Standard Car Loan
This type of car loans are finance products where the vehicle
acts as security against the loan. Often, a full comprehensive
insurance is taken out on the vehicle before the loan is
approved. This type of loan offers lower interest rates
as finance is secured against the vehicle. Car loans interest
rate is fixed.
Commercial Hire Purchase
Commercial Hire Purchase is available to businesses and
individuals where the finance company purchase the car
and then hire it back to them over a set period of time.
Regular monthly payments are required until the end of
the term. Ownership of the car remains with the finance
company until the end of the term. Comparing to standard
car loans this type of arrangement offers minimal capital
outlay, fixed repayments and no GST on repayments.
A finance lease is an option whereby the finance company purchases
the a car and then leases it to you. This provides immediate use
of the car with a minimum capital outlay. This product is available
to individuals as well if the car is used for business purposes.
You are responsible for monthly rental payments and for
the running costs At the end of the lease term you have
an the option to refinance, return, sell or purchase the
car using regular car loans.
Now for Car Loans