New cars on credit at 0 percent. Zero auto loans from manufacturers - what's the catch? Calculations of upcoming expenses

You may have heard about a car loan at 0 percent. Sounds strange, doesn't it? Nevertheless, as practice shows, there are indeed proposals on the automotive market, according to which you can buy a vehicle on credit at 0% per annum. What is the point of such programs? Of course, the essence is the same - to increase the number of cars sold, even if you have to lose in profit. However, let's talk about everything in order.

So, a zero rate is really offered by several car manufacturers at once. It looks even more surprising against the background of the standard rate for car loans, which is about 15-20% per annum. Of course, in order to use this program, you need to follow a few important rules.

• The first is the initial payment. If even 10% of the cost of the car is enough for a regular car loan, then in our case you will have to pay no less than 30% of the cost of the car, and sometimes they don’t want to accept less than 50% of the amount. In addition, most likely there will be a commission for payments, although it is small.

• The second is auto insurance. This is about . On average, the cost of CASCO is about 3% of the cost of the car per year, and this money will have to be paid throughout the entire loan term. In addition, there is no guarantee that the bank will not want to include additional types insurance (for example, life insurance), which cannot be refused. And this, as you understand, is an additional investment.

• Thirdly, such lending is carried out exclusively by one bank with which the company has signed an agreement. If you given bank does not suit, it means that it will no longer be possible to get a car loan at 0%.

Thus, it turns out that the final cost of the car may increase due to additional expenses for the same insurance or commissions, so the real price vehicle may increase, albeit slightly. Be prepared for this.

Requirements for the borrower

The requirements for the borrower are no different from those cases when he wants to get a car loan at any other bank.

The bank primarily looks at:

• Level wages borrower.

• Workplace (how long a person works in one place, whether he climbs the career ladder).

• Driving experience.

• Registration at the place of taking the loan.

• Full compliance with the documents.

You can find out exactly what documents you need to provide for a car loan directly on the website of the car manufacturer. Some of them even allow you to fill out a questionnaire directly on the site and only after that go to a car dealership.

Who needs it?

Of course, many buyers do not trust such offers - they say, they will probably deceive them. Vigilance is good, but such generous offers do exist. And they are beneficial primarily to car dealerships that are ready to make sacrifices and get less profit by paying an interest rate to the bank instead of the buyer, but this allows them to quickly empty warehouses and make a profit.

The main thing is not to stumble upon scammers, so buy cars at 0% per annum only from authorized dealers if they offer such programs.

Competition in the car loan market is becoming more intense every day. Banking institutions, in cooperation with car dealerships, come up with various marketing moves to squeeze out their competitors. Today, many banks can offer potential borrowers to buy a domestic or imported car without interest, time costs and with a minimum package of documents. The phrase “car loan at 0” sounds tempting, of course, but everyone knows that free cheese is only in a mousetrap.

Zero car loan: to take or not to take?

Should I take out a car loan at zero interest? This is everyone's business. On the one hand, choosing loan program, you can save a lot, because with a standard loan for 5-7 years, the overpayment can be 90-100%. And the rise in price soft loan, issued for only 2 years, there will be only 10%. On the other hand, a zero car loan requires a high an initial fee(from 50%). Therefore, if the borrower has about 2/3 of the cost of the car, then it will be much more profitable to borrow money or collect the missing amount on your own and buy a new car at no extra cost.

But if a car dealer, together with a banking institution, offers the desired model and equipment of the car (and even on excellent terms), then there is still a sense in an interest-free loan. After all, in this case the borrower will be able to acquire a new vehicle at minimal cost.

As for a car loan with monthly payments, this option is only suitable if the car is needed urgently. But even this type of car loan must be repaid as quickly as possible, because at its cost it can come out like a regular loan at a rate of 20% per annum (or more).

