Used Car loan

Pre-owned cars are an excellent way to get started while you are learning to drive a car. Whether you are a first-time driver or an experienced one, a used car is the one that definitely checks all the boxes, be it in terms of features and also in terms of budget.

There are two ways you can buy a car – from a physical dealer or an online reseller. At a physical dealer, you can check the car before buying, an online reseller lacks this ability. Thus, it needs to be thoroughly verified before finalising the purchase. Here are some tips that can aid in buying a new car from an online seller –

History of the car

When shortlisting a car, make sure to acquire all the details about the vehicle. These include any major accidents, legal documents, any existing hypothecation, mechanical issues, etc. These factors play an important role when availing used car finance. You can post your queries on the online forum for the seller to answer these crucial questions that help to determine the right price for the car.

Comparing price for the same vehicle

There are many vehicles available based on the same model and year of manufacture. This helps you to determine the adequacy of the price charged. Whether opting for a used car loan or not, it is necessary to compare the price of your shortlisted vehicle with other similar models available. This can ensure you get your dream car within your allocated budget.

Further repair costs

No used car comes without any repairs that you need to bear. When purchasing a pre-owned car from an online seller, make sure to verify the additional repair costs that you might have to bear after buying it. You can ask the dealer about this information. Generally, reputed dealers are upfront and honest on these matters. If your car is financed by a loan facility, make sure to account for these expenses too.

Test drive before finalising

Even if you are buying your car online, make sure to avail a test drive before making the payment. While any amount of enquiry may not be able to reveal some red flags, a test drive can help you understand what repairs are required. It is advisable you also take assistance from a trusted mechanic as they have expertise in the irregular sounds that an engine makes.

These are some essential points to remember when buying a car from an online dealer. If your car is financed through a used car loan facility, make sure you check the used car loan eligibility criteria before applying. The used car loan rates are generally higher when compared to new car loans. Also, make sure you are aware of any used car loan charges when applying for one.