My boyfriend suggested the Jimny to me. On a Friday afternoon (October 24), I checked online ads and came across a 2006 model with an asking price of 450000. I immediately called my loan officer from BPI but I was informed that they do not accept second hand cars older than 5 years. I was very disappointed but then I suddenly remembered the loads of text messages in my phone from various agents offering personal loan and car financing. That was how I got to know that BDO accepts cars as old as 10 years. I called the sales agent Marlon and we agreed to meet on Tuesday, October 28 at the BDO Auto Loans Department in Ortigas.
Below is a detailed account of the entire loan approval process starting October 25, vehicle inspection and price negotiation until the day my car was turned over to me, November 7. Admittedly, it’s a pretty tight schedule which I would not advise anyone but with a little bit of kulit powers it was manageable. Also check my buyer tips in maroon ink.
October 2014
25 (Sat)
1. Vehicle inspection and review of documents at the seller’s place
Especially if you have zero knowledge on cars, it is better to bring a mechanic you really know and who cares that you get a car in good condition. Some mechanics just approve of the car for the sake of getting it over with so they can receive their payment so make sure you pick a good and trustworthy mechanic.
2. Price negotiation: from 450,000 to 425,000
3. Deposit of earnest money of P10,000 in cash
It is very important to inform the seller that you will be paying through bank loan. In my case, he has an urgent need for the money but he agreed to a 2-week deadline. We both signed a document that this earnest money will be forfeited if I did not give the full payment by November 8, 2014.
26 (Sun)
1. Signing of the open Deed of Sale by me, the vendee
2. Provided seller complete address and photocopy of 2 ID with 3 signatures on each page
27 (Mon)
1. Phone interview with the loan officer. E-mailed requirements such as COE, payslip, my mom's passbook since she's my co-maker and copy of remittances from my sister. Gave BDO Savings Account Number (for auto debit of monthly amortization).
2. Seller went to Camp Karingal for PNP Clearance and macro-etching (expedite fee of P1500-to be reimbursed on Thu)
3. Notarization of the deed of sale by Seller (fee to be reimbursed on Thu)
4. Vehicle appraisal (internal-BDO)
I followed up with my SA and was informed on Wednesday afternoon that the maximum loanable amount is P250,000 payable in 2 years max. Actual appraisal will still be scheduled.
28 (Tue)
1. Contract signing at BDO Ortigas
Gave Original Certificate of Employment, ITR and proof of billing. Also bring a copy of the OR/CR so that BDO can start their car history review. In my case, I didn’t know so I just emailed it to my loan officer later that day.
2. Credit Advice
I emailed this to the Seller since he cannot initiate transfer of ownership without this document.
3. BDO outsourced agent to check the car at seller’s place for actual appraisal
Apparently this was only initiated that day and visit was planned on Thursday.
29 (Wed)
1. Transfer of ownership of vehicle at LTO
Bring: PNP Clearance, stencils of the engine and chassis numbers, notarized deed of sale
The seller was very kind to do this for us. My SA advised that once documents are retrieved from LTO records section, we should remind the LTO officer to return them at once in order to avoid misplacing the documents. Inform the LTO officer that a staff from BDO will go there and verify the documents as part of the protocol for car history review. Prior to leaving LTO, reconfirm that the document has already been returned to its proper binder in the records section. This is to facilitate verification/car history check by BDO outsourced agent.
2. Downpayment of P165,000 in cash
3. Signing of acknowledgement receipt (P175,000)
Endorsement of Original OR/CR now in my name as well as original PNP Clearance, original stencils, original notarized deed of sale
4. BDO outsourced agent actual inspection of the car
This became a problem because I was informed by the seller that BDO suddenly cancelled the scheduled appraisal that day for some reason. I got the number of the contact person and demanded that she push through with the scheduled visit because the seller was waiting the entire afternoon. Fortunately she obliged.
30 (Thu)
Submission of the following documents to BDO for processing of loan
1. Original OR/CR
2. Original, notarized Deed of Sale
Seller has an open deed of sale. This is ok with BDO, you just have to sign a document indicating the full name of the seller to which the check would be payable to.
3. Original PNP Clearance
4. Original, three sets of stencils of the engine and chassis numbers
5. Payment of comprehensive insurance
6. Payment of chattel mortgage
It’s ok if you don’t submit the requirements yourself, I asked my brother to do it since I was at work. I was informed that if I submit complete and error-free requirements, in 3-5 days bank can release the proceeds.
November 2014
3-6 (Mon to Thu)
1. Booking of account/Processing of check
By the way, booking of account was done last week of October. I was told it was faster than normal and I thank my lucky stars for this… =) At this point, check payable to Seller is already available BUT it will not be released once car history/verification is completed.
2. Car history
This was the part where I got a headache. The OR/CR has been with BDO since October 28 but they only got the report on November 5. I pleaded with my loan officer and her team leader to prioritize it since I have a deadline. Thankfully they made it in time. The review of the report was done in less than a day and I was informed that the check is now available for release Thursday afternoon.
7 (Fri)
Check release to seller and claiming of the unit. =)
8 (Sat)
My midterms! Just imagine how much stress I put myself into this week. Lol.
My SA said that the monthly amortization will be debited to my account one month from the date indicated in the Check. In my case, it's every 30th of each month.