Is Palio MJD worth buying at this juncture?

[hashcode]

Over the last couple of weeks, I've been sifting through the archives of Team-Bhp to buy my first car.

I am looking at a driver's car which would be a pleasure to drive and not just a means of transportation from point A to B. My budget is 5-6 lakhs at the most. I would be owning this for 3 years atleast and might clock around 600-700 KMs per month.

I started with 3 options Swift Petrol, Swift Diesel and Palio 1.3 MJT and then narrowed down to a diesel car which leaves the Swift Petrol out of contention. I just completed my driving lessons and decided to take both the cars for a TD yesterday. These are my observations after the test drive. I have intentionally left out things which are more or less common between the 2 cars.

Palio has an advantage over Swift in these areas:
Looks (I know it is very much subjective)
Rear Space (3 of us were able to sit very comfortably)
Boot Space
Cost (40 K less than the Swift)
Suspension (Felt very good even over bad roads)
Sturdy feel

Swift has an advantage over Palio in these areas:
Interiors (Look better than Palio)
Gearshift (The way the gearshift slots is a charm)
Resale Value
A.S.S.
NVH (I couldn't make out i was driving a Diesel car)

I wasn't able to make out which car handled better as i am only a beginner when it comes to driving. I would need your help in this point.

I also cannot wait for 7 months just to drive a new car and I don't know if it makes sense to look at some kind of exclusivity here as there are way too many swifts in the road now.

After looking at the above points and looking at my priorities, my heart wants me to go for the Palio though Swift might give me peace of mind as i don't have to worry about A.S.S. or the resale value (Would the difference be very high?)

Can you please help me take a unbiased decision?
Thanks a lot in advance.

Niggling points which are confusing me all the more:
1. I read that Palio is going to be replaced by the Panda in 2009. If this is true, then was there any need to introduce a Multijet diesel version of Palio just before it is going to be phased out? Wouldn't this penalize the new Multijet owners unfairly?
2. Any idea when Grande Punto is going to be launched? The dealer told me that it'll be launched by this year end max. The interiors in this model look very nice compared to the Palio and if this is going to be in the 5-6 Lakhs range, is it worth buying the Palio 1.3 MJT now?

[sushanthr77]

Among the two, I personally find the Swift D more fun to drive. However, the Palio makes more sense if you want a real cruiser at this price.

However, if I were you, I'd:
01. Ignore Palio D - Too old / Ordinary interiors.
02. Ignore Swift D - Crappy build quality / long waiting period.
03. Buy a used car and get comfortable with the Bangalore traffic.
04. Drive it until I fully understand what I want from a new car.
04. Wait for Punto / Linea.
05. Look at Long-Term Ownership Reviews for Fabia.
06. Finally, buy a new car .

[CrAzY dRiVeR]

Originally Posted by hashcode

Niggling points which are confusing me all the more:
1. I read that Palio is going to be replaced by the Panda in 2009. If this is true, then was there any need to introduce a Multijet diesel version of Palio just before it is going to be phased out? Wouldn't this penalize the new Multijet owners unfairly?

Cars do get replaced when newer ones come in. There is nothing unfair in that! It happens with every car! Just because your car gets replaced by a newer one doesn't make your car any worse! (Didn't zen/ baleno/ OHC etc get replaced, and did their owners cry over it?)

However, in the case of FIAT, resale value and availability of spares will be a question mark after a new model comes in! (As both are down even otherwise)

Originally Posted by hashcode

2. Any idea when Grande Punto is going to be launched? The dealer told me that it'll be launched by this year end max. The interiors in this model look very nice compared to the Palio and if this is going to be in the 5-6 Lakhs range, is it worth buying the Palio 1.3 MJT now?

Don't think the diesel Grande Punto will come under 6L OTR. However, it is defenitly worth the wait!

[phamilyman]

I would say go in for it except the interiors. For your running you need not bother.

Palio is sturdy and then some more. Plus VFM and decent A.S.S in bengalooru and lots of south.

GP will definitely NOT be under 6 maadi.

[hashcode]

Originally Posted by sushanthr77

Among the two, I personally find the Swift D more fun to drive. However, the Palio makes more sense if you want a real cruiser at this price.

However, if I were you, I'd:
01. Ignore Palio D - Too old / Ordinary interiors.
02. Ignore Swift D - Crappy build quality / long waiting period.
03. Buy a used car and get comfortable with the Bangalore traffic.
04. Drive it until I fully understand what I want from a new car.
04. Wait for Punto / Linea.
05. Look at Long-Term Ownership Reviews for Fabia.
06. Finally, buy a new car .

You have a valid point here when you say I could wait for Punto and till then buy a used car but then I should be able to buy a decent Palio in the used car market which could prove to be a bit difficult.

Originally Posted by CrAzY dRiVeR

Cars do get replaced when newer ones come in. There is nothing unfair in that! It happens with every car! Just because your car gets replaced by a newer one doesn't make your car any worse! (Didn't zen/ baleno/ OHC etc get replaced, and did their owners cry over it?)

I completely agree with you when you say cars get replaced when new ones come in. My point of grouse was that I felt it was a bit unfair on Fiat to introduce a very good engine in the Palio on the last year before it is about to be phased out without changing anything else in the car. It's like not doing something completely. I guess I can always not buy this one if i am feeling short-changed but I am on 2 minds about it

Originally Posted by CrAzY dRiVeR

However, in the case of FIAT, resale value and availability of spares will be a question mark after a new model comes in! (As both are down even otherwise)

Don't think the diesel Grande Punto will come under 6L OTR. However, it is defenitly worth the wait!

