In case you are having a tough time repaying your current car loan EMI, you can opt for car refinancing. With car refinancing, you can reduce the EMI burden on yourself.

Would your lender be okay with you asking to refinance the car loan?

Yes, Absolutely. They will surely be okay with you wanting to refinance the same pre owned / used car loan you took from them. This is provided when you have been a responsible customer and have been paying back all your EMI’s on time.

Are there any advantages of refinancing my car loan with the same lender?

Yes. There are few advantages you can enjoy when you refinance your car loan from the same lender. These are as follows;

Discount on new loan: Since you already have been familiar and associated with this bank already, you can expect a good discount and ease on few terms and conditions on your new car refinance loan.

Faster approvals: Another major advantage you will have on applying for car refinancing from the same lender is that they have all your personal data and information already. Hence your new loan can be approved instantly.

Avoid prepayment penalty: Since you will be closing this loan and taking a new car refinance loan from the same lender, they might charge you less or no costs on closing the loan. This also means they might exempt you from paying any prepayment loan fee too.

Better deals: Your bank knows that you will be shopping for deals by other Banks and NBFCs that would love to have a customer like you. If you are giving good business to your bank by paying all your EMI’s on time then they will definitely offer you better offers.

To conclude, getting a car refinance can help you increase the loan tenure and reduce your loan EMI. Hence check for offers from different Banks and NBFCs and choose the best deal.

Lower Interest Rates in the market

It is possible that you took a car loan when the interest rates were very high and hence have been paying higher EMI’s. But now interest rates might have dropped. Hence you can capitalize on this situation and refinance your car loan at lower interest rates.

Changing the lender

It’s possible that you might have purchased a dealer sourced car loan. In such situations, the dealer gives you the car after keeping his profit margin. Hence you end up paying higher EMI’s. So now you can compare loan options being provided by different lenders and accordingly choose the bank that suits your needs.

Your Credit score has improved

Since you have been paying your car loan diligently since 2 years without defaulting on any payments, your credit score has improved. So now you might be in a position to get good interest rate on refinancing your car. Please note that this option helps people who have been repaying their car loan EMI since a minimum of 12 months.

Changing the Loan Tenure

One of the major benefits of refinancing a car loan is increasing your loan tenure. Many a times it becomes tough for a person to repay the loan EMI. Hence by refinancing their car loan, they can increase the tenure. But you must note that doing so will mean that you will pay more than you initially were supposed to pay.

Refinancing a car loan is beneficial in these ideal situations as your budget is not affected and it also helps you plan your lifestyle, finances and future planning.

Car refinance basically means that you can avail a loan against the current on road value of your car. This is a secured type of loan. Many banks and NBFCs offer this loan easily. You can get a car refinancing in 2019 for multiple reason. We have listed some of them below

Short Term Loan

Car refinancing is a short term loan, perfect for those who want the loan for smaller period. As it’s given against the current on-road value of car, the amount itself is not bigger. The tenure is decided as per the eligibility and wishes of the loan borrower. Many banks and NBFCs offer customized tenure for car refinancing. In the year 2019 if you take a car refinancing loan, you may be able to pay it off before the year ends!

For Immediate Needs

Banks and NBFCs offer car refinancing quickly as it’s easy to process and approve. The loan gets sanctioned and disbursed as quick as in 72 hours*. Thus in 2019 you need funds immediately for any personal or professional reason, you can easily get the loan. By opting for this, you can fulfill your immediate needs by provide minimum documentation with easy eligibility criteria. Banks and NBFCs approve the loan amount as much as 60% to 70% of your car’s on road value.

Easy Approval

Banks and NBFCs have minimum documentation expectations and easy eligibility criteria to approve this loan. As it’s getting popular day by day and helps people to build a strong credit score, this loan is easily approved by various financial institutions. So in 2019 you have an option to get funds in a hassle free way and get it approved easily.

