I recently applied for a car loan through
no deposit pcp deals, so I can share my experience. At first, I was also skeptical, because loans without a down payment are usually associated with high interest rates or hidden conditions. But, to be honest, the process was much easier than I expected. I applied through the website, filling out a form with minimal information: passport details, information about my place of work, and basically that’s it. No additional documents were required. A few hours later, they called me back and approved the loan. I liked that, because if I had applied to a bank, the procedure could have dragged on for several days. Here, everything is fast and transparent. Now about the interest rates. Yes, the rate was not the lowest, but not exorbitant either — about 14% per annum. This is a little higher than in standard banks, but I did not have to pay any hidden fees. Usually, when you take a loan with 0% or without a down payment, banks start to impose additional obligations, for example, to take out insurance or insure the car against theft, but here there were no such conditions. Perhaps, the flexible repayment terms were an important point for me. When I applied, I was offered to choose a loan term - from 1 to 5 years. I chose 3 years, because this is the optimal term from the point of view of my financial capabilities. Due to this, the monthly payment amount was not too high, but it did not stretch out for decades.
