Car loan application process:
- Enquiry with a lender: Firstly you need to get in touch lenders and get them to make loan offers to you. Then negotiate with them to get the best car loan interest rates. Check if there are any special offers too. Then all you need to do is select the best bank (lender) by comparing the information you have collected to choose the best deal for you.
- Documents Collection: After your lender selection, their direct selling agent will visit you to collect documents supporting proof of income, residence proof, and identity. You may be have to give copies of IT returns, salary slips, bank statements, passport, driving license, and other relevant documents as well. (Please note that these requirements vary across lenders.)
- Field Investigation Agency Representative Visit: After submitting the documents, a field investigator visits your home to double check the facts provided in the documents, such as your place of residence, tenure at work place, and so on. It is important that you are present during this visit to clarify any question that the investigator might have. Otherwise, the investigator might not get all the facts clearly and could report that the facts you provided do not actually add up - thus forcing the lender to reject your loan application.
- Loan approved: After the lender is satisfied with the authenticity of your documents, the loan is approved. The lender then disburses the amount through cheques or demand drafts (DD).
Above mentioned steps are a gist of the entire process but it should be borne in mind that these can vary from individual to individual and lender to lender.
