What are the precautions for buying a car with FAW Leasing loan?
2 Answers
FAW Leasing loan car purchase precautions are as follows: Need stable high income support: Without stable and relatively high income, it is difficult to maintain high monthly expenses, leading to financial imbalance or inability to afford payments. For families with mortgages, it is even more important to rationally weigh income and expenses to avoid impulsive consumption that could affect financial conditions and quality of life. Be cautious about zero down payment, low-interest rate, and other promotions: In fact, most of these promotions are based on raising car prices and increasing agent fees. Therefore, do not let small gains compromise consumer rights. Legal and reliable auto loan procedures should be processed at commercial banks or formal auto finance agencies that comply with the "Auto Finance Company Management Regulations." Do not forget to repay principal and interest on time: According to commercial bank regulations, borrowers should deposit the installment repayment principal and interest in advance in the settlement account. If the borrower fails to repay on time, the bank will require a certain amount of late fees and may take measures such as repossessing the mortgaged vehicle or holding the guarantor accountable. Additionally, the bank will record a negative credit history for the borrower, making future loan applications difficult or even leading to a "blacklist" by multiple banks.
As a young person considering financing a car from FAW Leasing, the main point is not to impulsively sign the contract. First, check your credit score—if it's too low, you might get rejected or face high interest rates. Read the leasing agreement carefully, as it often hides many pitfalls, such as floating interest risks, prepayment fees, and service charges. Calculate the total costs, including monthly payments, mandatory full insurance, maintenance expenses, and final residual value handling—you might lose out if you don't buy out the car at the end. Choose a car model that fits your daily needs; don’t just go for the cheapest option and risk problems later. I’d also compare car loan rates from other banks—FAW might have promotions, but clarify the terms directly to avoid being misled by salespeople promising conditions they can’t deliver. Stable income is key—monthly payments shouldn’t exceed one-third of your income, or the pressure will affect your life. Before the lease ends, inspect the car’s condition and maintain it properly to avoid extra charges. Stay vigilant throughout the process and don’t slack off. In short, young buyers should bring a knowledgeable friend to negotiate the contract.
