Why is it not convenient to apply for a vehicle loan in dollars?

In the last month, the dollarization of vehicle loans fell to 22% in October, which means that more people are opting for financing in soles for their vehicles.

This is in accordance with the recommendations provided by financial experts, but do you know why?

Most financial advisors advise that if you are going to borrow

Most financial advisors advise that if you are going to borrow

Most financial advisors advise that if you are going to borrow, do so in the currency in which you receive your income. This means that if your salary is deposited in soles, which would apply when applying for a vehicle loan is also to do so in soles.

First, changing money from one currency to another, in most cases it generates a loss since it can sometimes be difficult to find a competitive exchange rate. Secondly, you will always demand some more time, since you must withdraw the money, buy the dollars and then make the corresponding payment.

Foreign currency is always volatile to changes

Foreign currency is always volatile to changes

Thirdly, and for many the most important reason, it is because the foreign currency is always volatile to changes. As much as it remains stable for some period, the exchange rate can always vary. If it increases, it would mean that the credit will cost you more expensive than you thought. This is in accordance with the recommendations provided by financial experts, but do you know why?

Experts advise not to take that risk

Experts advise not to take that risk

It can also happen the other way around, and the dollar is cheaper, but experts advise not to take that risk.

If what you are looking for is to save on your car purchase, before committing, compare the alternatives available for vehicle loans, so you will know which one suits you best and offers you the best rates and benefits. This is in accordance with the recommendations provided by financial experts, but do you know why?

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