What's needed to get a new car loan?

Good info, the couple places I visited when shopping seemed to put a particular emphasis on it. A couple asked about it before I could even state what I was interested in.

I also wanted to add, if the sales person doesn’t seem interested in helping you secure the loan, move on to one who is…if going that route instead of all cash.

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We test drove and bought the car today, thanks for the help, people!

The interest rate of course wasn’t 0%, not sure that was bait and switch or a miscommunication. It was 3.75% for a conventional (4 year) loan, or you could pre-pay 2 years worth of interest at 2.4%, and pay it off in 24 months (worked out to 18,000 in interest up front). We chose that route. We had a local taiwanese friend helping with negotiations, thank god!


Thanks for the update! May I ask how you were able to secure financing without any credit?

I’m not sure, and all the discussions were in Chinese. After we agreed to the deal they brought over the finance guy, but they didn’t ask any questions before offering the loan. It could be we could have been denied after the fact. They just asked for things like our income, job title etc. we don’t even have a local credit card so I guess it’s not important.

They have the car as collateral, so it’s not unsecured like a credit card.


Should have bought a used Volvo for probably 500NTD :smiley:

Good for you!
Sorry I came late to the topic, or I’d have suggested checking 預付利息. It could be more advantageous depending on your plan.

Glad to see you worked it out anyway.
Enjoy your new ride!

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This is false. The USA isn’t ‘anywhere in the world’. It actually harms your credit in many countries.

I recently got a vehicle loan for a new motorcycle. All they needed was the vehicle details, ARC and passport. They did not check my credit history. It is through Yu Rich Financial Services Company but was applied for through a dealer. It was interesting because the interest was calculated using fixed simple interest rather than variable compound interest. They gave me a discount on the interest because I had a guarantor.

I borrowed about $125,000 over 12 months, they only charged about $4,000 on top as interest and I repay a set amount each month. My motorcycle cost $190,000, I paid $65,000 up front.

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Lucky you! May I ask which dealership you went to?

It was a Kawasaki dealership in Yuanlin. The finance company couldn’t give 2 sh*ts about my income, credit worthiness or my foreigness :sweat_smile: they just called for me to verbally agree to the loan and that was that (i just say hao hao a few times). Then they called my guarantor to do the same.

It was a 5 minute process getting the loan. The owner of the dealership is a bit slow but nice and helpful enough.

祐昌車業 KAWASAKI .SUZUKI . 榮秋總代理經銷商
04 835 8089

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Thanks, yeah, I’d never heard of pre-paid interest, and initially said no. They dropped it from 3 to 2 years at the same 2.4% rate, and also there’s a prepayment penalty in the first 12 months if you take the 3.75% conventional loan. So the pre-paid seemed the best route. Paying cash would have been difficult since our money is still in the US and wire transfer seems to be taking 2 weeks or more.

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The US just likes to get people hooked on 20% interest credit cards, so they force you to build up credit that way.

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You can use your credit card and get the 12, 24 or 38 month interest free from most cards

Yes but they have tons of rewards and incentives that you can take advantage of

I also only heard this year about pre-paid interest loan, and after checking the details, we decided to take it.
The lowest interest we got in conventional loan was 2.7%, while pre-paid interest was around 1.7%, a big difference!

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They did to a friend of mine with APRC. Not someone who just arrived and has no credit history.

Toyota suggested it when I was looking at new Rav4s…

And no, they weren’t offering to my ex wife… they said with my APRC and credit history

Which bank will offer that? Loan was never drawn down right ?

0% finance now would already be losing money for the company/bank in higher interest rate environment.

Not necessarily. They get kickbacks etc… and also encourage people to buy cars by bringing them over the line of buying/not buying.

Toyota dealerships offer the loans but I don’t know the bank. Maybe they have an agreement with a bank?

I think that car companies do the financing themselves mostly when offering 0%. They set up a credit company to do the financing.

Normally the dealership has an agreement with a finance company. When I bought my Ranger in Aug 2015 I got 5 year warranty. Made a deposit of NT$400,000 the loan was for NT$1.2 million and 22K a month repayment. It was an interest loan can’t remember what is was but interest rates then were very low. I really just wanted the loan for credit history.

I used my HSBC HK PDF files from account in my Chinese name to show assets and income.