For several months, we note that the rates applied for car loans are particularly low. As a result, more and more consumers decide to start a new loan in order to buy a new car.
If the rates for auto loans are often quite low at the beginning of the year, it is mainly because of the special conditions offered during the Motor Show and that last for a few weeks once the Fair is closed.
But today, several months after the Motor Show, financial organizations still offer very attractive rates to consumers who take the opportunity to invest in new cars. The proof: many Belgian banks have noticed a positive evolution of applications and installment loans in the context of the purchase of a car.
At the beginning of the week, a Belgian economic magazine visited the main Belgian financial institutions in order to obtain figures of this evolution. Result: KBC announces a 50% increase in auto loans in the first quarter of 2014, BNP Paribas Fortis places the increase at around 22.5% over the first four months of the year and Belfius notes a positive evolution of 10 15% since January 2014.
Note: all figures are taken in comparison with the same period last year.
Interesting rates for consumers
More and more Belgians are turning to an installment loan to buy a new car, mainly because of the conditions offered by the bank branches. Indeed, at present, it is not uncommon to find rates below 3% for a car loan of 15,000 euros over 60 months . Online loan simulation tools can also give you a good idea of the rates in effect.
A little extra advice: Know that it is not forbidden to negotiate the rate of your loan with your banker. Often, a rate of 3% can still go down a little if you are already a customer at this financial institution or if you decide to transfer your assets within this bank. Similarly, when you apply online, the rates may, in some cases, also be lowered …