| Minimum Salary | Salary Transfer | Early Settlement Fees | Maximum Term | Flat Rate | Reducing Rate | |
|---|---|---|---|---|---|---|
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Bank ABC - Car Loan
|
Minimum Salary: JOD 350 | Salary Transfer: Yes | Early Settlement Fees: - | Maximum Term: 7 Years | Flat Rate: - | Reducing Rate: 9.25% |
Benefits:
- Loan tenor is up to 84 months
- Loan financing is up to 90 % for new cars and 80 % for used cars
- Customers of this loan are covered with life and total disability insurance, according to the accredited insurance procedure
- Salary transfer is not mandatory
- Guarantor is not required
- Interest rate starting from 9.25% (Reducing)
- Maximum loan amount JOD 60,000
Eligibility:
- Jordanian residents.
- Good reputation and track record
- Not blacklisted
- Applicants need to apply for the loan directly through the bank's branches or the sales team.
- Applicants not to have any past dues related to previous loans at the time of lending.
- Minimum monthly net salary should not be less than JOD 350 and JOD 1000 for professional and self-employed (new cars).
- Minimum monthly net salary should not be less than JOD 500 and JOD 1000 for professional and self-employed (used cars).
- The car only with a zero mileage is considered “New” otherwise the car is considered “Used” even if the car manufacturing year is the same as the year of loan application.
- The purchased car remains mortgaged for the benefit of the bank until the end of the loan period
- Minimum age is 21 and the maximum age is 70
- Early settlement fee of 1% of the settled amount in case the remaining payments are more than 12 payments.
Required Documents
- Photocopy of valid ID.
- Car dealer price quotation (for new cars) including all car details mentioning the final car price.
- Appraisal of the car (for used cars) by the bank’s accredited car assessors and a copy of the sales contract.
- Salary pay-slip for the recent month.
- 3 months of bank statements for salaried employees.
- Comprehensive insurance equivalent to the loan amount for the first year in favor of the bank is required.
For professionals and self-employed
- Photocopy of valid ID.
- Car dealer price quotation (for new cars) including all car details mentioning the final car price.
- Appraisal of the car (for used cars) by the bank’s accredited car assessors and a copy of the sales contract.
- 6 months of bank statements.
- Financial statement.
- Certificate of professional practice.
- Valid vocational license.
- Commercial registration certificate.
** Calculator Definitions
Amount:
The total amount of money borrowed, also referred to as the principal amount.
Rate (%):
This is the annual interest rate on the product which is equivalent to APR, which is going to be calculated in this example.
Years:
This is the original term or length of the product, stated in years.
Effective Monthly Payment:
This is the effective monthly payment, which takes into consideration fees and other costs associated with this product. The effective monthly payment is the basis for the APR calculation.
Calculated Annual Percentage Rate (%):
The Calculated Annual Percentage Rate (APR) is determined using the annual interest rate of the product plus fees and other costs. This rate may differ from bank to bank. APR is useful when comparing two or more products with different interest rates and fee structures.
Representative Example Calculator
