Exploring Sangla OR CR: Pros, Cons, and Tips

Exploring Sangla OR CR: Pros, Cons, and Tips

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In a car loan, a lender lets you borrow money to purchase a car. You then pay back the loan in installments with interest. Some car loans allow the lender to seize the vehicle if you miss a specific number of payments. In other cases, you may arrange with your employer to deduct your loan payments from your gross monthly salary.

If you struggle to make payments, another option you can consider is car refinancing, which involves borrowing money to repay your existing loan. It may seem like you’re taking in more debt, so you probably wonder about the benefits of refinancing a car.

Make the most of your car loan in the Philippines by learning what refinancing is, how it works, and its benefits and drawbacks.

What is Sangla OR CR or Car Refinancing in the Philippines?

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A financing company in the Philippines like AsiaLink Finance makes car loans accessible. For example, Sangla OR CR lets you refinance your loan—or get a new one—with a lower interest rate and a longer payment duration. During the loan application, you must submit copies of your official receipt (OR) and certificate of registration (CR), which the company will use as collateral.

To qualify for Sangla OR CR, you need an excellent credit record, a steady source of income, and professional employment history. You also need to present documents of your proof of income and a copy of your tax identification number (TIN).

Refinancing Your Car Loan: Pros and Cons

Before deciding if car refinancing is the right loan type, consider its advantages and disadvantages.


  • Minimal upfront cost – One of the most attractive benefits of Sangla OR CR is that since you already have collateral, you no longer need to make a down payment. You only need to account for minimal processing fees.
  • Good credit history – Due to low interest, paying off the loan is more manageable. In turn, you build good credit and lessen the possibility of skipping monthly payments or defaulting.
  • No taking of the vehicle – Unlike pawnshops, AsiaLink Finance allows you to continue using your car even if your loan is still active. You don’t have to wait until the full repayment to get your vehicle back.  Here, retaining possession of your car is beneficial because you’ll be able to use it for business, personal, or emergency use.


  • Longer paying period – While refinancing your car loan can yield lower interest rates, the downside is that you’ll be paying for a lengthier period.  This is because the payment duration of your new loan will add to the previously paid months or years of your last loan. 
  • Car ownership by the bank or financing company – If you avail of car loan refinancing, you don’t own the vehicle until the full repayment. Instead, the owner is the bank or financing company that paid for your initial loan. In case of default, they can seize your car, not to mention your credit history may suffer.

5 Tips for Car Loan Refinancing

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Here are some tips to consider before refinancing your car loan.

Shop around

Loans aren’t limited to just banks. You can look at other financing options, such as financing companies or credit unions. Ask for quotations and calculations to compare the total amount you’ll pay and see which payment terms are most favorable.

Consider the fees

Regardless of who finances your loan, ask for a full breakdown of fees to see how it can impact your monetary resources. Then, calculate how much of your income will go to loan payments. The goal is to ensure that refinancing won’t negatively impact your income, budget, or savings.

Know and understand the effects on your credit line

Every time you apply for a loan, your credit score may decrease a few points, especially if you take out a new loan alongside an existing loan. The good news is paying on time can steadily raise your credit score again, making it easier for you to apply for and get approved for other loans in the future.

Utilize your existing accounts

If you’re already using the services of a bank or financing company, you could check if applying for car refinancing with them will afford you discounts or quick approvals. Quick approvals are possible if the company knows you have a good credit history and pay your dues on time.

Know if refinancing is feasible for you

Depending on your current financial situation or credit history, there may be better options than loan refinancing. For example, extending your payment period via a new loan may impact your savings. You may also need to reserve funds for starting a family or preparing for other life milestones, making loan repayments an additional financial responsibility.

On the other hand, refinancing may be a good option if you’re comfortable with your income and savings and have a good credit score.

Is Sangla OR CR the Right Choice?

You must do your due diligence if you’re considering refinancing your car. Check whether your credit score and financial resources will enable you to avail of a new car loan.

When refinancing, you could consider AsiaLink Finance’s Sangla OR CR. Due to its low-interest rates, 1-day turnaround time, and free application, it’s ideal if you’re looking for an affordable loan to retain your car. You can also make payments via traditional and digital channels for your convenience.

To know more about Sangla OR CR and car refinancing, get in touch with an expert from AsiaLink Finance.