used car loan ultimate guide

Used Car Loan: How to get Approved – the Ultimate Guide

One day, you were in the midst of canvassing for an auto and you happen to stumble upon a great deal for a used one.  Great! Now comes the tricky part of paying for it.  You look through your options and decided it would be better to buy the car using a used car loan.
Luckily, Philippine banks are more than willing to lend you money, as long as they can be reasonably assured they’ll get their money back. Read more, to know more.
Note: Most cars in Automart.Ph are available for installment. You can apply for an autoloan after winning the bidding or auction for the car or vehicle in question. Automart will be there to guide you through the entire process so you don’t have to worry about a thing!

In a nutshell, the bank is really just interested in some information about you, before they approve your used car auto loan. This is partly government regulated by the Bangko Sentral ng Pilipinas or BSP, and mostly for the bank’s safety and due diligence. They want to:

  1. Find out who you are and your contact information, including your address.
  2. Make sure you have the capacity to pay them back for the car.
  3. Make sure you’re using the funds and the car for things that are above-board.

It seems like a lot of paperwork and documents, but it’s really easy and necessary. Though it may take a while, you are also assured that the bank will help you through the entire process.

So what are the documents needed? It partly depends on whether you’re taking the used car loan as a business or as an individual. Here are the requirements based on Eastwest Bank’s.  Most other banks have very similar requirements too.

General requirements for used car loan

Qualifications
  1. Between 21 and 70 years old at the end of the loan term
  2. Gross family income of P40,000/ mo minimum
  3. Stable source of income from employment or business.

Documents

Individual

  1. Completely filled-up application form
  2.  ITR
  3. Employment Certificate / 3 Months Bank Statement
  4.  Valid Government Issued ID

Corporation/Business

  1. Completely filled-up application form
  2. SEC Registration
  3. Articles of Incorporation
  4. By-laws
  5. Latest GIS
  6. Latest ITR
  7. Latest Bank Statements for 3 months
  8. Comparative AFS

Auto Loan Terms and Rates

Auto Loan Terms and Conditions – and why they’re better

Banks typically require a minimum of 30% for downpayment and a max term of four years. 

Further, depending on the bank, some have minimum prices for cars that can be loaned for. As an example, Eastwest Auto loans department will only give you a loan if the car you’re buying has a starting price of at least P286,000 and above. 

Automart.Ph will gladly give you an Auto Loan Computation or estimate for the cars that you are interested in buying. Get in touch with us and ask for a computation!

Interest Rates

Banks have different interest rates depending on the loan term you prefer. We’ve included here the rates for eastwest bank.

Loan Term
  • 12 Months
  • 18 Months
  • 24 Months
  • 36 Months
  • 48 Months
Interest Rates for Entire Term
  • 7.19%
  • 11.45%
  • 16.37%
  • 25.68%
  • 36.04%

Submission

For Eastwest, you may submit your application through us once you win the bidding for the vehicle and we will be the ones to forward them to the bank so that it will be less of a hassle for you. We’ll do so at no additional cost. 

Simply call or message us now, so we can help you!

Phone:

(02) 4269961

09278876400

09175693371

Email: contact@automart.ph

Website: https://automart.ph

Facebook: automartph

What exactly is Logo_30px?

Automart.Ph is your source for cheap, good quality used and repossessed cars. We never mark-up prices so you’re assured of the cheapest possible prices. You can buy  your dream cars here 24/7, online.

Go to Automart.Ph Now!

Reach us through: contact@automart.ph 0927-887-6400, text call or viber FB Messenger: AutomartPh
   

1 thought on “Used Car Loan: How to get Approved – the Ultimate Guide”

  1. Pingback: Repossessed cars - how and why you should buy | Automart.Ph Blog

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