It is the dream of every individual to own a four wheeler of his own. Car loans are offered by several banks and financial agencies. But there are several formalities and paperwork you need to consider before owning a car of your own. First-time buyers usually miss this as they are excited about the arrival of their new car. You may leave this job to an experienced or a senior to handle this job for you.
Ford dealership near Jackson, TN helps you out with the paperwork when buying a new car.autobolg.com recently published a blog on the various formalities to be followed before purchasing a four-wheeler.
The following write up helps you with the step-by-step procedure for completing the paperwork when you decide to buy a new car.
Paperwork For Bank Loan
There are several procedures to avail a bank loan for purchasing a car.
Choosing A Bank
If you prefer to own your car through cash, then you can skip this step. People who wish to buy it through a loan should complete several formalities. Firstly, they should make a choice of the bank who offer better loan plans. Generally, car dealers have tie-ups with banks for easy bank loans. You need to consider the following aspects before you go for a loan.
· Deciding On The Down Payment-Normally 15-20 percent of the car’s price is paid as a down payment. The remaining 80 to 85 percent of the motor vehicle cost is taken up as the loan amount. But it is also possible to increase the down payment so that you’re not entitled to a higher loan amount.
· Do Not Go For Lower EMI’s-It is always not good to opt for lower EMI loan plans. This may increase the rate of interest paid. You need to go through the terms and conditions of the loan, the interest rates, etc. before taking up the loan. You can also make use of the EMI calculator to know the EMI as per your loan plan.
The following documents are necessary as a proof for availing loan
· Identity Proof
· Address Proof
· Income proof
Choosing A Car Insurance Company
It is critical that you choose a better car insurance scheme from a reliable insurance company. Multiple insurance companies are offering several insurance schemes. You need to compare and decide on the best car insurance plan based on your need. The car dealer may convince you with certain insurance companies. Do not be cheated with their words. A car dealer is not an expert in providing you advice on choosing a reliable insurance company. Check for options available in the market. You can also browse online to know about the various insurance companies offering good car insurance schemes.
Do The Booking
After completing the financial formalities, you can go for booking your desired car. The car will be under the name of the person who is taking up the loan. The documents required for booking a car are
· Identity proof
· Address Proof
· Nationality Proof
Check For The following Documents
· Permanent RC
· Insurance Paperwork
· Pollution control certificate
· Manuals, service booklet, warranty cards.
The above are the paperwork you need to carry out before purchasing a car of your own.