Chinese cars have spread significantly in the Egyptian market recently, which prompted banks to include most of them in financing programs and auto loans, due to the low prices compared to other brands.
Auto loan programs have witnessed a state of recovery in the recent period, especially after the Central Bank’s decision to increase the monthly installments from 35% to 50% of the total monthly income of the loan applicant.
What is the difference between Chinese auto loans and other brands?
In fact, the banks put different conditions when financing Chinese cars from other brands, provided that the difference in the loan value and interest rate as well as the repayment period will be in accordance with the customer’s social status, whether he is an employee or otherwise.
Here are the conditions for obtaining a Chinese auto loan from Al Ahli Bank and Banque Misr
First: the National Bank of Egypt
Allowed loan amount: From 20 thousand pounds to one million pounds, depending on the monthly income of the loan applicant.
Financing ratio and repayment period: The bank’s financing ratio reaches 70% of the car’s value, while the repayment period is from one year to 7 years, especially “Esperanza and BYD” cars.
Interest rate and administrative expenses: The interest rate on the loan is 17.5%, decreasing, and administrative expenses range from 1.25% to 2% of the total loan amount.
Minimum customer’s monthly salary: 1500 pounds, and he must be 21 years old and not more than 60 years old.
Second: Banque Misr
Allowed loan amount: It can reach one million pounds, according to the value of the monthly income of the loan applicant.
Financing ratio and repayment period: The bank’s financing ratio reaches 50% of the car’s value, and this percentage may increase in the case of “Esperanza and BYD” cars.
Interest rate and administrative expenses: The interest rate on the loan ranges between 18.5% to 19.5%, while expenditures reach 1% of the total loan amount.
Loan repayment period: The maximum payment is 7 years.
Minimum customer’s monthly salary: 1000 pounds (government employee) and 2000 (private sector). He must be 21 years old and not more than 65 years old.
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