Requirements for a borrower to obtain an interest-free loan

When applying for an interest-free loan, the bank makes the following requirements:

1. The age of the borrower must be from 21 to 60 years (for persons aged 60 years, life insurance will also be a prerequisite).
2. The borrower can pay monthly no more than 40% of his permanent income.
3. Casco insurance is issued exclusively from the partners of the bank.

In addition to these conditions, the bank requires a potential client to present a minimum package of documents, without which it will be impossible to obtain a car on credit:

• the passport;
• driver's license;
• certificate from the current place of work;
• income statement.

In addition, buying a car on credit without interest can result in fines and penalties for the borrower, the amount of which will be much larger than with standard loans. As a compensation " moral damage» Banking institutions may raise interest rates for servicing a credit account.

Interest-free loan: what's the catch?

When deciding to issue an interest-free loan for a car, you need to understand that it will not really be zero. After all, even in Civil Code RF (Article 819) says that "the borrower is obliged to pay interest and return the entrusted amount of money." Therefore, any loan for any purchase (not necessarily a car) will never be free. Yes, interest rate will be scanty, but it will still be 0.01% or 0.0001% per annum.

When applying for a car on credit, do not forget about vehicle insurance, due to which costs will increase by about 6-8% per year. When applying for an interest-free loan, banks usually require the payment of one-time commissions (another 3-5% of the loan amount). In addition, some financial institutions may require the client to insure his life (and this is another 1-3% per year).

Sometimes a bank may offer a client to issue a car on credit without cooperation with a car dealership. Such a service may be quite good option for those people who want to buy a car without reference to a specific brand or model. But even here there is a catch: a car loan issued without the participation of a dealer usually contains monthly commissions.

So, among the advantages of this type of car loan, the following can be noted:

• the opportunity to buy a new car almost in installments;
• most often, an interest-free car loan is issued as part of a promotion with car dealerships;
• insurance coverage at a reduced rate.

As for the disadvantages, they are:

• high down payment - from 50%;
• the maximum loan term is up to 2 years;
• hidden monthly fees.

In general, a loan at 0 percent per annum is just a marketing ploy that visually reduces the cost of a loan.

As a rule, zero here and does not smell. In this case, it should be borne in mind that the cost of a car loan depends on the value of deposits in the market. Therefore, to find out the real interest rate, you need to multiply the monthly commission by 12, and then add it to the advertising rate. For example, one banking institution attracts new customers with the following conditions: 0.0001% per year, loan term - 5 years, down payment - only 10%. At the same time, one more condition is written in the contract in small print: in addition to the interest rate, the borrower is obliged to pay a 1% commission every month. And as a result, it turns out that the increase in the price of the car is about 60%, and this already corresponds to the real rate at the level of about 20%. In addition, unlike the interest rate, the mandatory monthly commission is charged on the body of the loan, and not on its balance. That is, even if the borrower repays the entire debt ahead of schedule, there will be practically no savings.

How to calculate future loan payments?

In order to correctly calculate payments on a car loan, you must first clarify how the monthly commission is calculated: from the balance of the loan or from the entire loan amount. Most likely, such a commission is calculated from the loan amount, but you still need to clarify.

So, if the commission of an interest-free loan is calculated from the amount, then no calculators are needed, the calculation here is very simple. First you need to find out the advance on the loan, convert its “interest” into “real money” for the car price you have chosen, and then subtract the advance price from the cost of the vehicle. This will be the body of the loan. After this number is multiplied by the amount of the monthly commission, you will get the same amount that you will have to pay every month (except for the body of the loan).

For example, the cost of your car is 15 thousand dollars, the advance payment is 20%, the total body of the loan will be 12 thousand dollars (15-15 * 20%). The monthly commission is 0.9% of the loan amount, which means that you will have to pay $108 per month.

After that, you need to divide the loan body by the selected loan term (in months). If the loan was issued for 5 years (60 months), then $12,000 is “converted” into $200 per month, but if the loan term is 2 years (24 months), then $500 per month will be obtained. It remains only to add the previously calculated monthly commission - and you will get the amount of your payments on an interest-free loan.

