SWIFT LDi and AXIS bank quoting 10% interest rate

[manish_symc]

Hi Friends,
Today, I went to maruti showroom for Swift LDi and I liked it very much. I asked sales person about finance option, he told me that they have tie up with AXIS bank and the loan interest rate for Maruti cars is 10% and offer valid is till 31th March.

Per lakh EMI is Rs/-2107
Processing fee - Rs/- 2700-3000
Advance EMI - YES

Could you please tell me whether above rate of interest is good to go?

Thanks,

[aks_karthik]

for how many months ?

[manish_symc]

Originally Posted by aks_karthik

for how many months ?

Sorry friends, I forgot to mention loan tenure. Its for 5 years.

[manish_symc]

Hi Friends,
Could anyone please comment on my query asked in above posts?
"Is 10% (per lakh EMI 2107) interest rate for 5 years good?"

[Skidrow]

looks to be around 11.8% p.a. assuming one advance EMI, base rate @Rs.2107 is 10.6%, the processing fee upfront (I have assumed Rs.2850) adds 1.2% to the effective rate.

Cheers!

[manish_symc]

Originally Posted by Skidrow

looks to be around 11.8% p.a. assuming one advance EMI, base rate @Rs.2107 is 10.6%, the processing fee upfront (I have assumed Rs.2850) adds 1.2% to the effective rate.

Cheers!

Thanks Skidrow, is it good deal?

[BaCkSeAtDrIVeR]

Manish why dont you simply walk in to the nationalised bank where you now have an account? They know you better - even if you do not know the people there, they will have a look at the account and assess you. They may be slow to process the loan, have no hidden costs, are less expensive when you want to close the account, and more (de)fault tolerant.

SBI and most other banks in the State Bank group finance the on-road cost. Dunno about other banks. They too ought to.

[kingshan]

Originally Posted by manish_symc

Hi Friends,
Could anyone please comment on my query asked in above posts?
"Is 10% (per lakh EMI 2107) interest rate for 5 years good?"

Manish I cannot think anything lower than this, this is the lowest intrest rate I have ever stumbled into, so close your eyes and go ahead, but ensure what is the per-closure penalty if you have any ideas of pre closing the loan.