Minimum Documentation

Banks and NBFCs have a very specific and minimum list of documents required to avail a car refinancing loan. You just need to submit your KYC documents, income details and your car’s whole paper work. Banks and NBFCs evaluate your documents as per their policies and approve the loan quickly if you fulfill the criteria.

Lower Interest Rate

Banks and NBFCs offer exciting interest rate on car refinancing. The interest rate is determined as per bank’s policy, borrower’s credit score and the loan amount. The interest rates for car refinance starts from as low as 9.35%*. Many banks and NBFCs mostly offer floating interest rate to the borrowers.

So start planning to take a car refinance loan in 2019 today! Click here to check your eligibility.

But before you take this decision, consider these 5 aspects. These aspects will help you in taking the decision of applying for a car refinance.

Faster than other loans: Like how the cars are supposed to be fast, even the car refinance process is very fast. If all your documentation is done right, you can get your loan approved within 72 hours. These 72 hours will involve providing documents related to your identification (PAN, Aadhar), Income proof, Job stability, IT Returns, Vehicle ownership and other documents related to your current car loan.

Use the car loan calculator – Get more clarity when you use our car loan calculator. This can help you in understanding how much loan amount you can get. The only 3 details you will need to fill will be the loan amount, Interest rate and Tenure. You can keep trying different combinations to understand which EMI will be good for you to pay back.

Lesser fees and charges – When compared to other loans, Car refinance has very lesser transaction charges and fees that you have to pay. These are nominal in nature and affordable.

You can apply with a co-applicant – It is very important to maintain a good credit profile and history in order to get a good loan. But in case your credit score is weak or not satisfactory, you can apply with a co-applicant for a car refinance. With this you can get the loan at good rate of interest but the only downside here is that the co-applicant will get partial ownership of your vehicle.

A good credit score helps – As mentioned above; maintaining a good credit score will always help. Banks always appreciate an individual who has a high credit score (eg: Above 800). These individuals can get lower rates of interest for the car refinance loan because as per the bank, these customers have higher credit worthiness. Hence you need to work on improving your credit score as much as possible as a better credit score will mean you get the loan at lower interest rates.

Refinancing your car is a good option for those who need cash immediately. You can use this amount to fulfill a lot of cash payments and obligations. This can help you in the long run and save a lot of interest money. In case you have any such queries with regards to Car Refinancing, Click Here.

These three words play a very important role in the life of a middle class working person. In a country like India, buying you car holds a prestigious value and is a status symbol. Hence Banks and NBFCs offer many lucrative and attractive deals which allow customers to own their dream car instantly. With flexible EMI options for repayment, anyone can avail a car loan or used car loan.

While life moves on, you might fall into a debt trap, or need urgent money for education or medical emergencies. In such cases, there is a way that your vehicle can save you. That option is of Car refinancing.

Have you ever thought of refinancing your car? If yes, then it is important to understand few aspects that must be clear before you choose to refinance your car.

1. Your car value will depreciate: Depreciation is inevitable. Whatever you buy will depreciate with each year. When you purchase a car, its value will keep depreciating with each year. E.g.: In case you bought a car worth 7 lakhs in 2016. In 2018, its value might be around 3-4 lakhs. The depreciation % depends from vehicle to vehicle. When you opt to refinance your car, the lender will decide the terms of the refinancing on the basis of the insured declared value (IDV) of your car. If the car is very old, then you might not be in a bargaining position with the bank on interest rates.

2. Penalties on prepayment: When you plan to refinance, you will have to first foreclose your existing loan. Usually there are prepayment charges that you will have to pay. These charges can vary from 1-3%* and differs from lender to lender.In case you plan to refinance this loan to enjoy lower interest rates, then you must first calculate your savings on foreclosing this loan. You can calculate this by adding the prepayment charge to the old interest rate. Once you add these two charges, deduct it with the new interest rate on refinancing. If you can make good savings, then refinancing can be a good option.