If the monthly commission is calculated from the balance of the loan, then it will no longer be possible to calculate it in your mind. However, the payments in this case will be less. In addition, do not forget that the size monthly payments Casco, OSAGO and, most likely, life insurance will also be included. That is, insurance is about another 100 "extra" dollars a month.

Reminder to the future borrower

If you still decide to purchase a car on credit without an interest rate, then you must first familiarize yourself with all the conditions for granting a loan. It will not be superfluous to compare similar offers in other banks, for example, VTB24, Bank of Moscow, Sberbank, etc.

In addition, it is advisable to familiarize yourself with a small list of what you should pay attention to before applying for a car on credit:

1. First you need to think carefully about whether you really need this loan so much. You also need to soberly assess your financial capabilities and think about whether you can consistently pay interest (at least for a year). It must be remembered that to terminate loan agreement will be much more difficult than signing it.
2. Before signing the documents, you need to carefully study all the conditions. Banks like to "hide" hidden payments, so you need to read every item in the document. All terms of the contract should be clear to you, if this is not the case, then you can always ask the banker to explain this or that clause in the contract.
3. When concluding a sales contract, it is necessary to pay for the total cost of the vehicle along with all additional equipment (radio, disks, alarm) and additional services. The final price of the car may differ significantly from the one that was indicated in the advertisement or over the phone.
4. Be sure to pay attention to the terms of the contract, which relate to insurance. It is advisable to consider several options for obtaining a loan, and only then choose the most profitable for you. It should be remembered that the signing of the insurance contract is not a mandatory condition of the loan agreement.
5. If it is impossible to pay monthly payments, you must immediately contact a banking institution in writing and attach documents that confirm your temporary insolvency.
6. If you were sold a low-quality product, then you have the right to claim damages (in the event of a return of the car).

From the foregoing, we can conclude the following: zero car loans are just a marketing ploy that attracts new customers. At the same time, both the seller and the client himself know perfectly well that a car will be purchased, and not a loan. Credit in this case acts only as an additional sales tool. Interest free loans offered, as a rule, only with the support of car dealers and with a "unique" offer from the partner insurance company. Typically, such offers are bundled and deprive customers of the choice of another car or other insurance company. In addition, zero credits are valid only for specific car models, and not for the entire model range. Therefore, if the client needs this particular car in this configuration, then, most likely, the question of the cost of the loan will be in second place.

High competition in the market banking products makes credit organizations come up with various marketing moves.

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For example, some banks offer to issue a car loan at 0% per annum. Similar offers immediately raise questions from customers, because it is obvious that a credit institution will not work without its own benefit.

Is it possible to get a loan for a car without an overpayment or is it just another marketing ploy?

Conditions

Standard car loans are available for the following:

• loan term - up to 7 years;
• the size of the down payment - 10-20%;
• size - from 9%.

If the client wishes to use special offer from banks, then, most likely, the loan will be issued with the following conditions:

• loan amount - up to 7 million rubles;
• loan term - up to 3 years;
• the size of the down payment is 50-60%.

Thus, only those customers who have the necessary amount to make the first installment will be able to receive such a loan.

Requirements

When issuing a car loan 0 per annum, the bank will make demands not only on the borrower, as in the case consumer lending but also to the vehicle.

This is due to the fact that the car becomes. It is he who serves as a guarantee for the fulfillment of obligations.

To the borrower

Requirements for clients are standard:

• age - from 21 to 65 years (may differ in different banks);
• citizenship of the Russian Federation;
• the presence of permanent registration in the region of the bank's presence;
• solvency of the client;
• Availability official work(not required in all cases).

To the vehicle

The vehicle does not have to be new. Many banks issue loans for the purchase. Preference is given to foreign-made cars.

It can be problematic to get a loan for the purchase of a domestically supported vehicle, because banks are reluctant to accept such a collateral. Most likely, the client will be asked to issue a consumer loan.

