The loan for cars can be used by all those who are adults and have a residence in Italy to buy a new car
It does not matter if it is new or used, it can still be compared with a loan.
Actually, the changed loans can be requested and used without any restrictions. This means that they are non-finalized loans, that is, those requesting credit do not necessarily have to specify to the credit institution the reason for which they need the money. As a result, the money obtained from the bank can be spent by the debtor in the way he prefers.
I had to clarify this as there is a particular difference with the classic personal loans. In fact, in these loans in most cases the car loan is finalized. What does it mean? If you read that in the commercial offer we talk about a finalized loan, it means that the money obtained must necessarily be for the good or service indicated. In the case in question then the money obtained can only be spent to buy a car. Therefore, it will not be possible to purchase other goods or services or to conserve liquidity.
As already mentioned all this does not happen that a loan is used with bills
But this is not the only difference between a converted loan and a personal loan. The substantial difference lies in the fact that as can be guessed from the name of the loan, the bill is used.
The bill is to replace the monthly payment. Initially, one might believe that it is the same thing because even the bill before its expiry must be paid, just as happens with the monthly payment. In reality the difference lies in the fact that the bill is an enforceable title.
This means that the creditor, thanks to the enforcement of the title, receives a particular power, namely that of being able to request foreclosure and auctioning of assets owned by the debtor in the event that the latter fails or does not want to reimburse how much. All of the assets that will be attached will then be sold through an auction. The money that will come from the sale of the debtor’s assets will be used to cover the residual debt.
The execution of the bill is very important because it allows banks to have a greater guarantee than the debtor and consequently there is the possibility of more trust because the bank knows that in case the debtor does not pay the amount due will be able to rival his properties.
And this is precisely the peculiarity of the loan for cars. If the debtor fails to make payments on a regular basis, the creditor bank may request the seizure of its assets, including the new car.
This system also allows bad payers and protestors to obtain funding. These categories of people generally have difficulty in obtaining one while everything is much simpler if the converted credit is used. This happens precisely because lenders are aware of the fact that bad payers and protestors have already had problems in the past with other debts where they may have not been repaid or have been repaid late.
The subjects reported to the Crif as bad payers and the protestors therefore have a sort of “financial record” that can be consulted by all the financial companies, banks and lenders.
Therefore, in order to obtain a loan for cars, it will be sufficient to hold some property. Their value must certainly be greater than the amount requested, since in the event of a seizure from their sale, a sum suitable to cover any residual debt must be recovered.