Maruti - Citicorp Finance - Team-BHP

sabret00the · 3rd June 2007, 04:57

I bought an alto last week in Calcutta...got the vehicle financed from Maruti - Citicorp Finance @ 14.5% reducing balance for 4 years - 3.5% take off on the loan amount from the Dealer which has been deducted from the downpayment.Is this a good deal?

squarecut · 3rd June 2007, 21:09

Unless you give the details such as amount of loan, EMI, tenure etc, it is difficult to tell.From the above details, you can find out the real rate of interest, and you can also find out if the loan is on reducing balance or on flat rate.

Considering that it is citifinance ( with reputation similar to ICICI), I will be wary of taking a loan from them, or believing them at their face value.

sabret00the · 4th June 2007, 02:26

amount of loan - Rs.2,50,000
EMI - Rs.6810 p/m
tenure - 4years
Rate - 14.5% reducing bal.
Take off - 3.5% of loan amount
now tell me wat do u think?

squarecut · 4th June 2007, 13:06

From the details provided by you, for an EMI of Rs 6810 for a loan of Rs 2,50,000/-, the interest works out to be 13.82 %. So prima facie, it appears to be a good deal.

Of course, I am not aware what is the prevailing interest rate on car loans at present.I know that it was 10 % two years ago.

horsepower · 4th June 2007, 13:21

guys, I guess I have landed a good deal with Citibank.

Pricipal: 4,00,000
Tenure: 5 Yrs.
ROI : 11.5%

It took me numerous rounds of negotiation with the dealer( Apra Auto ) and Citibank. Approaching Citibank directly helped and they offered me this rate 11.5% + Processing fee of Rs. 1200.

squarecut · 4th June 2007, 23:26

What is your EMI ? From the EMI you can find out whether your interest is actually 11.5 %.

kamy450 · 4th June 2007, 23:50

Folks,

ROI varies from bank to bank and vehicle to vehicle.... Marketing stunt is that what you call

14.5 % is bit on higher side. If negotiated well then you can get around 12% to 12.5 with private players and 11.25 to 12.5 with public sector banks.

Still it depends on your negotiation.

I got 12% from HDFC bank for 5 lac tenure 5 years.

abhibh · 4th June 2007, 23:55

EMI's have increased a lot omg i have to rethink about buying car from my own money now...

How much will it cost if i take 8 lac loan @5years with interest rate being 12% or so

horsepower · 5th June 2007, 10:33

Quote:

Originally Posted by squarecut

What is your EMI ? From the EMI you can find out whether your interest is actually 11.5 %.

I will be paying an EMI of Rs. 8712 for the loan of 4,00,000 for 5 yrs. Please calculate the actual Rate of Interest and please explain the steps?

squarecut · 5th June 2007, 10:52

The interest is coming out to 11.075 %.
There are many programs to make the calculations.

One of the best tools to calculate them is the "Loan Amortisation schedule" which is an excel sheet and its download link is provided in this forum as well.

sushanthr77 · 5th June 2007, 10:57

Quote:

Originally Posted by horsepower

I will be paying an EMI of Rs. 8712 for the loan of 4,00,000 for 5 yrs. Please calculate the actual Rate of Interest and please explain the steps?

go to: EMI Calculator - Calculate Your Car Loan EMI - CarWale.com India

and enter the appropriate values. Your EMI indicates that your ROI is approximately equal to 11.5%

sabret00the · 5th June 2007, 20:07

hey guys thnx for so many replies and even I've calculated that after deducting the take off amount which comes to around Rs.8750 the rate of interest is about 13.5% or so which is about the best deal that I could get in Calcutta.HDFC is charging way more even though I have a salary account with them.ICICI comes close to about 13.8% after taking into account all hidden costs(they claim they are charging 12.5%).Anyways I might be foreclosing the loan and hence might end up saving a few more bucks for that matter....

caliper · 5th June 2007, 20:58

What's the difference between "EMI in advance" and "EMI in arrears"? (On the carwale site)

anonymous · 5th June 2007, 21:00

Right now I am in Moradabad (UP), its small town.......I took a test drive of SX4 ZXI here ;-)) and inquired about ROI. I was told that Maruti finance is offering 11.75 Flat and nationalized bank like SBI or PNB are offering some where around 13% reducing. Is this something like ROI differs from city to city

sabret00the · 6th June 2007, 02:01

Quote:

Originally Posted by rlather

I was told that Maruti finance is offering 11.75 Flat and nationalized bank like SBI or PNB are offering some where around 13% reducing. Is this something like ROI differs from city to city

11.75% flat seems very expensive wheres 13% reducing isnt that bad a deal apparantly and I think the ROI varies very heavily from one city to another.

