What You Need to Know About Secured Business Loans Against Cars
When you are in need of financial aid and need it as fast as possible, a loan against your car can be a viable solution. Loans against cars enable you to get the required money as you own an asset of value.
So, what exactly is a secured loan against car?
Simply, put, a secured loan against car is an agreement where the cash you borrow is guaranteed against your vehicle’s value. If you default on the loan, the lender takes your car in order to cover their losses. Since the arrangement minimizes the lender’s financial risk, these types of loans tend to have lower interest rates compared to their unsecured counterparts.
The security for a personal loan will usually be a piece of real estate or an asset of similar value. However, you are also able to take out a loan against the value of the borrower’s car. This way, if the borrower fails to make their monthly repayments or defaults on the loan, the lender will simply repossess the car and sell it to regain the money.
What are The Advantages of Getting a Secured loan against car?
For starters, since these types of loans are secured against the value of a car, the lenders do not have to worry much about losing money in case the borrower defaults. As a result, lenders usually charge lower interest rates for these loans than they would for unsecured loans.
Secured loans against car can ideally be a viable option if you have a poor credit score or less stable finances. That’s because the security of the vehicle as collateral reduces the potential of the lender losing money. Also, by applying for LoanOne online loans, you get to enjoy the benefit of experiencing an easy application process.
LoanOne is a non-banker lending company. A non-banker lender is simply a privately owned institution that doesn’t hold a banking license. We get funding from several sources at wholesale and then sell them at a retail value. This allows us to offer more flexibility with fees and interest rates compared to regular banking institutions. However, even though we do not hold a banking license, we are still bound by similar regulations and laws as conventional banks.
So, how do you go about the procedure?
When in search of an online Secured loan against car , the procedure is quite simple. You just fill out the application, indicating the car that you own has no financial encumbrances. Since you own the car, you will gain access to more loan options, which helps you get the funds you require as soon as possible.
At LoanOne, we are all about helping those in need of quick cash. That is the reason we have just four criteria for our car loans.
You need to be:
An Australian citizen or a permanent resident
At least 18 years old
An owner of a registered mortgage free vehicle or the owner of a property
Lastly, you should have a reasonable credit score. Not currently under a Part IX Debt Agreement or declared bankrupt
Bear in mind that applications can be paused or halted at any time. There are no obligations.
Why Should You Get a Secured Loan against car?
There are numerous situations why you may need to get a loan against your car:
Business emergencies and expenses
Purchasing new equipment
Unexpected expenses such as repairs
Funding of tax bills
Any other thing that is urgent
We know that unexpected emergencies can happen and you may not be financially ready to cover them. When you decide to apply with LoanOne, you benefit from all the following services:
A completely secure online process
Quick loan approval. Often within one hour during normal business hours
No hidden fees or surprises
Flexible loan repayment options
Direct deposit of the money to your bank account
An easy application process that can be done straight from your computer, tablet or smartphone
Helpful and friendly customer support staff
We aim to always practice trustworthy, responsible and reliable lending. We ideally share our cost structures upfront and approve applications that we are certain can be repaid.
Each loan application is reviewed by a professional assessor, following responsible lending criteria, something that’s rare with online lenders.
LoanOne is here to help alleviate the stress of getting the funds that you desperately need. We tell you what you need to know prior to getting the loan and keep in touch throughout the loan term.
Ideally, if you have any questions regarding the service, you can easily contact our readily available customer service team.