Maricor Bunal
How often do you browse car magazines and wonder when you’re going to drive one of those glossy, luxury vehicles and call it your own? How often have you though exactly how much it would cost you to buy one?
Yes, buying a car takes time and money. For some, it took five years to a decade of their working life with some extra time spent on part-time work to gather up enough money for the down payment and monthly amortization. But this shouldn’t hold you back. The good news is you can certainly buy a car soon if you stop just browsing images and start doing actual research about getting a car loan.
According to the 2016 Buyer’s Guide by Auto Industriya, one can buy a brand new car with a budget of PHP 500,000. The price can go down or up depending on the model and add-on features you prefer. Private lenders and banks can finance up to 80% of the vehicle’s upfront value and accept down payment for as low as 20% of the car’s purchase price. Loan maturity ranges from one to six years. So before anything else, you need to determine exactly how much you’re willing to cash in for your purchase so that it’s easier for you to determine the right term.
Apart from the lender’s fine print, here are few things to remember about the aspects affecting your purchase cost:
Insurance
You need to put safety first so you may have to allocate money for car insurance. This will be your safety net should accidents happen.
Closing Fees
These cover the conveyance charge, sales tax, extended warranty and shipping charge. But not all closing fees are necessary. For instance, VIN etching, pin striping, disability insurance and preparation fees are avoidable.
Aftermarket Services
These include car servicing and spare parts to name a few. Dealers will make every effort to sell their services. In the same way, you should make every effort to services you don’t direly need. Most especially, if you know you can get it cheap from someone or somewhere else.
Buying a car is certainly a major financial decision. But take it as a challenge and strategize your way to achieve your goal. The most crucial aspect of the purchase is to know exactly what you want. Write down the car features you like and your budget to make your discussions with both the lender and car dealer easier. Once you’re done with the planning, it’s time to seek expert help. Contact our loan consultants here at Loansolutions PH to facilitate your application starting from the filling of documents, comparing prices and partnering you up with a suitable provider.
