How to buy a car on credit without a down payment

Many banks and car dealerships offer to buy a car on credit without a down payment. Such a loan can be issued right in the salon and drive a brand new car by the evening. Also, using the Trade-In service, you can purchase a car that was in use.

Buying a car without a down payment, along with the advantage of quick registration and no need to pay a fee of 5-10 percent of the cost (this amount is also quite high for many), has some disadvantages:

• much higher interest rates;
• not all banks provide such a service, respectively, there is a smaller selection of offers;
• the overpayment amount will be higher.

To apply for such a loan, in addition to the standard set of documents (passport, TIN, copy of the work book and income statement), you will have to provide additional documents and information that are negotiated in each individual case:

• copies of passports of all family members;
• certificate of family composition;
• indicate the property you have - real estate, cars, expensive purchases made recently.

In addition to compulsory insurance "CASCO" and "OSAGO" some banks may require buyer's life insurance. It is worth noting that often the cost of liability insurance and the cost of the car is already initially included in the price of a loan car.

The procedure for obtaining such a loan is standard:

• provision of documents;
• consideration of the application within 1-5 days;
• choice of car and drawing up a contract;
• drawing up a loan agreement and a contract of sale;
• car registration and insurance.

You will receive a copy of the contract and registration certificate, the original documents and an additional set of keys remain in the bank.

Lending is made in rubles and dollars for a period of up to five years. Overpayment can be up to 75% of the value of the car. Annual rate - 9-14% in c.u. or 16-20% in rubles.

It is also worth noting that there is a limit on the cost of the car. So, with an initial contribution, you can count on an amount of up to 80 thousand USD, while without a contribution the allowed limit is no more than 40 thousand dollars.

The purchase decision lies entirely with the buyer. If you need a car here and now, then you can agree to such conditions. But in order to avoid unnecessary overpayments, you can save up the required amount in a few months and in the end you will save a lot.

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