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Car Loans

Car Loan

A loan secured by a car is no longer a rarity, as for some, a loan on the same system. Microcredits are gaining momentum year after year, their number is growing, the quality and range of services that are provided in this sector is improving. Loans that are granted on the security of cars, also grow in all respects.

Of course, the leader in the number of such loans is Moscow. The capital of our country accounts for a third of all such microloans. The second place is in St. Petersburg, and in third place is Krasnodar.

Where to get a Car Loan?

One popular in the microfinance sector, ABC Bank, in the first six months of this year, issued more than 6.5 thousand loans against the security of a car. And the total amount of these contracts exceeded 1.5 billion rubles. For comparison, in the first half of last year less than 5 thousand loans were issued totaling just over 1 billion rubles. Thus, only in this company, the increase in the total number of loans secured by auto grew by almost 40%.

A secured car loan is more convenient

Strangely enough, but the average loan amount is fixed most of all not in Moscow and not in St. Petersburg, but in Kaliningrad (a little more than 400 thousand rubles). Tver is in second place (slightly less than 390 thousand rubles), Barnaul is third (350 thousand rubles). If you take the average check in Russia, it amounted to almost 245 thousand rubles.

If we talk about statistics during the year, loans secured by auto “behave” in the same way as other types of microloans. The peak is in December and May, although August of this year showed very similar data to these months.

A loan secured by a car is convenient

A loan secured by a car is convenient, as is a similar loan, in that the borrower does not need to try hard to prove his solvency. The Payday Loan reduces its risks and knows for certain that, in which case, it will not remain without money issued and expected profits. But even if you want to take a loan on the usual terms – without any collateral, having a car in your house will definitely increase the chances of getting the desired amount.

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Car Loans

The cheapest car loan is not necessarily in the car dealership

In the past week, we have informed here in the blog on the subject of motor insurance. The focus of the article was the conclusion of the car insurance at the dealership. Increasingly, more automakers and dealers rely on the distribution of financial services. Customers should not only buy the car locally but also complete the right insurance. However, this service has its price: Often car buyers would be better advised to take out insurance with another insurer. That is why it is advisable to first compare and then commit.


But not only motor insurance is offered in car dealerships. The issue of financing has also become increasingly important – mainly because more and more cars are being financed. Meanwhile, about every second new car is financed. In addition, there is also an increase in financing for the younger used vehicles.

It is, of course, practical for the buyer if he has the opportunity to apply for the car loan directly from the car dealer. However, the situation here is quite similar to the insurance: Whether an offer is really good, can only be said, after making a comprehensive comparison. Therefore, nobody should act precipitously and sign a loan application in addition to the purchase contract. It makes more sense to obtain several financing offers and then to decide.

Of course, the car loan in the dealership can be the cheapest. With so many new cars the manufacturers wait with very attractive credit conditions. On the other hand, car banks are not always the cheapest. In the case of used vehicles, it is often the case that you can look at other providers on better terms – and even with new vehicles is sometimes given this opportunity. Consequently, you should always do a credit comparison (preferably online) to find out which bank offers the best car financing.