from your home or from the comfort of your office.
High-Interest Rates
Loans usually attract high interest rate that can be as high as 25% to 30% monthly. This accumulates to around 300% Annual Percentage Rate (APR). The reason for this high interest rate is to enable the lenders manage risk so that they can recoup their money as fast as possible. The longer you keep the loan, the more expensive the loan becomes. Learn more at https://www.nerdwallet.com/blog/loans/best-car-loans-for-good-fair-and-bad-credit/
