Auto loans are used to finance the purchase of a vehicle. The vehicle itself serves as collateral.
- Benefits:
- Allows you to purchase a vehicle without upfront payment for the full amount.
- Fixed interest rates provide predictable monthly payments.
- Eligibility:
- Varies depending on lender and loan program.
- Stable income and employment history are crucial.
- Good credit score is generally required.
- Down payment on the vehicle may be necessary.
- Types of Auto Loans in Zambia (may vary by lender):
- New car loans
- Used car loans
- Refinance loans for existing auto loans