The automotive market in Israel is one of the most active markets and costs about NIS 100 billion a year. In recent years, various economic entities have entered this market and began to grant a loan to a new vehicle to their customers. The method is simple and logical – the vehicle itself serves as a guarantee for the funds given. The loan is spread over a period that allows convenient payments, when at the end of the period can be replaced car – and take out a new loan.
Car loans and leasing companies
The most common method for receiving such funds is by purchasing a car using the leasing method. Business companies as well as private customers can get a new car, pay a predetermined predetermined amount and continue to pay for it in monthly installments, which are usually spread over a five-year period.
At the end of the period the buyer will be required to decide whether to take the car to him and transfer it in his name or sell it back to the company and use the amount received to refund the balance remaining. The vehicle will also be used for the payment of an initial amount for a new car, while obtaining a loan for a new vehicle.
In this system everyone enjoys – the customer always travels in a new car and the leasing companies manage to sell new cars at any given time.
New car loan and banks
In recent years, the banks have also understood the profitable potential and have begun to provide funds for the purchase of new cars. Here, too, the car is subjugated to a loan and the lien is removed only at the end of the payment. However, no banking or non-bank institution shall give sums of money to a person for whom a short clarification indicates that he has no reasonable repayment ability. In addition, the banks provide money in return for interest and monthly refunds only for the purpose of buying a new vehicle.
A car owned by a rental company wears off relatively quickly and within two years it is necessary to replace it. These companies offer advanced models at prices 15 to 20 percent lower than the list price, allowing buyers to receive car loans that cover almost the entire purchase price
With the bodies that give money to buy new or used cars from advanced years, it is also possible to include car importers, who see this method as an effective way to increase sales. For customers, this is a non-bank loan that does not harm the credit facility. As far as the company is concerned, the sums are safe, since the car remains mortgaged to the loan until its last payment.
Cars and businesses
For many businesses, cars are a crucial factor in the possibility of generating profits. Large companies make a centralized purchase of cars, mainly through leasing. These cars are delivered to sales and marketing people, or to the company they desire. In fact, the leasing companies give a large car loan to these companies.
Express Loans Portal A list of banking and non-banking institutions, car rental companies, leasing companies and other entities that are willing and able to provide you with online car loans under good conditions and convenient payment arrangements. In a short time you can check and decide on the best place to take money from you to purchase your next car.