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Can I use my home loan to buy a new car?

Generally yes, as long as you have the equity, repayment capacity and a reasonable credit history a home loan may be increased to cover a motor vehicle purchase. If your loan is in a fixed rate contract you may have to take a second loan with that lender to finance the motor vehicle.

Some care needs to be taken when funding short to medium term depreciating assets with long term debt as the motor vehicle may have “worn out” before it is paid for.

To discuss your financing needs Call Your Local Finance mortgage broker on .   


 

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