Finance for Santro Xing XL from ICICI

[djay99]

Hi guys,

I am planning to buy a small car and looking at Santro xing XL.
On road price is 4.06 lacs and after discounts its 3.75 lacs. I stay in bangalore and spoke to Advaith motors.
Finance from ICICI bank on reducing monthly basis:

Loan amt 3lac.

3 years 8.14% interest 9235/month EMI
4 Years 9.29% interest 7425/month EMI
5 Years 10% interest 9235/month EMI

If i opt for loan with above interest rates then on road price will be 4.06 lac and if i get loan from other banks then 3.75Lac

Above all 1.5K is processing fee and 1month advance emi has to be paid.
I have preapproved loan offer from ICICI bank and dealers said i dont need to submit salary slip and IT return cert. Just photo ID proof, 2 photos, residence proof is fine. Also loan will be processed in 2 to 3 days and i will get car on 4th day.
I dont have Form 16 as of now since this is my 1st year employment.
Is it possible to get a loan from nationalized bank with these docs:

Salary slip, last 6months bank statement indicating salary credit, photo proof, residence proof and my dad as guarantor?

Please advise.

DJ

[varunroy]

Getting a loan from any Nationalized Bank would be the best choice. With your dad being the guarantor I dont see any problems. Only thing is they take a weeks time to approve your loan. Even their Process fees is very low. There is no foreclosure penalty as against 5% of the total outstanding Principal with MNCs, cheque bounce charges are only about 30/- as against 500 with MNC banks.There are also many other hidden charges which you come to know much later.

I shall be talking to my friend shortly and find out about the going rates at the moment. I think the rates quoted by you are quite high but then I could be wrong. I shall PM you ASAP.

So long....

[squarecut]

Loan 3 lakhs
5 Years 10% interest 9235/month EMI

This is not 10% interest. This is 27.4 % interest.

[djay99]

Hi Squarecut. It will be 10% interest pa for 5 year term with 9235/month for 3 lac loan.
Varun plz confirm whethet IT returns/Form 16 is required or not.

[tsk1979]

djay, the EMI should be 6374 for a 3 lac loan for a period of 5 years.

[djay99]

Am extremely sorry. Its 6300/month for 5 years @10%pa.

[tsk1979]

The Rate is okay, but I would suggest you go through the fine print very very carefully before signing anything.
Since you do not have Form 16(first job) nationalized banks will be very difficult. So you have to go to a Private bank.
You should also go with these rates to Standard chartered bank(They offer good service in BLR) and to HDFC, or maybe Kotak too. Bargaining with multiple banks can get you a better rate.
The best thing would be to take as much cash discount as possible from dealer and deal with the banks yourself.

[subbarao]

Hi,


The form16 is not compulsory in Canara bank, even though i have form16, i am not submitted to CB, go & enquire in CB.........

[djay99]

Hi Subbarao. Whats the interest rate you got and for what tenure?
I enquired from Canara bank MG road branch, they are offering int rate of 11% for 4 year term for 3lacs.

[Rtech]

Before you decide on ICICI, just take a looksi at these threads:

Beaten by ICICI

Killed over a loan

Just make sure you pay you EMI's on time!!!

[Shankyz]

Originally Posted by djay99

Loan amt 3lac.

3 years 8.14% interest 9235/month EMI
4 Years 9.29% interest 7425/month EMI
5 Years 10% interest 9235/month EMI



Above all 1.5K is processing fee and 1month advance emi has to be paid.

DJ

wonder, how he is offering you a 8.14% ROI for 3 years ? I was quoted 11.5% for 3 years and a processing fee of 1950.

[djay99]

Hi Shank,
Yes they offered me 8.14% on a monthly reducing basis for 3 yrs. If i go for 31 months then interest will be only 6.99% pa. I am in bangalore. In your place may be this offer is not available.

[california_dude]

If you want to have a not so good car loan experience the go to ICICI

for me Its not a bank its a JOKE

Originally Posted by Rtech

Before you decide on ICICI, just take a looksi at these threads:

Beaten by ICICI

Killed over a loan

Just make sure you pay you EMI's on time!!!

[djay99]

I have decided to buy Chevy Spark and getting finance done from Canara bank. I think this is a better deal.
You guys checkout the car. Its a class ahead of santro.

[k2_4_u]

@DJ

What type of Discounts did Advaith offer to you to make it 3.75 lakhs? Did it include cash discounts/insurance/free accessories etc?

I am in the process of finalizing a dealer for a new Santro and this info would be really helpful.

Cheers!