3. Check the reliability of the lender: How many times have we read that our credit history is important so that the bank can judge us in a nice way? While refinancing, please look at how reliable the lender is. Just because you are getting a lower interest rate from them, it does not mean you will get good service. Hence consider all aspects, check how good they are with their customer service and then compare interest rates.
4. Check for hidden fees: Time and time again, we end up falling in a trap where we go for the loan by just reading the front page. Just because the bank is offering a lower interest rate, we get happy as “Lower interest rate means Lower EMI”. But that’s not all. Please read your loan application and offer documents very carefully. Look for processing charges, legal, documentation and any other charges which you will be applicable to pay once you sign the document. This will help you to truly understand how much money will be going off from your pocket.

While there are many things you must consider, these 4 aspects will help clear your mind before you decide to refinance your car. In case you happen to have any car refinance based queries, do not hesitate to contact us by Clicking Here

No, we are not talking about selling it off in order to raise money. The solution we are offering will not only help you get the money you need but also continue to own your car. The solution is “Car Refinancing”. With this solution, you can keep driving the car of your dreams.

What is Car Refinancing?

Car Refinancing is one kind of a loan where you can pledge your car as collateral with the Bank/NBFC. Your car will be evaluated first and accordingly a certain value will be given to you as loan amount. You can use this amount to clear all your problems or any financial obligations. After checking your eligibility and the verification on your vehicle, the Bank/NBFC will derive the terms on your loan. Depending on the condition of your car and its age, you can get good rates of interest.

Why apply via Ruloans?

Ruloans has been in the loan industry since the past decade. In these last 10 years, we have gained a lot of experience and help our customers in borrowing the right amount. Our motto is to provide services to our customers which are much more than money. We help our customers get the loans as per their needs and these services are provided “Free of Cost”.

How to Apply via Ruloans?

By logging on our web portal, you can apply for a car refinance immediately. Below mentioned is the process which will help you to get the process with ease.

By logging on to our portal, please click on the Tab “Car Refinance”. This will redirect you to our car refinance page where you will fill a form. This form has the most basic details related to your identity, your financials and the details of your vehicle. Once you fill the information, submit the form and wait for our representative to give you a call.

In the loan application, the documents can be uploaded on our portal itself. When you upload all your documents online, you can save a lot of time and expedite the loan process. Our representative will help you throughout the process and ensure you get your loan application through without any hassle.

Hence if you have any queries on refinancing your car, Click Here

These loans are more popular with both; the lender and the borrower plainly because the lender is safe with the collateral set against the loan and the borrower can get a loan with a longer tenure, lower interest rate and extended repayment period.  For unsecured loans, it is quite the opposite. There is no collateral because of which the lender applies higher interest rates and offers a smaller tenure for repayment.

There are certain advantages associated with taking a secured type of a loan. These are;

Loan Amount – You can expect a higher amount disbursed by the lender in a secured loan scenario. This is because the lender has a cushion in form of your mortgage in the event of you not being in a position to repay the loan amount.

Loan Tenure – In a secured loan, the lender often allows the borrower more time to repay the loan. Yes, the tenure is higher when compared to that of an unsecured loan.

Rate of Interest – Since the lender is at low risk in a secured loan scenario, they provide lower rate of interest to the borrower. This helps the borrower and provides ease in repaying back the loan amount. The same cannot be said if it’s an unsecured loan.

EMI is low – The monthly EMI in case of a secured loan is lower than that of an unsecured loan. This is because of the combination of longer tenure along with a lower rate of interest.

Loan Terms – For an individual to get a secured loan, he/she needs to make sure that the credit score is good. If it is not as per the requirement of the lender, they might still get the loan approved when they keep something as collateral. Although the rate of interest might be higher.

Hence, the addition of collateral in a secured loan helps the borrower to get the loan approved quickly. To understand more about how to apply for such secured loans