If you do not have enough money to buy a car in sight, financing appears as an alternative. But do you know what to take into consideration before making that decision? How to finance a car?
The first step is to assess whether the automobile is really necessary. Do not forget that buying a vehicle means not only having the money to pay it, but also to keep it. So, in addition to researching the financing rates, you should also put in the tip of the pencil spent gasoline, insurance and mechanics.
How to finance a car? Choose the financial institution
The first step is to look at the bank you already own and consult the vehicle financing conditions. Then do a market research and use the information gained to negotiate with your manager. If you can not get better conditions, you should consider going to another financial institution.
How to finance a car? Make simulations
Use the internet to your advantage. Most banks and financial institutions provide online simulators, where you only need to fill in some fields, such as family income, available entry and desired financing time.
Another option is to check on the website of the Central Bank the interest rate applied in each bank / financial institution and modality.
How to finance a car? Negotiate interest
Few people realize that interest rates are negotiable. Therefore, it is essential to conduct a thorough research to find out the best way to finance a car. Try to prioritize institutions with which you already have some kind of relationship. Generally, financing by the bank where you have an account is the best option. Thus, there is the possibility to negotiate the fees and find out the most appropriate way to pay for the financing.
Also pay attention to the Total Effective Cost (CET), which includes expenses such as Tax on Financial Operations (IOF).
How to finance a car? Choose financing modalities
Leasing is a type of contract in which the customer leases with the purchase option. It is a mixture of rent and delivery, in which the consumer has possession of the property, which is registered the property of the bank or financial institution during the term of the contract. When the installments run out, you become the owner of the car.
If you think you can not finance a car because you have no money at hand, the consortium may be a good option. It is advantageous for those who have no money on hand and no hurry to purchase a car.
By opting for a consortium, you become part of a group together with other buyers, organized by a company, and pay the installments regularly. However, you only receive the vehicle when it is drawn.
In most institutions, draws occur once a month. In this modality it is also very important to research interest rates and the CET of a financing in different financial institutions.
How to finance a car? Know the risks
The main risk to those who finance is the impairment of family income. So before you close the financing agreement, map out your spending and organize your finances, to make sure you can afford the plots. For this, the Ramsay family can help you.
Another common risk is the number of benefits, which should be as small as possible. With less installments, you pay less interest. It is also possible to pay a reasonable amount of money, as well as a bonus, profit sharing or 13th salary to increase the value of the ticket.