VEHICLE LOAN

A vehicle loan is a type of secured loan offered by banks and financial institutions to help individuals purchase a new or used car, bike, or other vehicles. The vehicle itself acts as collateral for the loan, which often results in lower interest rates compared to unsecured loans. The borrower repays the loan amount in fixed monthly installments over a specified period, typically ranging from one to seven years. Vehicle loans make it easier for people to afford their desired vehicle without paying the full price upfront. However, if the borrower fails to repay the loan, the lender can repossess the vehicle to recover the outstanding amount.