3rd June 2007, 04:57	#1 (permalink)
sabret00the BHPian Join Date: Mar 2006 Location: Calcutta Posts: 383 View My Garage	Maruti - Citicorp Finance I bought an alto last week in Calcutta...got the vehicle financed from Maruti - Citicorp Finance @ 14.5% reducing balance for 4 years - 3.5% take off on the loan amount from the Dealer which has been deducted from the downpayment.Is this a good deal? __________________ ________________ 2003 Kinetic GF170 Laser Sport Edition 2007 Bajaj Pulsar 180 DTSi 2007 Suzuki ALTO xFun ________________

4th June 2007, 02:26	#3 (permalink)
sabret00the BHPian Join Date: Mar 2006 Location: Calcutta Posts: 383 View My Garage	amount of loan - Rs.2,50,000 EMI - Rs.6810 p/m tenure - 4years Rate - 14.5% reducing bal. Take off - 3.5% of loan amount now tell me wat do u think? __________________ ________________ 2003 Kinetic GF170 Laser Sport Edition 2007 Bajaj Pulsar 180 DTSi 2007 Suzuki ALTO xFun ________________

4th June 2007, 23:50	#7 (permalink)
kamy450 BHPian Join Date: May 2007 Location: Bangalore Posts: 232 View My Garage	Emi Folks, ROI varies from bank to bank and vehicle to vehicle.... Marketing stunt is that what you call 14.5 % is bit on higher side. If negotiated well then you can get around 12% to 12.5 with private players and 11.25 to 12.5 with public sector banks. Still it depends on your negotiation. I got 12% from HDFC bank for 5 lac tenure 5 years.

4th June 2007, 23:55	#8 (permalink)
abhibh Senior - BHPian Join Date: Sep 2005 Location: In the Hood Near You Posts: 1,520 View My Garage	EMI's have increased a lot omg i have to rethink about buying car from my own money now... How much will it cost if i take 8 lac loan @5years with interest rate being 12% or so __________________ For every idiot there is an equal and opposite gender idiot. Singles are people with incomparable intelligence!

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3rd June 2007, 21:09	#2 (permalink)
squarecut BHPian Join Date: Feb 2007 Location: Jabalpur Posts: 80	Unless you give the details such as amount of loan, EMI, tenure etc, it is difficult to tell.From the above details, you can find out the real rate of interest, and you can also find out if the loan is on reducing balance or on flat rate. Considering that it is citifinance ( with reputation similar to ICICI), I will be wary of taking a loan from them, or believing them at their face value.

4th June 2007, 13:06	#4 (permalink)
squarecut BHPian Join Date: Feb 2007 Location: Jabalpur Posts: 80	From the details provided by you, for an EMI of Rs 6810 for a loan of Rs 2,50,000/-, the interest works out to be 13.82 %. So prima facie, it appears to be a good deal. Of course, I am not aware what is the prevailing interest rate on car loans at present.I know that it was 10 % two years ago.

4th June 2007, 13:21	#5 (permalink)
horsepower BHPian Join Date: Sep 2005 Location: Gurgaon Posts: 256 View My Garage	guys, I guess I have landed a good deal with Citibank. Pricipal: 4,00,000 Tenure: 5 Yrs. ROI : 11.5% It took me numerous rounds of negotiation with the dealer( Apra Auto ) and Citibank. Approaching Citibank directly helped and they offered me this rate 11.5% + Processing fee of Rs. 1200.

4th June 2007, 23:26	#6 (permalink)
squarecut BHPian Join Date: Feb 2007 Location: Jabalpur Posts: 80	What is your EMI ? From the EMI you can find out whether your interest is actually 11.5 %.

5th June 2007, 10:52	#10 (permalink)
squarecut BHPian Join Date: Feb 2007 Location: Jabalpur Posts: 80	The interest is coming out to 11.075 %. There are many programs to make the calculations. One of the best tools to calculate them is the "Loan Amortisation schedule" which is an excel sheet and its download link is provided in this forum as well.

5th June 2007, 20:07	#12 (permalink)
sabret00the BHPian Join Date: Mar 2006 Location: Calcutta Posts: 383 View My Garage	hey guys thnx for so many replies and even I've calculated that after deducting the take off amount which comes to around Rs.8750 the rate of interest is about 13.5% or so which is about the best deal that I could get in Calcutta.HDFC is charging way more even though I have a salary account with them.ICICI comes close to about 13.8% after taking into account all hidden costs(they claim they are charging 12.5%).Anyways I might be foreclosing the loan and hence might end up saving a few more bucks for that matter....

5th June 2007, 20:58	#13 (permalink)
caliper BHPian Join Date: May 2007 Location: India Posts: 149	What's the difference between "EMI in advance" and "EMI in arrears"? (On the carwale site)

5th June 2007, 21:00	#14 (permalink)
anonymous BHPian Join Date: Jan 2007 Location: NCR Posts: 285	Right now I am in Moradabad (UP), its small town.......I took a test drive of SX4 ZXI here ;-)) and inquired about ROI. I was told that Maruti finance is offering 11.75 Flat and nationalized bank like SBI or PNB are offering some where around 13% reducing. Is this something like ROI differs from city to city