People who do not have any credit history are treated like one who has a bad credit history. So when no credit people wish to buy a newly launched car or plan to run a transport business with a truck or any other vehicle by taking auto loan, no credit history becomes an obstacle to apply for such a loan. However, nowadays no credit people can easily avail loan by the help of auto loans for no credit people. This loan is easier and faster to avail. People can avail this loan without any hassle.
This loan is a secured type of loan. Lenders secure their money against the same car for which they give loan, but the car ownership stays with the lender until the borrower repays the loan. However the borrowers can use the car. Only the car's logbook stay with the lender until the loan amount is repaid. Borrowers can also deposit their house or valuable assets or jewellery or important documents as collateral instead of the new car against the loan. The loan amount depends on the make and model of a car or value of a car and repayment ability of a borrower. The loan term depends on the monthly income of a borrower and the loan amount. Borrowers can avail loan amount up to 90% to 100% of the price of the car depending on their credit history and down payment ability.
With this loan the rate of interest vary from 9% to 16% APR. If any borrower wants to get this loan with lower interest rate then they need to arrange for a co-signer. The co-signer will be the borrower's co-debtor and the co-debtor should have a good credit score. The repayment tenure of this loan is between 5 to 10 years. People can avail this loan by applying offline as well as online.