How To Get A Automobile Mortgage In Nigeria

What if I let you know that you may get a mortgage particularly to purchase that dream automotive of yours, would you go for it? There exist a number of real methods you may get a mortgage to purchase a automotive and on this weblog submit, you’ll uncover easy methods to  get automotive mortgage in Nigeria.

How To Get A Automobile Mortgage In Nigeria

What’s a Automobile mortgage?

A Automobile mortgage is a sort of automotive financing that permits a person to borrow cash from a lender to buy a automotive.

What to do earlier than getting a Automobile mortgage

Getting a automotive mortgage in Nigeria comes with sure necessities which you must certainly analysis and take into account whether it is what you wish to do.

Earlier than getting a automotive mortgage you must take into account;

The Price of the Automobile and the Reimbursement phrases

Month-to-month repayments of a automotive mortgage in Nigeria are principally achieved in installments. Reimbursement phrases may very well be 60- 72 months or extra. It varies with the automotive lending establishment. Nonetheless, you must know that the longer the reimbursement time period, the decrease the month-to-month funds and the upper the potential for paying a better whole rate of interest. So select your mortgage reimbursement time period fastidiously.

The rate of interest related to the automotive mortgage and related prices.

Many automotive mortgage financing establishments pay the complete price of the automotive quantity whereas some don’t. Most would require you to make an upfront cost in the direction of the price of the automotive whereas some can pay 60% of the full automotive quantity and you may be made to pay 40%. Some automotive loans require you to pay a sure sum of money (APR) as a part of the automotive mortgage. Contemplating the rates of interest and charges will enable you to select a automotive mortgage financing possibility that’s fitted to you.

Contemplate if the automotive mortgage has mileage limits

If you’re getting your automotive mortgage by dealership financing, you could be restricted on miles pushed by the automotive vendor. This is without doubt one of the issues you must look out for.

Most significantly earlier than getting a automotive mortgage in Nigeria please guarantee that you’ve got a gentle circulation of revenue. Imagine me, many automotive lenders in Nigeria don’t deal with defaulters kindly. Some solely add a default price whereas some go to the extent of reclaiming the automotive(automotive mortgage by a dealership or some banks).

Necessities Wanted to get a Automobile Mortgage in Nigeria

There may be all the time a requirement wanted earlier than one it’s eligible to use for a mortgage. Listed beneath are the fundamental necessities wanted to get certified for a automotive mortgage in Nigeria however please observe, necessities range with the lending establishment

  • People making use of for mortgage should be 18 years or above
  • Candidates will need to have an everyday supply of revenue (paid employment or entrepreneurship)
  • Should present a financial institution assertion. Financial institution statements can vary from 6 months to 2 years relying on the monetary firm and many others.,

Straightforward steps on easy methods to get a automotive mortgage in Nigeria

  • After figuring out the kind of automotive you wish to purchase, calculate the price and estimate the mortgage quantity that may cowl it.
  • Apply for a automotive mortgage in a monetary firm that fits your selection and apply (on-line or offline)
  • Get the 40% of the automotive quantity and pay for automotive insurance coverage. This is dependent upon the monetary establishment you’re borrowing the cash from
  • Purchase a proforma bill( draft bill exhibiting your curiosity within the automotive and the automotive worth)and get it accredited by the automotive dealership.
  • Current the accredited bill and different required paperwork to your lender
  • Then, wait patiently on your automotive mortgage software to be processed. In case your mortgage is accredited, cash shall be disbursed to you instantly or the automotive shall be leased to you.

Methods you may get a Automobile Mortgage in Nigeria

You may get a mortgage to purchase a automotive in Nigeria by the next methods

Non-public lenders

This refers to digital lending platforms like Fairmoney, Fast money, Department, Palmcredit, Carbon, and many others. Non-public lenders are the most typical approach you may get a automotive mortgage in Nigeria however you would need to enhance your credit score historical past earlier than you’d be given entry to a better quantity that may cowl the price of getting a automotive.

Direct lending from banks and credit score unions

There are numerous banks in Nigeria that gives automotive loans to wage earners by their auto lease applications. A number of of the most effective banks and credit score corporations you may get financing to purchase a automotive are; Stanbic IBTC by its automobile asset finance, Entry financial institution, First Financial institution, UBA Auto mortgage, FCMB, Autochek, CreditVille restricted, Opticom Finance, StartCredit, and Rosabon Monetary Providers.

Dealership Financing

Dealership financing is without doubt one of the handy methods you may get a automotive in Nigeria. All you must do is apply and acquire the mortgage from a automotive vendor finance division. If the mortgage is accredited you possibly can decide a automotive of your selection from obtainable automotive choices.

Last Ideas

Everybody desires to personal a automotive however many inform themselves they cannot afford it. Cash shouldn’t be a limiting issue to getting that lifetime of luxurious you dream of getting. Similar to in America it’s certainly potential to get a automotive mortgage in Nigeria however you should be abreast of how the automotive mortgage course of works to be higher ready and in addition guarantee that you may repay the mortgage when due.


I am Christian Nnakuzierem Alozie (Kris Kuzie Alozie). A native of Eziama Nneato in Umunneochi LGA, Abia State, Nigeria. I am an inspirational writer and a motivational speaker. And above all, a lover of charity.

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