Starting a new job is usually a reason to be happy. However, anyone who needs a car due to the distance to their new workplace is usually afraid that the financing request sent to the bank will be rejected due to the trial period. Compared to a classic consumer loan, there are small but decisive differences in financing models. Contrary to the widespread opinion about the rather poor prospects of success, a car loan is a very achievable project despite the trial period.
Safety through the car itself
Credit institutions attach great importance to the provision of collateral in the form of regular income or the like. Consumers who apply for a car loan despite a trial period can also specify the financing object themselves as loan security with the bank. In this case, the vehicle registration document is deposited with the lender until the loan has been paid in full.
If the debtor is unable to pay his monthly installments for any reason, the bank reserves the right to pledge the vehicle as compensation. With these measures, the bank reduces its credit default risk to a minimum. In this context, all banks only grant a car loan for a specific purpose. The use of the loan for another acquisition object is therefore completely excluded or prohibited.
Create favorable framework conditions
Customers with impeccable Credit Bureau registration significantly favor their request to the bank for the car loan despite the trial period. Anyone who has also attracted positive attention to their home or car bank over several years as a punctual as well as conscientious borrower also promotes their prospects for a loan approval.
Another factor is the option of a so-called dealer guarantee: In the case of a dealer guarantee, the vehicle dealer undertakes to take it back as part of the remaining amount. If the payment obligation is not met, the dealer will buy the car back from the bank. In this scenario, too, the car loan is absolutely manageable in terms of default risk despite the probationary period.
Give preference to car banks
The trial period overshadows a loan request to a large extent. Credit institutions – including their own bank – are particularly critical of such requests during this phase. The lack of proof of various types of collateral undermines the necessary basis of trust between the two parties. As an alternative, there are special car banks that mostly belong directly to vehicle manufacturers. In some cases, offers found there are much cheaper because the manufacturer gives special conditions to its vehicles.
Basically, however, a comprehensive loan comparison between the respective financing models is recommended. Here too, any special clauses such as the processing fees charged, the special repayment right or the right to deferral should be observed.