You can buy both a new and used car either by credit or cash. However, installment buying still attracts a lot of people for a variety of reasons, such as to maintain their cash flow or because it’s the only suitable option due to their financial ability. Nonetheless, what are the credit type differences between the new and used cars?


When you decide to buy a new car, most financing institutions have included a complete insurance package. We commonly call it “All Risk” which covers not only car loss, but also the repair costs in case of an accident. Hence, the insurance cost is generally higher.

Meanwhile, if you buy a used car, you may just choose the Total Loss Only (TLO) package which covers insurance only for car loss but not repair costs in case of an accident. Therefore, with this option, the premium monthly cost tends to be cheaper.

Also read : Interested in Buying a Used Car Safely? Here's the Trick!


You can avoid hassle when buying a new car. Typically, a dealer partners with a loan service provider. The loan service can even be offered by different companies. Easy.

However, if you buy used cars – especially from individuals – it may take extra time and effort to get the financing service providers to give you a loan. They will need some time to appraise the vehicle. Therefore, it's not as easy as buying a new car. However, if you plan to buy used cars in a large showroom or dealer, there are usually partners ready to provide car purchase loans.


There is a difference between the interest rates for new and used car loans. Since new cars are still unused, there is certainly a low risk for credit service providers if at any point undesired things happen. In other words, the asset is generally still in prime shape. Therefore, the interest in loans is usually much lower.

It would be a different case for a used car. Even though it goes through the process of appraisal, eventually the percentage of the loan interest may be greater due to the risks and depreciation attached to that car unit.

Therefore, it's good to calculate the details before you decide to buy a car. It may seem to be much cheaper to buy a car with cash. However, there is a possibility that the difference won’t be that much once the credit scheme is calculated.


Since the value of used cars is cheaper, the loan principal is also smaller than new cars. Consequently, the monthly installments become smaller as well. This might be interesting to note when you have a low budget. Essentially, you have to always make thorough decision when buying a vehicle, especially if you do it on credit. That way, you would not miscalculate the interest rate and its risk.

If you have already known the difference between the credit process of used and new car, and you want to buy a used car safely, you can find a used car at an affordable price in mobil88. You can choose the cars directly by either coming to the mobil88 showroom or surfing online.

Also read : Choosing between Low Down Payment and Low Installment

Now, mobil88 is also available in mo88i (read: mobi), its latest digital platform. You can check the stocks of the mobil88 cars or sell used cars on mo88i, as it is a digital platform managed directly by mobil88.

Before buying a car at mobil88, you can also consult any issues such as choosing the right car or selecting the suitable payment method. In addition, if you buy a used car in mo88i right now, you can get special offers such as small installment and affordable DP. Moreover, you can get millions of electronic cashback and other presents.

For those who buy a car with cash, mo88i also gives free TLO insurance, and if you want to upgrade the TLO to All Risk, mo88i will give a bonus voucher for car detailing up to 5 million rupiahs. The promotion applies for both cash and credit purchases.

You can buy and sell used cars in safe and trusted ways only in the mobil88 showroom. You can contact the nearest mobil88 showroom in your city or contact via live chat that can be accessed through