10 Steps To Apply For Car Loan In Nigeria

Applying and securing a car loan in Nigeria may sound very unusual. However, it is real, and it works. Without delay, sit back as we walk you through the ten (10) steps you can follow to successfully apply for a car loan in Nigeria. Also check how to get car loans in Nigeria without stress.

10 steps to apply for Car loan in Nigeria

Below are steps to successfully apply for car loan in Nigeria:

Step 1

The banks are always ready to provide funds for car loan applicants. Find out the type of car you want to buy, used or brand new. It is important to have this information handy because you wouldn’t want to suffer the embarrassment of approaching a bank for a car loan and you do not have information about the type of car you want.

Step 2

Get to know the cost of the car and the day it will be delivered after you pay. You can do this by visiting a car dealer shop to inquire about the amount the car sales for. While the banks don’t entirely fund the car, you can get funding of up to 60-70% of the cost price and then pay the rest from your pockets.

Step 3

Ask to know if there is an existing agreement between your bank and the car dealer. This is because some banks often plan with car dealers in anticipation of a car loan scenario.

Step 4

Banks provide many products that show their terms for a car loan. If you are a customer of a bank that provides a product relating to car loans then, you are fortunate. But if your bank does not offer such, you need to either continue with them or use another bank.

Step 5

If, for instance, provides such deals, contact your account officer and present your request for a car loan. Should you want to contact another bank instead, you can get information from their customer care service department.

Step 6

Once you have sorted out every issue with your bank, you will be told to prepare an official application for a car loan. You will need to enclose your application with your pay slip, car payment receipt and a copy of your employment letter. This should be submitted to your account officer.

Step 7

After submitting your application form, wait for the processing of your application. Some documents will be given to you to fill. This may be about personal and salary details, house address, etc.

Step 8

Now, the bank will give you a letter of offer of loan. The letter will contain the amount loaned to you, interest rate, repayment structure, fees, security, etc. the bank may ask for a standing order. Always confirm how much is deducted from your account every month.

Step 9

Upon your acceptance of the loan offer and fulfillment of all the requirements as demanded by the bank, the loan amount will be paid into your account. Meanwhile, the money will be paid into your account when the bank about to give a draft to the dealer for the purchase of the car.

Step 10

Last, upon payment for your car, the bank will issue a joint ownership draft to the car dealer. This gives room for your name and the bank’s name to appear on the documents of the car. Be aware that banks do not require collateral for car loan. The security is the comprehensive insurance.

Source: Nyscinfo

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