The worth of an automobile is unavoidable. Many of us want to possess it, but monetary barrier creates an obstacle to carve the cravings. By availing auto loans, one can easily finance an automobile. But, pledging a security for buying automobile may not be preferable to many borrowers. In that case, they can avail auto loans in an unsecured way, by which they can buy car without using security.
As it is referred at the beginning that these loans are available in unsecured form, hence all sorts of borrowers including homeowners, council tenants, housing association tenants, MOD tenants, private landlord tenants, living with parents, housing executive tenant, tenant with bad credit history can finance their desired automobile with unsecured auto loans.
With unsecured auto loans, buying any sort of automobiles is possible. Even more, these loans can be used for buying old vehicle as well. However, there are some pre requisite criteria, which a borrower needs to fulfill before applying for unsecured auto loans. These are as follows:
Borrowers’ age should not be less than 18
A fulltime employment is mandatory
Borrowers’ income should not be less than ₤1200
In case of buying old automobile, one can arrange finance for those vehicles whose age is not more than 5 years.
As unsecured auto loans, one can avail up to ₤25,000. Based on the borrowed amount, the repayment period is decided. However, generally, unsecured auto loans are repayable within 5-10 years.
The absence of security in this option enhances the risk of lending amount. Hence, to cover the risk, borrowers charge a high interest rate on the lending money. But, still some efforts ensure borrowers in availing unsecured auto loans at an affordable interest rate. We can discuss about the efforts briefly,
By shopping for the best deal, a borrower can arrange unsecured auto loans at a competitive interest rate. Borrowers are advised not to stick their choice with one lender, but look for other lenders also. In such cases, besides traditional lenders, like banks, financial institutions, lending companies, one can opt for online option as well. This option is rather less time consuming as well as easy.
Collecting and comparing various loan quotes also privilege borrowers in getting an unsecured auto loan with better terms and condition.
Besides, having good credit score is a benediction for borrowers to get some relaxation in case of interest rate.
Last but not the least, a borrower with bad credit score also can arrange finance with unsecured auto loans. So, what else are you waiting for? Finance your desired vehicles with unsecured auto loans.