2006-09-23 19:38:23 · 6 answers · asked by FavoredbyU 5 in Cars & Transportation ➔ Buying & Selling
Banks base their lending decisions on the value of the vehicle. Daewoo and Suzuki cars do not have much of a value, so it is hard to finance much using that as collateral!
2006-09-23 20:56:05 · answer #1 · answered by fire4511 7 · 1⤊ 0⤋
Normally, banks or licensed finance companies have a standard ruling for loans on all used cars, irrespective of type, make or
colour.
If a used car is 7 years old or more, they are not willing to loan
money out. They are interested only on cars below 5 or 6 years
old. However, there are certain car dealers or credit companies, who may loan money for cars more than 7 years old, but they charge very high interest, like 15% and also they demand a
one-time payment up-front called 'service charge'.
It's ridiculous and unbelievable, but it's true.
2006-09-24 04:04:13 · answer #2 · answered by steplow33 5 · 0⤊ 0⤋
How do you loan money on something that has no value?
2006-09-24 11:23:13 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Because they aren't worth much.
2006-09-24 02:46:50 · answer #4 · answered by Lonnie P 7 · 0⤊ 0⤋
they are cheap cars, you don't need finance.
2006-09-25 09:42:34 · answer #5 · answered by Anonymous · 0⤊ 0⤋
because they are bad cars.
2006-09-24 02:40:07 · answer #6 · answered by Sullita 2 · 0⤊ 0⤋