At the present time, have a car sometimes no longer perceived as a prestige but as a necessity. So what if the savings are not enough cash payment? There are many car loan options offered services, but be smart to choose the best for you so do not bother being chased payment later.
Steps selecting the most appropriate auto loan:
How to Choose the Most Appropriate Car Loan for you.
1 Determine Down Payment (DP) or a cash advance that you are able to pay, and installment per month.
Use a financial calculator as an example of CariKredit.com. Bank Indonesia (BI) issued a decree to advance vehicle loans since June 2012, but do not worry because many dealers either new or used car that has a DP installment program for a specified period. Remember the greater DP you paid in the beginning, it means you are to repay the load is reduced. Do not forget to ask for a discount from the dealer, because the purchase with a credit scheme if accumulated certainly be more expensive than cash; typically 1-3% discount of the price of the vehicle can be achieved.
2 Determine the car loan financing institutions: banking institutions or financial institutions finance companies?
Do not immediately approve the institution designated by the dealer, check first that there are various alternatives for lighter installment. List of banks that provide car loans can be seen in DompetPintar.com and finance companies in Simulasikredit.com list. Check the credibility of banks and financial institutions to prevent fraud or other problems.
According to the BI provision, the minimum DP for a car loan from a bank was 30% and 25% for finance companies. But did you know? That Islamic banks and Islamic finance institutions do not need to follow the provisions of the Bank since June 2012? So there are many Islamic banks that offer DP by 20% and even 15% of the price of the vehicle.
3 Thorough credit when filing.
Check all procedures, questions and answers to ensure the promotion in accordance with the reality, and your rights as a debtor. Make sure you understand all that is written in the credit agreement. Perform the calculation of the overall cost of the car loan, do not already excited to see the low cost offered on the face, because it is not necessarily the total overall cost of car loans is also low. Do not jump backwards if there is a screening process or length requirements of financial institutions, which sometimes seem more difficult to process it gives greater protection against debtors also the institution itself.
Survey 4 car prices at various dealers and internet
Diligent approached several car dealerships first before making a decision, and before going to the dealer, it helps if you are 'doing homework' first at home is by figuring out the price of your dream car market is. With more effort, you could save up to several million!
5 Select the best interest rate - fixed / flat or effective rate / floating
Read the full explanation here term interest rates. If you choose a flat interest rate, it will be safer, while the effective rate (floating rate) You can experience profit / loss as changes in interest rates of Bank Indonesia Certificates (SBI), which is determined by the BI.
6 Insurance
Lastly, do not forget to explore insurance services to protect yourself from the things that are not desirable. Most banks / financial institutions will also require you to have insurance for the vehicle loan financing, if only there was a car accident or your vehicle is stolen. You can choose between Total Loss Only (only covers about theft) or All Risk (which also includes accidents).
Those are some tips from DompetPintar so you can make the right decision will be the selection of your car loan.
