What are the conditions for obtaining a car loan, as well as the supporting documents to be provided? We will review the legal obligations that must be fulfilled when applying for a credit for a car, motorcycle or any other vehicle. We will also see how to get a favorable opinion, as well as the reasons that could lead to a car loan being refused.
Conditions for obtaining a car loan
Auto credit – new or used – is offered by dealers, banks, some insurers and especially online credit organizations. All of these potential lenders display certain conditions for obtaining any vehicle credit (car / motorcycle, etc.).
- Not to be registered (FICP or FCC)
- Be of age (18)
- Present identity documents and proof of address
- Provide sufficient financial guarantees (payslips or pensions, tax advice)
Other conditions for obtaining a car loan
Finally, there are more variable conditions depending on the lending institutions but which are found almost systematically when applying for car / motorcycle credit:
- Present a vehicle order form to the lender *
- Don’t have too high a debt ratio
- Have a stable financial situation
* The vehicle order form is issued by the dealers. Requested almost systematically by lending organizations, the order form ensures that the money is intended for the purchase of the vehicle. The car loan is not a credit without proof like the personal loan or the small revolving credit.
This voucher must also include the mention “purchase on credit” in order to protect the consumer. The sale will for example be canceled in the event of a credit being refused after having obtained a first agreement in principle. The use of the right of withdrawal (14 days) concerning the sale of the vehicle also causes the cancellation of the consumer credit. Any other problem concerning the delivery of the vehicle also results in the cancellation of the loan. It is therefore very important to verify the presence of this mention.
Car loan application: who offers the best rate?
The best auto loan rate is usually offered by credit agencies. Viloan, Bankate and even Astro finance offer TAEG rates that are more attractive on average than those of manufacturers, but also of banks and insurers. This is the result of our different credit simulations. However, not all online loan specialists offer attractive APR rates (what is that?).
Only a car loan comparator (new or used) can isolate the best rates. Our tool goes even further, proposing to obtain an immediate response in principle. Without commitment, this step ensures that your project is achievable in the best conditions.