Just like personal loans, there’s a range of options to choose from when it comes to business car finance Robina. The most sought after is business car loans with no collateral, and there are reasons for the prominence. If you’re looking to get finances for your business car without collateral, you’ll need to ensure that you can submit a personal guarantee.
Rates of interests
The interest rates are higher in the case of non-collateral loans because they aren’t asking you for any collateral to lend you finances. In this concept, the lenders don’t have anything to hold on you in case something goes wrong, and the repayment isn’t made on time. Only you credit history is critical in this case. When you have a favorable credit profile, you’ll have your loan approved. For this reason, the rates would be considerably higher. Another reason why the rates are higher is that the lender’s security is at stake. The lender will only be able to compensate for the losses they may face in case of failure through interest rates.