To ensure

The car that the borrower purchases will be pledged to the bank. Thus, in case of default on the loan, it will be used to repay the debt to the bank.

In this regard, credit organizations check the presented cars:

• firstly, they should not have encumbrances;
• secondly, credit organizations require a CASCO policy.

Only a few banks accept cars.

Car loan 0 per annum

Can I get a car loan at 0 percent? Analyzing the offers of banks, it can be noted that more often it is just a marketing ploy.

The contract will state that the loan is issued at 0% per annum, but the cost of the loan is formed not only due to this indicator.

Often, the associated costs associated with or repayment of a loan exceed the costs of standard lending programs.

For 3 years

Consider current offers from banks and car dealerships that are ready to offer installment plans for cars for 3 years:

Programs and tariffs

Few banks offer similar lending conditions. In addition, such programs, as a rule, operate for a limited period of time. They are used to attract customers.

Programs are developed jointly with car dealerships.

What's the catch?

After analyzing the offers of banks, you can understand what the catch is:

1. First, in fact, the interest rate remains intact. The loan is not issued free of charge. The car dealership itself makes a discount on the cost of the car in the amount of interest charged. Thus, 0% per annum is a marketing ploy.
2. Secondly, using advantageous offer, the client will have to spend their money on additional expenses, including the purchase of insurance. Usually, banks include hidden commissions in such agreements, for example, for servicing a loan, SMS informing, issuing a loan, etc.

How to calculate future payments?

Before applying for a loan, you must. Thus, the client will be able to find out whether it is profitable for him to take this loan or not.

The amount of the overpayment includes not only interest, but also other expenses:

• CASCO insurance;
• and health of the borrower;
• additional commissions (including for servicing a loan, for issuing a loan, etc.).

All these costs add up to the price of the loan.

Registration

Loan processing is carried out in the usual way:

• the client submits an application and submits documents that confirm his compliance with the requirements of the bank;
• the bank issues its verdict;
• signing a loan agreement and a pledge agreement (if approved);
• getting money to buy a car.

Documentation

To apply for a loan, you will need the following:

• the passport;
• the second document to choose from (from the list of the bank);
• income statement;
• copy work book(not in all cases).

Insurance

Insurance is one of the main requirements for granting a loan at 0%. Moreover, the client will need not only to issue an OSAGO and CASCO policy, but also personal insurance.

The bank will not issue a loan until the client concludes an accident and illness insurance contract.

Appropriate policies are presented to the creditor in confirmation of the client's compliance with his requirements.

Repayment Features

Numerous car dealerships supported by credit institutions provide profitable terms enabling borrowers to purchase vehicles at minimal cost.

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Let's try to figure out what is hidden behind a loan at 0%. Also, what are the actual conditions? credit institutions loan for the purchase of a vehicle.

General points

A car loan at 0 percent is tempting for many motorists. The interest rate of an auto loan usually ranges from 15 to 17%.

With such indicators for five years, the percentage of overpayment will be approximately equal to the cost of another car. The 0% loan helps the borrower save money, but its availability is limited.

It should be noted that such lending has its own nuances:

A 0 percent auto loan always requires a large down payment	The borrower must initially pay at least thirty percent of the cost of the car. Not everyone is able to afford to make such a contribution at a time.
The 0 percent rate is available only for a short loan term - from 12 to 24 months	Such conditions significantly increase the amount of mandatory monthly payments. When it is planned to purchase an expensive car on credit, payment monthly loan can become an unbearable burden, and if it is impossible to pay monthly payments, it will be possible to resell the car after the loan is fully repaid. Until that moment, he remains pledged to the bank.
With an increase in the loan term	The credit institution may demand payment of additional fees for servicing the loan and making other payments. Having learned such conditions, potential borrowers often refuse the transaction, given high level risk

0 percent car loan

Before making a decision on lending, it is important to first find out what documents you need to provide to the bank in order to obtain a loan profitably.

