Hyundai Finance: Exploring Hyundai Philippines’ range of car payment options

Car financing is a very important term for anyone who is looking forward to buying a new or used vehicle. It is a method of obtaining a vehicle without paying its full price upfront. Instead, buyers spread the cost of the car over a fixed period through monthly installments, often with added interest. This tool makes car ownership more accessible, especially for those who cannot afford to pay the entire amount outright.

Among various car financing options available in the Philippines are bank loans, in-house financing, personal loans, and zero-interest offers; automakers are also partnering with local banks and offering attractive financing options to their customers. One such automaker is Hyundai Motor Philippines Inc. (HMPH) which has a range of payment options under its Hyundai Finance program. All is an effort to make it easier for customers to drive home their dream Hyundai vehicle.

In this article, we’ll be learning about Hyundai Finance in detail, but before that here’s a quick overview of car financing for the newbies.

Important car financing terms

• Downpayment: It is the initial amount a buyer pays from his pocket, it is usually a percentage of the car's price. The remaining balance is borrowed from a financial institution, such as a bank or the dealership's in-house financing program.
• Monthly installments: The loan is repaid over a set period (e.g., 12 to 60 months), including the principal amount and interest.
• Ownership transfer: In most cases, the buyer gains ownership once all payments are complete. However, for lease-to-own agreements, the title may remain with the lender until the end of the lease.

Car financing options & their features

Bank loan

Many major Philippine banks, such as BPI, BDO, and Metrobank, offer car financing. These loans typically have an interest rate between 4% to 7% per annum (depending on the loan term & borrower’s profile), a loan term from 12 to 60 months with a downpayment typically ranging between 20% to 30%.

Also Read: Top 15 banks for affordable car loans in the Philippines

In-house financing

Car dealerships offer in-house financing plans, often in partnership with specific banks or financing firms. Compared to other financing options, it has a faster application and approval process and may include perks like a low downpayment. The interest rate ranges between 8% to 15% per annum and the loan term is anywhere between 12 to 48 months.

Personal loans

Car buyers also opt for personal loans from banks or online lenders to finance a vehicle. Unlike auto loans, they don’t require the vehicle as collateral and the funds can be used for other expenses beyond the car. Interest rates range from 12% to 20%.

Also Read: Personal loan or car loan: Finding the right financing option for your car

Lease-to-own programs

This financing option allows you to lease a car with an option to buy it at the end of the lease term. Compared to traditional loans, it has a low downpayment requirement.

Zero-interest promotions

Often car manufacturers, such as Toyota, Hyundai, or Mitsubishi, offer limited-time zero-interest financing deals during promotional periods. It typically requires a large upfront cost and has a short loan term of 12 to 18 months.

Requirements for car financing

To apply for car financing in the Philippines, one generally needs:

• Two valid government-issued IDs.
• Proof of income (e.g., payslips, ITR, or bank statements).
• Certificate of Employment (for employed applicants).
• DTI/SEC Registration (for self-employed applicants).
• Utility bills or proof of billing

Now that you have an overview of car financing in the Philippines, let us begin our discussion on Hyundai Finance.

Understanding Hyundai Finance

Hyundai Philippines has developed a range of payment options under its Hyundai Finance program, thus making it easier for customers to drive home their dream vehicle. This program caters to all types of buyers, those who prioritize low monthly payments or quick ownership, with its flexible schemes, competitive rates, and promotions.

Dongwook Lee, President of HMPH, on the introduction of the program, said, “Hyundai Finance is being introduced to better meet the needs and help more Filipinos drive home their dream Hyundai. We wish to make the overall buying process all the more convenient for them. Which is one of the many proactive efforts we are taking to keep our promise to continuously innovate the Hyundai brand experience.”

What is Hyundai Finance?

It is a collaboration between Hyundai Motor Philippines and its partner banks including BDO, BPI, and EastWest. The initiative provides prospective buyers with flexible and hassle-free payment solutions, making the ownership of Hyundai vehicles accessible and affordable. It emphasizes on -

Convenient financing: One of the key features of this program is that it streamlines the loan application process which leads to swift approvals.
Affordable ownership: It tries to make the ownership experience easy and affordable for the buyers via low down payment, competitive rates, and zero-interest terms.

Flexibility: It makes the financing process flexible, thanks to loan terms ranging from 12 to 60 months.

Hyundai Finance schemes & features

From time to time, Hyundai offers its customers different car financing options that allow the buyers to fulfill their dreams but without/with fewer hardships. Here are some of the schemes that the automaker is known to offer -

Low cash-out option: This option allows the customers to start their car ownership journey with a minimal initial payment. For instance, currently, the automaker is running the following low cashout promo for the Stargazer and Creta; based on a 15% down payment and a 60-month term.

Model	Variant	SRP (Php)	Low Cash Out (Php)
Stargazer	1.5 GL IVT	1,068,000	8,000
	1.5 GLS IVT	1,198,000	13,000
	1.5 GLS Premium IVT 7-Seater	1,288,000	18,000
	1.5 GLS Premium IVT 6-Seater	1,298,000	18,000
	1.5 GLS X IVT	1,348,000	35,000
Creta	1.5 GL M/T	1,048,000	30,000
	1.5 GL IVT STD	1,098,000	30,000
	1.5 GL IVT	1,228,000	40,000
	1.5 GLS IVT	1,388,000	50,000

From Hyundai Philippines

Flexible payment terms: The automaker also at times offers flexible loan tenures ranging between 12 to 60 months. This enables buyers to select a term that best suits their finances. This option offers payment flexibility for diverse income-level customers.

