Buying a car is among the first goals of young people who are just beginning to work. Once they finish college, many aim to leave their parents’ house and stop borrowing the car, to start transporting themselves. Having control over the route you take, the time you decide to drive, what things to put in the car and even the music you will play all the way, is something that many would not change for anything.
And more and more millennials are those who leave buses and taxis, and begin to transport themselves on their four wheels, now their own. However, in the case of many, one of the main impediments to accessing the car they are looking for is financing. For some, borrowing through a vehicle credit is not something so convenient, perhaps because they are still paying some credit from the university, they have a bad credit history or because the interest rate they offer them is not convenient, among others.
On the other hand, some others do not have the initial fee required by the financial institution. This fee ranges from 10% to 20% of the value of the car, and can represent a high value, depending on the model of the chosen car, causing them to not meet the requirements to access financing. In any case, this represents one of the main impediments when buying your first car.
If that is your case and you were going to put aside the dream of your own car, you should know that vehicle loans are not the only alternative. Indeed, collective funds represent an interesting option for those who have the right profile. And they could be ideal for you!
What are they?
Collective funds are like a savings fund through which goods and services are obtained, in this case, a car. A group of people get together and all make monthly scheduled payments, which allow each of them to access the vehicle for which they are paying. When you register, you must purchase a certificate and the number of fees will depend on each particular case; Once you finish canceling them, you access the vehicle.
How to know if they are for you?
The most important thing to know if this option is suitable for your profile is to ask yourself if you are willing to wait for the car. Unlike vehicle credits, here the car will not be delivered at the beginning and you will continue paying for it. First, you cancel it; Then you take it. So, not having the urge to take the car is the definitive feature.
In addition, you should find out if the model that you would like to acquire is available in this modality, since each entity handles different products, and in the end it matters that you acquire the car that suits you and fits your needs.
How and when did I take the car?
The classic option to take the vehicle is to finish paying the corresponding fees. But there are also other options with which you can advance this. If at any given time you have an interesting amount of money, you can finish off by paying several installments and thus get awarded. The collective funds manage a monthly dynamic through which fund participants get together and someone takes a car home, through the aforementioned dynamic.
Assessing which one suits you best will depend on how much you are willing to wait. However, through this option, the cost will be lower, as you are not paying interest. Similarly, what you cancel is the registration fee and the certificate, and both will depend on the value of the car, since a percentage is used, which can vary between 4% or 6% depending on the entity.
Is it more convenient than a vehicle loan?
On the other hand, another of the main differences is that collective fund entities request fewer requirements than when you request a vehicle loan. Basically, in most cases an identity document, service receipt (electricity, water, telephone) and some document with which income can be credited, such as your last payment slip, are requested.
In Peru there are several companies that are dedicated to this, so it is ideal that before committing to any, compare the requirements, costs and benefits, so you will make sure to choose the option that really suits you, without paying plus.