Banks put forward a number of conditions for borrowers, according to which he can count on a positive decision on an application for a loan.

Required package of documents

A car loan is provided to residents of the country, subject to registration at the place of application for a loan.

An additional requirement is the presence of work experience for a period of more than 12 months, no delinquency on existing loans, an impeccable credit history.

The age limits should correspond to 20-60 years, the level of solvency is high. An approved contribution for the car and CASCO insurance is required.

Quite often, the terms of lending put forward a requirement to provide or guarantors.

Registration of such types of credit involves the collection and transfer of personal information to the bank:

• data of the passport of a citizen of the Russian Federation;
• Marriage certificate;
• information from the place of work potential borrower and the length of his work;
• any second document (TIN, SNILS, driver's license).

The Bank has the right to require additional information from the borrower. For example, if the borrower is married, a spouse's civil passport may be required.

To confirm the property status, documents proving that the borrower has liquid property will be required.

In addition, the lender always sets the requirements for the purchased vehicle. The year of manufacture, make and car must comply with the selected lending program.

The main condition for the lender is to insure the vehicle against harm and theft under the CASCO program.

For the right to drive a car purchased at, the number of persons is strictly limited.

While the car is on credit, then insurance policy the borrower before the bank may suffer significant losses in case of loss, theft or damage to the car.

Whereas a third party driving a car may refuse to fulfill any obligations.

Registration procedure

A car loan at zero interest per annum is usually provided for two years. The borrower is ordered to pay a one-time amount of not less than thirty percent of the value of the vehicle.

Today, banks are actively working in the lending market, which can offer interested parties a design aimed at purchasing a vehicle.

Applying for a car loan at a zero rate occurs according to the generally accepted algorithm:

If for 3 years

The loan term when concluding an agreement with a zero interest rate is always significantly less than under standard conditions, where the loan is granted up to seven years.

In accordance with the norm, the period will not exceed twenty-four months. In the auto lending market, there are offers when the bank is ready to lend to borrowers for a period of three years.

Video: how to buy a car on credit

Such conditions can be offered for the purchase of car brands that are less in demand by consumers.

For example, models of the domestic automotive industry or agricultural machinery. The conditions for such loans usually do not differ from the standard ones.

The processing of personal information and paperwork usually lasts for three to five days.

The debt is paid in monthly installments according to the drawn up.

Automatic transfer of funds from the borrower's card is allowed. This option is available if the bank has such a service. Sometimes it costs the borrower money.

To take advantage of this offer when visiting the office, you need a written application in a special form.

The possibility of early closure also needs to be discussed “ashore”. The borrower needs to understand that he will have to pay compensation for the early termination of the contract.

Since in this case the bank loses a client who brings a certain percentage every month.

In order to make a profit, the bank most likely initially increases the interest rate. As a result, the percentage can increase from zero to twelve percent or even more.

What's the catch

After reviewing and considering the offers and promotions of banking institutions, it is not difficult to guess what the trap is. It turns out that the percentages remain the same. No one will give you a good loan for free.

At the very least, it's completely unprofitable. The salon selling cars itself makes the so-called discount. It is equal to the full amount of interest charged.

Thus, zero percent per year is a marketing ploy. The client can take advantage of a profitable offer, but, most likely, you need to further spend your savings.

For example, for the purchase of insurance and other additional expenses. Usually, banks include in such contracts, hidden commissions.

"Car loan at 0 percent!" - such high-profile announcements can often be found in large dealerships and on city advertising posters. However, many buyers rightly doubt whether there is an interest-free car loan at all, because a bank cannot provide loans without profit. A 0 percent car loan exists and is indeed provided without overpayment, however, it has several important features. Who can get it and how?

Features of interest-free car loans

The 0 percent auto loan is offered only for new cars through major official car dealerships. Thus, dealers raise the level of sales and attract buyers, because many people are interested in the possibility of obtaining a car loan without overpayment.

