How to get a Car Loan in Nigeria

Posted by Felix Okoli on Monday April 14, 2014 at 13:51:14:

When you need to buy a car, and you find out that the money you have is not sufficient, you can apply for a loan in any of the banks in Nigeria. Banks make provision for car loans to aid people purchase their own vehicles. Car loans are given to people who are eligible and have met the standard requirement by the bank to issue such loan.

Standard requirement for obtaining a car loan in Nigeria:
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Most banks require you to have the follow if documents for you to apply for a car loan.
• A proof of salary payments for at least the last three months
• Your bank statement for the past 12 months if you are operating an account with another bank
• A letter of employment and a letter of introduction from your current employment
• A valid identification car
• A recent utility bill
• Two recent passport photographs
• A copy of your resume or curriculum vitae.
• A company’s registration document (if self employed)

If you met all the requirements above, you can walk into any bank and request for a car loan you will be given a form to fill, and you are expected to deposit 10% of the total cost of the vehicle if are operating salary account with the bank or 20% if you are not operating a salary account with the bank. The bank can order for your car for you or they can release the money for you to order it yourself.

Payment Procedure
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Most banks give you enough time to pay back your car loan and the time ranges from 1 year to 5 year. If you have a salary account with the bank they deduct a little percentage of your salary till you’re done with the payment.