“The borrowing of money which has to be repaid with interest to fund the purchase of a car”. Car loan is sometimes described as a number of different loan products. The main finance product that is used is Hire Purchase. This is the traditional loan type that dealers and finance providers offer. This is a secured loan as the value is secured against the asset (your new car). An alternative option to Hire Purchase would be a personal loan or a car leasing product.
Eligibility for the this loan is checked by the income of the borrower & by the value of the property according to market rate.