Buying a car is not an easy purchase on the pocket. You can always opt for a car loan. To make things more convenient for you, there are many lenders who offer a car loan online itself. Applying for a car loan from the comforts of your house sounds appealing. But how can you make sure that your online car loan lender is legitimate and trustworthy? Taking any kind of loan is a process which should be handled with utmost awareness. These are certain factors which you should consider when you are looking out for an online car loan lender.
1. Registered with RBI
Every company which is into the business of lending in India needs to be registered with the Reserve Bank of India. Always check if the lender you are applying to is registered with Reserve Bank of India.
2. Check if The Lending Institution is a Well-Established Company in the Market
There will be a lot of car loan companies who will provide you with an online car loan facility. But you should check whether these are well-established and not some small time lenders. They should have a good name in the market.
3. Time Taken for Loan Approval & Disbursement
Loan approval and disbursal do not take much time if the loan application is done online. There are lenders which offer on the spot approvals. You need to contact the lender and ask for details beforehand.
4. Secure Website
The lender should have a secure company website. You will provide your personal information online to the lender. So you need to check if the website is secure so that your information remains safe. Peruse the website for features such as car loan EMI calculator, loan terms and conditions, car loan interest rates, tenure options etc.
5. Easily Available for Contact
Even though it is an online car loan, if you have any queries then the lender should have decent customer support to assist you. Either through call or email, the lender should be approachable.
6. Clear Loan Terms
When you are applying for a car loan, before accepting the terms of the loan, make sure that the lender gives you absolute clarity on them. There should be no ambiguity. If you feel something is amiss, then you should probably not apply for a loan with that lender.
7. Should Run a Credit Check
A credit check is the most important factor which lenders look for when giving out a loan. If your lender does not mention anything about credit checks then you should look for other offers.
You can also check the credibility of the lender by looking out for reviews on the internet. Research is the key to ensure that you do not fall in a loan scam and lose out on your getting your car home.