In the search for a modern, versatile and efficient car, many Brazilians end up coming across the Fiat Argo. The model has different versions, with the cheapest starting at R$89,990.00, making it one of the most affordable in the category.

However, even with a value below the average of what is found on the market, many people have difficulty buying one, especially those with restrictions on their name or in a financial situation that does not allow them to make a generous down payment.

But did you know that people in this situation have an alternative? In this article, we will talk about How to finance a Fiat Argo without a down payment even if you have a negative credit rating, as well as precautions to take when taking out financing and much more.

What is Financing and What is it For?

Financing is nothing more than a credit modality offered by banks and financial institutions for the purchase of goods, in this case, vehicles, without the buyer having to pay the amount in cash.

Through it, a person can make a contract with a bank, which will buy the car on their behalf. In other words, instead of paying for the car, the buyer will only pay for the financing.

Paying off debt usually involves a substantial down payment plus a series of installments where previously established interest and fees are charged.

What Does No Down Payment Financing Mean?

The down payment is an important part of the financing. In addition to decrease the total value to be paid, since there will be fewer installments on which interest will accrue, it also serves as a guarantee for the bank, which will now have less money at risk.

However, it is also possible to finance a vehicle without a down payment. However, in this case, the total amount is divided into installments and usually with higher rates and interest.

Is it possible to get financing even if you have a negative credit history?

As with any line of credit, the company lending the money for the financing will certainly want to get it back, and with interest. For this reason, it is much more difficult for someone to obtain financing if their name is on the Serasa credit registry, for example.

Some institutions are even willing to finance those with bad credit, but just like in the case of the down payment, rates and interest charged are much higher. The situation improves a little when exclusive options are offered to those with bad credit, such as financing with a guarantor or additional guarantees.

Practical Tips Before Financing

But you need to keep in mind that financing is a serious matter and can compromise your income for years. So, before signing a contract, there are a few things every buyer should do.

The first one is to make a extensive research looking for banks or financial institutions that work with financing for people with bad credit, in addition to compare rates, installment options and interest in different places.

And to increase your chances of having your proposal approved, it's always good to consider a guarantor with good financial health.

It is important to remember that, due to its nature, financing for those with bad credit is very complex and the approval rate is extremely low. So it may be more interesting to opt for another type of financing.

Step by Step Guide to Financing a Fiat Argo with a Consortium

A solution that may be more practical for those seeking financing is consortium. In this, the buyer joins a group managed by a financial institution and makes monthly interest-free payments, with the chance of being selected if payments are up to date.

It stands out as a good option for those who do not have the score or capital needed to make the purchase or make a down payment on the vehicle. In other words, through a consortium it is possible to easily finance a Fiat Argo without a down payment even if you have a negative credit rating.

Generally, you enter a consortium through an administration company (bank, dealership, etc.). See an example below:

1. The first step to participate in the consortium is to look for a company that will manage it, in this case, we will give an example with Embracon;
2. To make yours, simply access the company's website by clicking in this link;
3. On the home page, just click on the “Simulate now” button;
4. Choose the “Car consortium” option;
5. Fill in your details and verify.

After verification, you will be able to simulate a consortium according to the value of the car you are looking for and if you continue, you will be placed in one of the groups. From then on, just pay the monthly installments on time and wait to be selected.

More Financing Options

The biggest disadvantage of a consortium is the waiting time, after all, you don't know for sure when the award will come. However, there are other options that may better suit your needs.

One of them, without a doubt, is the leasing, where the buyer signs a priority purchase contract, renting the vehicle for a predetermined period, during which he must pay all monthly installments.

At the end of the contract, the buyer, if he wishes, can purchase the car, paying the remaining amount.