The usual interest rate for car loans is at least 15-18%, which in 5 years will be almost the full cost of the car. A 0 percent car loan saves the client from having to pay extra money, but it will not be available to everyone.

The essence of this type of car loan is that the car dealership itself pays for Banking services, and the client remains to pay only the cost of the car. Taking into account the income of large dealers, such expenses remain almost imperceptible for them, and the client can save significantly.

0 percent auto loans are provided for high-demand cars that are in high demand, and this helps the salon further increase turnover.

This type of lending has several important features:

1. A 0 percent car loan always requires a large down payment. In this case, the client must immediately pay from 30 to 50% of the cost, which will be very a large sum. Not everyone can afford such a fee, despite the fact that they will have to immediately purchase additional equipment for cash and a CASCO insurance policy under the program indicated by the dealer.
2. You can buy cars on credit at 0 percent only with a minimum loan term. It is necessary to pay off the debt in 1-2 years, which will significantly increase the monthly installment. If it is planned to buy an expensive car on credit, such contributions may simply be unbearable for the car owner, and resell the car up to full repayment debt is not possible.
3. Loans of this type can only be obtained from one bank. Even with the minimum rate he may require additional commissions and various other payments, and the borrower will have no choice. Naturally, this does not suit all customers, and many refuse from an outwardly profitable, but very risky offer.

In most cases, you can buy a car on credit at 0 percent only after confirming solvency. The bank must be sure that the borrower will be able to repay the loan according to the issued schedule, and that the monthly installments will be large.

In addition, it is necessary to renew the insurance every year, and this is a serious additional cost. As a result, interest-free car loans become a good option only for wealthy people who can afford large expenses.

To what extent can such proposals be trusted?

Many buyers are sure that a car with a 0 percent loan cannot be purchased, and such offers cannot be trusted. However, in fact, such programs are beneficial to everyone: clients, banks, and salons. If the buyer is able to pay the down payment and repay the loan according to the established schedule, the deal will be truly profitable for him.

In this case, the bank makes its profit by paying interest on a standard car loan. The contract will specify real rate, for example, 18% per annum, only the interest will be paid not by the client, but by the car dealership.

The dealer is most interested in selling cars faster, as he receives bonuses from the manufacturer for this. They will be well worth spending on discounts, and an increase in car sales will bring considerable income. In addition, very often car dealerships sell expensive equipment for such loans, which further increases profits.

A 0 percent car loan is the most reliable option for a bank: a large down payment in itself serves as a guarantee of solvency. If the client has already paid a large amount, it is beneficial for him to pay off the balance of the debt as soon as possible and take the car out of encumbrance. Therefore, the bank acquires the most conscientious client.

Bank requirements for the borrower

To get a car loan at 0 percent, the client will have to meet special requirements. This is necessarily a high stable income, confirmed by certificates, long work experience at the last workplace, etc. There are several important aspects when applying for such a car loan:

• You can not violate the payment schedule. If for ordinary car loans a delay of several days will lead to simple fines that can be repaid relatively quickly, then in this case the car loan agreement can simply be canceled.

In this case, the client will no longer be able to count on a zero rate, and the balance of the debt will have to be paid in completely different amounts. The rules and sanctions for delay are always indicated in the contract, but many simply do not read it to the end.

• Such lending may be accompanied by additional fees. 1% for each installment transfer results in a real overpayment of 12% per year. Few people pay attention to these small payments, which eventually add up to a large amount.
• Sometimes it also happens that a car on credit at 0 percent is itself more expensive. The salon partially compensates for its losses by raising the price of the car. As a result, you still have to pay more than the car actually costs, and this reduces the very benefit of lending.

As a result, a car loan without interest becomes a rather complicated and risky transaction that needs to be carefully considered. With its help, you can save a lot, but the risk of wasted spending is also high. And if the borrower fails to cope with the debt, serious financial institutions, and such a loan will definitely not be profitable.

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