If Grande Punto doesn't come under 6L, then I need to re-think a bit here.

[jaysmokesleaves]

If you are going to drive 600-800 kms a month then any of the cars you have listed will do. They are all good in one way or the other. They are all 'drivers cars' in your speak. If you decide to buy the diesels you again have to wait for approx 1 month going by reports on the forum. So you might as well go and buy a petrol without waiting too much since the fuel cost wont make much of a difference based upon your usage- you will barely use a tankfull of fuel a month.
I also feel base your purchase upon your need & urgency and not on the fact that something new may be launched after 12-14-18-20 months.
Goodluck.

[karanraheja]

Palio MJD Would be a great buy. The sales are improving but resale might be an issue since you will keep the car for 3 yrs. GP is one of the most awaited models. But it will be priced a notch higher than Palio. My advice would be to get a 2nd hand Palio 1.9 D now then after Fiat sets up its A** buy the GP , by then you would have saved enough money too.

[GTO]

I am looking at a driver's car which would be a pleasure to drive and not just a means of transportation from point A to B.

The Swift D is far more fun to drive; if this is the sole criterion of choosing between these two hatches, please head straight to your local MSIL dealership.

[Prasidhi]

Originally Posted by hashcode

My budget is 5-6 lakhs at the most. I would be owning this for 3 years atleast and might clock around 600-700 KMs per month.

My piece of advice would be, if you are going for ownership period of around 3 years and 600-700 kms per month, definitely a petrol car would be economical rather than a diesel car.

Assuming the difference between petrol and diesel is around 1 lakhs, it will take around 9 years to recover the addl investment.

Just for example took the onroad price of swift from one of the website and price of petrol and diesel in Mumbai from IOC website and compared in your case.


If you are looking for a longer period and a longer kms per annum, things would certainly be different.

[phamilyman]

Originally Posted by GTO

The Swift D is far more fun to drive; if this is the sole criterion of choosing between these two hatches, please head straight to your local MSIL dealership.

Engine is same, gears are better, but the EPS at 100+ speeds just doesn't make the grade for me.

[GTO]

Agreed on the EPS, phamilyman. But even with the same engine, the Swift is faster, handles better, has less body roll and provides some fantastic feedback. The Swift D is far more chuckable than the Palio MJD.

[CrAzY dRiVeR]

Originally Posted by phamilyman

Engine is same, gears are better,

Same engine, but tuning makes a lot of difference. Palio has been tuned down to 73.9 bhp (75 ps) and 184 Nm, whereas the Swift is 75 bhp and 190 Nm. This along with the tall gearing in the Palio gives a difference of about 2 secs in 0-100 timings!

Originally Posted by phamilyman

but the EPS at 100+ speeds just doesn't make the grade for me.

AFAIK, EPS cuts off around 60 kmph!

[hashcode]

Originally Posted by jaysmokesleaves

I also feel base your purchase upon your need & urgency and not on the fact that something new may be launched after 12-14-18-20 months.
Goodluck.

Yeah, i can't keep waiting for a particular car to get launched as it might get delayed indefinitely like what it is happening to GP now. Moreover it doesn't make much sense if it is going to be my first car.

Originally Posted by Prasidhi

My piece of advice would be, if you are going for ownership period of around 3 years and 600-700 kms per month, definitely a petrol car would be economical rather than a diesel car.

Assuming the difference between petrol and diesel is around 1 lakhs, it will take around 9 years to recover the addl investment.

Just for example took the onroad price of swift from one of the website and price of petrol and diesel in Mumbai from IOC website and compared in your case.


If you are looking for a longer period and a longer kms per annum, things would certainly be different.

Thanks for taking time out to make the calculations. I did the same myself and it comes to around 3.5 years to break even considering the rates in Bangalore. I have neglected the cost of servicing as it was anyway neglected in your calculations. Please have a look and let me know if i have made a mistake somewhere.

[Prasidhi]

Me too in Bangalore, but did not get the latest rates of Bangalore from site.

The only point of difference would be the mileage. That makes the entire calculation difference. Is Swift Petrol that fuel guzzling, I guess the average should be around 15-16 (I am not sure). Once that is cleared, (I may be wrong here), your calculation would be spot-on. Request Swift Petrol and Diesel owners to confirm this please.

Btw, I own a Palio Diesel and I am very happy about its performance, my usage would be for more than 5 years, hence for me resale value was not a consideration.

[vinit.merchant]

Originally Posted by hashcode

Thanks for taking time out to make the calculations. I did the same myself and it comes to around 3.5 years to break even considering the rates in Bangalore. I have neglected the cost of servicing as it was anyway neglected in your calculations. Please have a look and let me know if i have made a mistake somewhere.

I have done a lot of these calculations before and would like to point out that even though everything else seems to be fine, you are forgetting the interest cost which you will incurr on the additional cost of the diesel car. Add another 20k for the interest cost of additional amount.
This will increase the recovery period by 1 year. Hence, 4.5 year.

Unleass you expect to travel more kms per month, there is no point going in for a diesel. Go for a petrol. And you may even think of the Palio 1.6 as an option in petrol. Its definately cheaper than the Swift Petrol and has more to offer, though the mileage would be between 9-11.