As a top loan agent and consultant for both banks, private lending companies and private financiers for fast loan in the Philippines, I have learned so many important things to consider when applying for car loan. Whether you are buying a brand new car, applying for 2nd hand car financing or using auto as collateral to get loan, there are ways to make it easier and faster. Summing them all up, I would like to give you the 5 most important factors to consider when applying for car loan. These factors is always a must to think about before any move to submit documents to process an application.

Please note that this system applies to all car collateral loan and 2nd hand car financing or buying whether you are up to get a new auto or just buying used car. This system has also helped me in assisting clients thru distant online car loan application in provinces. Yes, my providers have different branches all over the Philippines and in provinces as well so if you consider applying for a lending company, you might want to search online first if your area had a catering financing company for your specific need. Before anything else, you might want to read a very informative post regarding car loan.

Top 5 Factors in New and 2nd Hand Car Financing and Car Collateral Loan Application

1. Agent and Lending Firm – Find a legitimate lending company, bank or hiring an accredited loan assisting agent is probably not your type of priority but believe me, it would be well worth it at the end of the process that you hired or asked from an agent’s assistance. Not just that because I am one but because I know how hard it is to get an approval for your loan application if you try to walk in to a lending company or financier. Furthermore, you can ask your loan broker if he or she offers free assistance services as well as consulting regarding your type of car loan to apply. Remember that scammers would usually charge you with a fee just for assistance. Freelance loan agents usually offer FREE service. Furthermore, if an agent’s prime motive is to earn by charging for a fee via assistance, chances are, you might get scammed or worse, not be helped if in case some problems arise out of your application process.
2. Private Financier, Bank or Private Lending Company? – Ask your agent or your financing firm if they are a private financier, private lender or a bank. It is always easier to know which one you are dealing with in terms of where your application and documents will be submitted. Remember that it won’t hurt you to submit to multiple lenders so you can choose later which one has the best offer. Although I know for a fact that banks offer the least interest rate and charges or fees, I also know that many advantages are at stake by option in to one. Private lenders and financiers on the other hand offer a much faster process compared based from my 4 years of experience being the country’s top collateral loan consultant for many lenders from banks to private financing firms.
3. Interest Rates, Charges and Loanable Amount – Even though for many loan borrowers who are in a hurry most of the time, these figures might be neglected, it is your most important consideration to think about. Figures are always a major role player for a loan application. This fact stands the same whether you are buying via 2nd hand car financing, buying a new car or using your auto as collateral to loan money from lenders. While banks would usually offer lower loanable amount, they have the least interest rates and charges but in exchange of that privilege, banks always offer longer time to process a loan approval. In this stance, many borrowers who opt in for the fastest process would end up with higher interest rates and less advantages when it comes to figures. For example, no bank would offer car impounding loan while only private financiers in my 4 years of experience are the only ones who would be willing to accept such type of car collateral loan.
4. Processing Time or Loan Application Turnout – All loans will eventually get processed and may either end up with an approval, disapproved or left hanging. There are so many reasons why an application will yield positive results when it comes to time consumption. Remember that while it is important to communicate with your agent as partially stated in #1 factor above, you should also be open to all your details pertaining to specific loan being applied. This includes credentials or banking credits, personal details and professional details. If you are not open with this type of transaction, then I suggest to go on your own and walk in. Approval time or processing time will greatly depend on you and your agent. Lenders will implement their policies regardless if you are qualified or not or even if you are a good paying client or not. Some of the reasons why loans get disapproved is when clients or applicants lie about credentials. Another reason is when you are not willing to disclose your personal, professional and banking credential details. On the other hand, those who choose not to submit or is having problems completing up the documentary requirements get a hanging application. Be sure to communicate with your agent and make sure to make sure all the time. Asking is free! And it is also your right to always ask. As a professional agent, I like it when clients ask. I have experienced it so many times especially with clients looking to apply for 2nd hand car financing and they’ve been declined already with banks and other private lending companies.
5. Year Models of Car to Accept – Whether you are up to apply for 2nd hand car financing, brand new financing or using car as collateral, it is very important to know if you can qualify via the allowed year models for your loan. As per records this year, 2016, a year 2000 year model would be an acceptable and allowed car for any type of loan apart of course if you are buying a new car.

“If you are applying for car loan of whichever type, please visit this page – http://www.autoloanphilippines.com/. That is my corporate website which I use to help clients in applying for car loan and 2nd hand car financing.