Zero interest plans: Hyundai also rolls out limited-time promotions wherein it offers zero interest installment plans. This promo is ideal for buyers looking to minimize overall loan costs.

In addition, Hyundai also offers a hassle-free application process and specialized promotions, both of which we’ll be discussing.

Hassle-Free application process: Hyundai dealerships and online platforms accept applications, ensuring convenience. Required documents typically include valid IDs, proof of income, and bank statements.

Specialised promotions: Hyundai regularly introduces promotional deals, including discounts on vehicle prices, free insurance, and registration, and exclusive rates for certain vehicle models​.

Hyundai models covered by its financing program

Hyundai Finance supports a wide range of vehicles, ensuring all customers find a model that suits their lifestyle and budget. Some popular options include:

SUVs

• Hyundai Creta: Starting at PHP 1,048,000, this compact SUV combines style and performance. Designed for urban lifestyle, it packs a fuel-efficient engine, spacious interior, and advanced safety kit.
• Hyundai Tucson: This one is a premium mid-size SUV priced at PHP 1,570,000. It comes equipped with advanced safety features and a powerful yet efficient engine; striking a perfect balance between performance and luxury.

• Hyundai Santa Fe: It is a family favorite SUV known for its spacious interior. The Santa Fe starts at PHP 2,410,000 and boasts a powerful mill, a modern infotainment system, and several advanced safety features.

MPVs

• Hyundai Stargazer: Ideal for families, this MPV offers functionality at an accessible price (starting at PHP 1,068,000). It offers a sleek design, a roomy cabin, and excellent fuel efficiency.

• Hyundai Staria: A luxurious option for larger families or businesses, the Staria is a premium MPV starting at PHP 1,560,000. It offers luxurious seating, customizable configuration, and several high-tech features.

Electric Vehicles (EVs)

• Hyundai Ioniq 5: This one is the brand’s flagship EV, starting at PHP 3,068,000. It supports fast charging, includes regenerative braking, and features cutting-edge technology.
  
• Hyundai Ioniq 6: Built for efficiency and luxury, the Ioniq 6 starts at PHP 3,798,000. It offers a range of over 500 km per charge along with advanced aerodynamics, a spacious cabin, and innovative technology.

High-Performance Cars

• Hyundai Elantra N: A performance sedan with exhilarating features, the Elantra N holds a starting price of PHP 2,638,000. It offers excellent handling and acceleration, a turbocharged engine, adaptive suspension, and a dynamic design.

• Hyundai Ioniq 5 N: This is an electrified performance model with advanced capabilities. The Ioniq 5 N starts at PHP 4,250,000 and combines the sustainable aspects of EVs with exhilarating speed and power.

A step-by-step guide to applying for Hyundai Financing

Step 1 Select the vehicle

Choose from Hyundai's diverse vehicle lineup based on your preferences and budget. Visit a dealership or explore the official Hyundai website to learn more about specific models and promotions.

Step 2 Submit an application

Applications can be submitted online or at any authorized dealership. Required documents generally include:

• Two valid IDs
• Proof of utility bill (under borrower’s name)

If employed, you’ll need to submit the following -

• Certificate of Employment with salary (valid within 30 days from issuance date)
• Or latest (3) months’ payslip
• Latest ITR

If you are self-employed, you will need to submit the following -

• DTI/Sec Registration/By Laws/Articles of Incorporation
• The latest (3) months’ bank statement
• ITR with audited FS

If you are OFW/Seafarer, you will need to submit the following:

• Latest Contract of Employment
• Passport ID

Step 3 Loan approval and vehicle delivery

Once your loan is approved, you finalize the paperwork and schedule vehicle delivery. Hyundai Finance ensures a streamlined process to save you time and effort.

Additional tools for buyers

Financial calculator, this one is a pretty useful tool offered by Hyundai Philippines on its website. It allows the customer to estimate monthly payments based on selected vehicle models, loan terms, and down payments. Thus helping the buyers make informed decisions tailored to their financial situation.

Why opt for Hyundai Finance?

We don’t think this question needs to be answered, especially after all that we have already discussed about Hyundai Finance. However, just for the sake of it, here’s why buyers should consider financing via this particular tool.

Tailored financial solution: Hyundai Finance adopts a customer-centric approach and therefore designs solutions as per buyers' financial standing. So, here are options for both budget-conscious and premium-segment buyers.

Enhanced convenience: This particular tool offers a very seamless financing process, all thanks to its easy accessibility (online & dealership availability) and promptness.

Trust and reliability: Another factor that builds trust is Hyundai’s partnership with some of the most reputed banks in the country. This ensures transparency and security for all financing agreements.

Bottom line

Hyundai Motor Philippines has made car ownership achievable for many Filipinos, all thanks to its tool, Hyundai Finance. Be It an SUV, MPV, or an EV, a customer can pick his/her dream car through affordable means without compromising on the quality. From low downpayment to zero-interest plan, keep a check on the deals and take full benefit of the program.

Also Read: Car financing solutions for buyers with bad credit in the Philippines