Owning a car is a dream for many Brazilians, and that's no secret to anyone.

But what if it's not possible to pay in cash?

Is it possible to fulfill your dream without having the full amount to buy it?

The answer is yes.

You can finance vehicles and buy the car that best suits you!

But before committing to vehicle financing, you need to research the available options and banks with the best rates for this type of loan.

Ready? Find out the best way to finance a car for you!

Financing is undoubtedly the most popular option for buying a car without having the full amount upfront. 

Basically, vehicle financing is when the financial institution makes the full payment for your purchase, and then you have a debt with the bank, for example, and not with the dealership. 

Through this option, you can make a down payment and finance the rest.

Furthermore, the number of installments allowed depends on each bank, as does the interest rate. 

The good news is that with financing, it's already possible to take the car home, even without paying a down payment or the first installment of the financing.

That's because you paid off your debt with the dealership.

Now your negotiation is with the bank; it's a "loan," so to speak. 

If you want to buy a car quickly, this is a good alternative.

Firstly, it should be noted that the bank makes the full payment for the car to the dealership.

At the same time that you are securing financing with the financial institution.

Typically, the debt can be paid in installments over up to 60 months, or 5 years.

Furthermore, if you have a good relationship with your bank, it's likely you already have a pre-approved loan in your name.

However, if you don't have one, the dealerships themselves offer the service through a bank with which they have a relationship. 

This is a good alternative, as the interest rate is usually lower and the repurchase is already included in the contract.

In other words, the financing works as follows:

You apply for the "loan" from the bank, the funds are released, you purchase and pick up the car immediately, and you make the financing payments to the bank of your choice. 

Remember that financing is a good choice for those who want to buy a car quickly and keep it for at least five years.

In the consortium model, there are no interest payments.

However, you have to wait to be drawn in the lottery to take the car home. Or, you can place a bid and be selected. 

For those looking to save money, this is a great option.

The rates are, in fact, attractive.

But, as we mentioned, you don't take the car home immediately. You need to be given the chance to win it.

Every month there is a drawing, and every month you pay an installment to the consortium.

Even after being drawn in the lottery, you continue to pay. 

If you're not in a hurry to own the vehicle, you can choose a payment that fits your budget and wait. When you have a certain amount, you can choose to place a bid.

Whoever makes the highest bid gets to win the car.

To start a consortium, you need to choose an administrator and become part of a group that has also opted for this form of financing.

The car's value falls within a certain category, which corresponds to a specific model, such as Uno, Corsa, etc. In other words, it corresponds to the model you wish to buy. 

After signing the contract, you begin making installment payments and participate in the raffles.

Each month, one consortium letter is drawn.

And if you wish to place a bid, the higher the amount, the greater the chance of winning. 

The consortium contract can be for up to 84 months, and installments can be paid via bank slips.

However, the payments may vary if the price of the car you are interested in increases or decreases. 

In other words, the consortium model works as follows:

Contract with the administrator, payment of installments, participation in raffles or bidding, vehicle withdrawal based on the bid or at the end of the payment of all installments. 

This is the best financing option for those who don't want to own a car in a hurry. 

For companies, this is usually the best way to finance a vehicle.

Leasing is a type of rental.

Because of this, the installments are lower.

However, when the lease ends, the total amount must be paid to the financial institution. 

If you don't intend to keep the car for very long, this could be a great option.

After all, the installments are lower and the interest rates are also lower.

Furthermore, you'll have the car in your hands quickly as well. 

However, it's important to point out that the car is not registered in your name, but in the bank's name.

Ultimately, it doesn't belong to you, but to the institution that did the leasing.

In other words, you can use the car, but if you default on payments, the bank will repossess it.

At the end of the lease, you can either "buy" or "sell" the car back to the lessee. 

Furthermore, leasing does not incur IOF (tax on financial transactions).

Therefore, it's an attractive option, depending on your needs. 

First, you must choose a financial institution to use for leasing.

If you already have a relationship with a bank, you can request the service.

You will agree with him on the number of installments and the final payment deadline, choosing whether or not you want to keep the car. 

After you finish paying the installments, you will have to pay a small amount for the car to become yours.

If you're not interested, you "sell" it to the bank. 

In other words, leasing works like this: you sign a contract with the institution and then take possession of the vehicle.

Then, you make the installment payments to the bank.

Finally, you choose whether you want to "buy" it and transfer it to your name.

