Getting light installments while taking a new car loan is everyone's dream.
Although convenient public transportation such as busway and commuter lines are available, it still encourages urban communities in Indonesia to look at private car purchases. Private cars are valued as answers to more comfortable activities, especially for family needs on weekends.
Especially at the end of the year like this, car manufacturers often offer attractive promos to prospective buyers. Many consumers are finally interested in buying a new car.
In Indonesia, people's interest in private cars is also driven by the proliferation of online transportation businesses. Many people are finally interested in buying a car for venture capital as an online driver. It is also facilitated by the number of car purchases on credit with a light down payment.
Well, if you currently want to buy a car using a motor vehicle purchase credit facility (KKB), make sure first whether your finances are ready to bear the credit installment burden? In order to make a loan decision, the purchase of a vehicle does not make a mess.
Consider again whether the amount of installments will not be too burdensome. Also take into account the monthly costs of car maintenance. Is your financial support still able to bear it later? Not to mention the annual tax burden.
If you still want to own a car, you can consider taking a loan with a small installment fee. Check out the easy strategy of choosing a new car loan with the cheap DP from HaloMoney.co.id below:
1. Choose a new car loan from the bank rather than leasing
If you expect a small installment when applying for a new car loan, you should choose a bank loan. Almost all banks in Indonesia have motor vehicle loan products (KKB) with almost the same loan scheme.
Why is it advisable to prefer a bank loan? Because usually the interest is lower than the leasing or finance company (multi). This low interest will certainly affect the amount of installments.
The lack of submission of new car loans with cheap DP through banks is a credit process that takes longer. Banks on average set a maximum processing time of 14 working days. However, it is very possible in practice longer than that depending on the completeness of documents received by the bank.
In addition, the requirements for credit application documents are generally more stringent. Not all submissions can pass verification of eligibility. Because after completing the completed documents such as salary slips, work information, family cards and identity cards, the bank will conduct a survey and they will determine whether you will be eligible to receive credit later.
Banks generally also set a down payment in large amounts, at least 30 percent of the total credit value.
This is different from leasing which generally sets looser requirements and faster processing times. Advances in car loans through leasing can also be smaller. Consequently, the interest on new car loans through leasing is generally more expensive.
2. Choose a larger down payment or down payment
The next step is to make your car loan installments lighter by increasing the down payment portion (DP). Generally banks or leasing set a portion of advances above 10-30 percent.
If possible, giving DP up to 40 percent is also better so that the debt burden is not too large. Automatically the installment load is also smaller.
All you need to remember, never think of using loan money for car loan advances. Car loans are consumptive loans that do not provide significant value-added assets like a home.
In addition, if you use borrowed money for down payment needs, you end up having to pay in installments for two types of debt.
So, for cheap car loan advances, make sure you use your own money, huh. If it is not sufficient, focus on saving for the DP by reducing consumption of tertiary goods such as clothing or fulfillment of entertainment needs.
3. Better choose a short tenor
The longer the tenor is taken, of course there is more time to pay in installments so that the installment load becomes lighter, even it can be in the amount of Rp. 1 million provided that the car purchased is still below Rp. 200 million.
Some leases provide car loan tenors for up to 8 years. While banks generally provide loan tenors of a maximum of 5 years.
Long installment tenors can help installments to be cheaper every month. However, by having a longer loan tenor, that means you have to be willing to pay the price of a more expensive car.
Consider the price of a car of Rp
00 million. If you buy it on credit for 3 years with a 4.25 percent flat interest per year, you have to deposit an advance of around Rp55.99 million. Monthly installments amounted to Rp.4.69 million. As a result, the total price of the car that you paid until the credit was fully paid reached Rp 225.12 million.
Whereas if you choose a credit tenor of up to 5 years with the same interest assumption, you have to deposit an advance of around Rp. 54 million with monthly installments to Rp. 03.03 million. So, the total price of the car that you paid until the credit was paid in full reached Rp.2 236.2 million. Or, it is more expensive around Rp. 11.08 million.
On the other hand, choosing a credit installment tenor that is too long is also actually less economical for your finances. The reason is, cars including consumptive assets are decreasing in value from year to year. The older the car is, the more maintenance costs you have to spend.
Unlike two-wheeled vehicles whose spare parts are cheap, auto parts are far more expensive. Parts of the tire, for example, one piece can reach Rp. 600,000. Not to mention the expensive fuel that adds more monthly expenses.
4. Choose a car according to the ability of the bag
Cars that are included in the low cost green car or LCGC are the right choice if you want a new car loan with light installments. The price is still around 150 million. Indeed, the price of LCGC cars continues to rise and almost equals the MPV but is still affordable for the middle class. Brio Satya, Daihatsu Ayla and Toyota Agya are cars that include LCGC.
In terms of engine performance, the LCGC cannot be as fast and as fast as a MPV, but it is usually only 4 seater. But this type of car is suitable for middle-income young people who live in cities.
Do not be ashamed to use this famous low-priced car because almost all generations of Milleniall choose LCGC as the vehicle of choice.
5. Adjust to needs not desires
If you follow your wishes, your needs will never be finished. Surely you want the best car in its class. But this feeling often traps us from taking a car that is far from reach and impressed to force ourselves. Unconsciously they finally paid the installments much higher.
To avoid this, you should do detailed research about what type of car is needed, whether for family or own purposes. For families, you can choose 7 seater, but if you are still single, it looks like 4 seater is enough.
Do not be tempted to look cool or a god class machine if you are not even one who understands automotive.
It is precisely buying a car with the specifications of the F1 driver's style will make it difficult for us when it will be damaged later, finally the monthly cost will also increase. Usually people buy cars based on passenger capacity, economical or not, and the resale price.
Well, those are some tricks that you can consider before deciding on a new car loan. Are you ready to count?