Analysis on the advantages and disadvantages of several loans for buying a car
4hw.com.cn: cars are now our necessary living tools, but buying a car requires sufficient funds. If the funds are not enough, we can only borrow money to buy a car, so how can we borrow money to buy a car? Let's take a look at the pros and cons of several car loans.
1. Car purchase by credit card installment
Many people hold several different credit cards. As long as they are in good use at ordinary times, they can choose to apply for car loans. Generally, only service charge is charged for credit card installment, without interest. The service charge is determined according to the period of installment. In terms of the installment service charge of Agricultural Bank of China, the service charge for the third installment is only 0.6%. If it is calculated by one year, the charge is 7.2%.
2. Bank car loan mode
For high-quality customers of banks, banks are willing to issue car loans to them, such as civil servants. The cost of bank car loans is relatively low. The term of car loans is generally one to three years, and the interest rate is 1.1 times the benchmark interest rate. If calculated by one year, the cost is 5.39%.
3. Auto finance company auto loan
Go to the 4S store to buy a car. If you borrow money, they will recommend you to apply for an auto finance loan. Although the threshold is low and convenient, the cost is relatively high, and there are many cost items. The annual interest rate of general loans is more than 15%, even more than 20%.
4. Finance lease
In this way, the procedures are simpler, but the cost is higher. It can usually reach 1 ~ 2 times of the benchmark interest rate. If calculated by one year, the annual interest rate is about 15% ~ 24%.
5. Private lending
Generally speaking, the interest rate of private lending will reach four times that of the central bank. Even for the new P2P car loan, if calculated by one year, the cost will be between 15% - 24%.