Every year on the roads of Russia the number of cars increases. Despite the huge traffic jams, people are rapidly going to car dealerships. But, unfortunately, not everyone has the opportunity to pay the full amount for a new car, so they go to banks. How do banking institutions sell credit cars ? Usually this whole thing happens through an auction.
A new buyer can immediately pay the full price of the vehicle (in other words, buy it and forget about interest rates and monthly payments) or take a car on credit. But often they squeeze out all the juices from such cars, so after the deal you need to fork out for its repair. With collateral, this process can be avoided.
But many who are going to buy a car through a bank pay attention to new cars on credit - they are not "killed", you don’t need to spend money on repairs ... But here there are a lot of pitfalls - such floating interest rates, taxes and a lot of other headaches .
How do car dealers sell credit cars
Of course, car loans are one of the most popular ways to buy a car. But in recent years, many banks have tightened their terms, so that not everyone can buy a car on credit. Lending in car dealerships is very popular right now - at first glance it’s very convenient, because you don’t have to go anywhere. But after a while, the client realizes that it was better to get a loan from a bank. And all because he charges additional fees for currency conversion when transferring funds to a car dealership. Thus, a financial institution is enriched by an average of 1-2 thousand dollars (with a car cost of 20 thousand dollars), which the client himself will pay.
The car dealership meets the buyer with long rows of beautiful foreign cars, and the friendly and always smiling employees are ready to show you any car model and answer all your questions. The so-called “individual approach” makes the client who has lost his vigilance agree to any conditions in the contract. Because of this, he falls into “credit slavery”, when interest is growing, and the monthly payment cannot be repaid. Here's how unscrupulous dealers sell credit cars. Unfortunately, there are a lot of them in Russia, and there are practically no honest people in credit institutions. Often, “good” managers catch unsuspecting customers, convincing that you can only get a loan and insurance through a salon.
And some even say that buying and installing additional equipment on a machine is possible only with them and it will be very profitable. Indeed, there will be benefits, but that's not in the buyer’s favor.
How to sell credit cars on lease
Many, as an alternative to credit slavery, choose a service such as leasing. The car purchase scheme is very simple: the client chooses the desired car, and the leasing company buys it. According to the agreement, the client makes an advance payment (it amounts to about 20-30 percent) and receives the car. Monthly, he repays payments for him. It turns out that you take the car not on credit, but on lease with the right to purchase.