Or else, "sell" it to the bank. 

As we mentioned, this method is more commonly used by companies.

However, nothing prevents you, as an individual, from opting for this type of financing.

Personal loans are provided by banks or financial institutions.

This type of loan is also known as a personal loan. 

This is a form of financing that is also offered by fintech companies. 

First, you go through a credit analysis, verifying your payment history and your financial capacity to commit to a loan.

If you are approved, the funds will be transferred directly to the bank account you provided. 

The difference from other forms of financing is that with personal credit, you choose what to do with the borrowed money.

In other words, you can use it to buy a car.

This becomes a good option because it has fewer requirements.

And so, the approval process is faster.

As we mentioned, you need to look for a financial institution or a fintech company to apply for a personal loan.

The total loan amount and installments depend on your profile and the institution chosen. 

After you submit your request, your credit profile will be analyzed.

We will check if your name is restricted by any credit bureau, such as Serasa or CPF.

In other words, if your name is "tainted in the public eye." 

It should be noted that some companies do not provide loans to those with a negative credit history.

Therefore, if you find yourself in this situation, first check the terms and conditions of the personal loan offered by your chosen institution. 

In other words, we can say that personal credit works as follows:

Choosing a bank or fintech company, credit analysis, loan approval, purchasing the car in cash at the dealership, and paying installments as agreed upon in the contract. 

This is a good alternative for those who are having difficulty finding other forms of financing.

Furthermore, the amount borrowed is usually larger, and the number of installments also tends to have a longer term. 

Banco do Brasil is considered one of the best banks for financing vehicles.

Through it, you can finance both new and used cars, as long as they are up to ten years old. 

Furthermore, it is not necessary to go to a branch to obtain financing.

You can use the BB app itself to simulate the available conditions and choose the option that best fits your profile and budget.

If you agree, simply finalize the hiring process by sending your documents. 

In other words, download the Banco do Brasil app and run a simulation before signing a contract.

Choose the make and model of your car, as well as the total amount you wish to finance.

Next, send a photo (it can be the Vehicle Invoice or the Vehicle Registration Certificate) directly through the app. 

Then, you will choose the best option for you and finalize the financing request.

You can track the status of your proposal through the app under the "Track your Proposal" option.

Financing through Banco do Brasil offers greater convenience, as you can finance the sale directly to the seller's account.

Furthermore, you have flexibility, being able to choose 1 or 2 months per year in which the installment amount will not be debited.

Furthermore, you can apply for financing directly from your home, at any time.

And the installments are debited directly from your checking account so you don't run the risk of forgetting.

Furthermore, even if you already have a car financed with BB, you can refinance it along with the outstanding balance. 

Itaú Unibanco Bank is also considered one of the best banks for financing vehicles. 

Just like at Banco do Brasil, you can run a simulation and check what conditions are offered for your profile.

If you already have a checking account with the bank, you can pre-register directly on the website.

Then, finalize your vehicle financing request with your account manager. 

Or, you can go directly to your agency to finalize the order.

Furthermore, you can also obtain direct financing through a dealership or reseller that is registered with Itaú.

If you don't already have an account, you'll need to go to the registered dealership or reseller with your driver's license. 

Typically, you'll receive a response, or a decision, regarding the approval or denial of your vehicle financing application within a few moments.

Therefore, by knowing the value of each installment and the information about the Total Effective Cost (TEC), you can already arrange to pick up the vehicle with the chosen establishment.

As we mentioned, Banco do Brasil (BB) also finances used cars. Just like Itaú. 

You can choose this option through the CDC (Credit Direct to Consumer) and contact your bank to negotiate the terms.

If you already have a good relationship with them, you likely already have a pre-approved credit limit.

Therefore, the process can be initiated through internet banking.

And, in the case of Banco do Brasil, through the app. 

In this type of financing, interest rates, the total amount to be financed, and the number of installments depend on your profile as a customer and the bank chosen, as well as the model and version of the vehicle. 

You can also apply for a lease, even if the car is used. Just like with a CDC (Credit Direct to Consumer), the interest rates are fixed. 

Finally, we emphasize that all types of financing have their positive and negative characteristics.

The best option depends on your needs and whether or not you already have a pre-approved credit limit. 

Run simulations at different institutions and compare the conditions offered.

Do your research and evaluate which one best fits your budget.

Check not only the interest rates offered, but also the payment terms.