Higher Rate of Interest for Tata Indica

Maverick1977 · 22nd October 2008, 11:04

After a lot of research I have finally zeroed down on the Indica Vista Quadrajet Diesel. I have approached a no. of Financial Institutions to finance a part of the loan. Most of them have quoted a ROI of 13% on a 3 year loan period. However HDFC Bank was the only one who offered a rate of 12.75%.
However to my utter dismay, while talking to the executive, I mentioned that I was buying a Vista. On hearing that he said that the Vista is classified as a MUL (Multi Utility Vehicle) by SIAM and hence the rate is will be 50 basis points more @13.25%. Alternative explanation was that the rate is high because its used as a Taxi. I tried my best to convince the Sales Exec that I will not be using the vehicle as a Taxi + the Quadrajet is too expensive to be used as a Taxi also. I was even ready to give a written assurance, but no one is ready to relent.
This was a real shock to me as my EMI has gone beyond the set threshold in my mind.
Any one has had a similar experience?
What should I do now? Contact higher authorities & try & get it sorted out or just forget about it? Any 1 here from HDFC who can help me out?
Also looking for comments from Ppl who have already booked/got their car.

svsantosh · 22nd October 2008, 11:08

my hunch is he got confused between the sumo 'VICTA' and the new vista. Get back to him and check this out... No way a Vista can become a MUV!!! But if its classified as a Taxi - vehicle, no can blame the Genepool of the maker... pity you.

phamilyman · 22nd October 2008, 11:10

Nahin yaar, check out tsk's thread about HDFC. Some here have contacts.

its just a silly accountant confused between victa and vista!

Maverick1977 · 22nd October 2008, 11:14

Guys thanks for your prompt reply. I crossed checked with their call centre & was given the same story. He also said that this is true for ALL INDICA Models & that this classification has been done by SIAM. I am now confused, dejected & irritated.
Phamily - I will check out the thread.

tsk1979 · 22nd October 2008, 11:24

Go to another bank. Indica is not classified as a MUV by anybody. HDFC is known for these things, Go to Kotak or SBI
Every executive of SBI has their own rules and regulations

greenhorn · 22nd October 2008, 11:43

13% is what i had to pay when i got a loan for my indica. 1.5L over 3 years came to an EMI of 5.1k

Maverick1977 · 22nd October 2008, 11:57

Quote:

Originally Posted by greenhorn

13% is what i had to pay when i got a loan for my indica. 1.5L over 3 years came to an EMI of 5.1k

Which year was this & from which bank?

greenhorn · 22nd October 2008, 12:02

South indian bank, Jul 2007 ( and dad knew the manager very well)

Strangely, at a tata loan mela where we asked, we were quoted 7%, but the EMI's came to be approximately the same amount !

tsk1979 · 22nd October 2008, 12:05

Maverick, for a Tata car HDFC bank will give you hearburn. I do not understand why they do that, maybe they have lower rate of recovery of money?
For example in the final stages of my loan, the bank refused me loan, after promising the moon.
Only after raising a big stink(helps when you have a salary account), things got moving, and after that the bank tried to get away with an interest rate 3.5% higher than what the DSA promised.

bblost · 22nd October 2008, 12:07

Quote:

Originally Posted by greenhorn

South indian bank, Jul 2007 ( and dad knew the manager very well)

Strangely, at a tata loan mela where we asked, we were quoted 7%, but the EMI's came to be approximately the same amount !

Could be that loan mela was mentioning fixed roi and the one you took was diminishing.

SRShrikanth · 22nd October 2008, 12:14

Maverick - Try out ICICI.

I got my loan at 11.75% in Sep'07. My EMi is 7250 pm, for a 3.05lac loan spread over 48 months.

This a Tata Indica V2 Turbo - DLG.

greenhorn · 22nd October 2008, 12:24

noooooo not ICICI.
http://www.team-bhp.com/forum/indian...assed-law.html

SRShrikanth · 22nd October 2008, 12:27

Quote:

Originally Posted by greenhorn

noooooo not ICICI.

Maybe i was the exception to prove the rule.

Maverick1977 · 22nd October 2008, 12:35

How good are the PSU Banks like SBI when it comes to car loans?

rkg · 22nd October 2008, 16:40

I have taken loan from Vijaya Bank @13% for 5 years, 3.5 lakhs for Indica vista. Loan was disbursed in the first week of Oct, 2008. EMI was rounded off to Rs 8000/=
No processing fee except Rs 450 as stamp paper.

Check Canara Bank has 12.5% fixed rate

When i took delivery of the car Oct first week SBI was offering special rates to Vista In Concorde motors @12.75% for 5 years and 13% for 7 years. they said it special rates for Indica Vista in association with Tata motors.

22nd October 2008, 11:04	#1
Maverick1977 BHPian Join Date: Aug 2007 Location: Mumbai Posts: 997 Thanked: 906 Times View My Garage	Higher Rate of Interest for Tata Indica After a lot of research I have finally zeroed down on the Indica Vista Quadrajet Diesel. I have approached a no. of Financial Institutions to finance a part of the loan. Most of them have quoted a ROI of 13% on a 3 year loan period. However HDFC Bank was the only one who offered a rate of 12.75%. However to my utter dismay, while talking to the executive, I mentioned that I was buying a Vista. On hearing that he said that the Vista is classified as a MUL (Multi Utility Vehicle) by SIAM and hence the rate is will be 50 basis points more @13.25%. Alternative explanation was that the rate is high because its used as a Taxi. I tried my best to convince the Sales Exec that I will not be using the vehicle as a Taxi + the Quadrajet is too expensive to be used as a Taxi also. I was even ready to give a written assurance, but no one is ready to relent. This was a real shock to me as my EMI has gone beyond the set threshold in my mind. Any one has had a similar experience? What should I do now? Contact higher authorities & try & get it sorted out or just forget about it? Any 1 here from HDFC who can help me out? Also looking for comments from Ppl who have already booked/got their car.
	() Thanks

22nd October 2008, 11:08	#2
svsantosh Senior - BHPian Join Date: Mar 2008 Location: Dubai Posts: 3,990 Thanked: 6,175 Times View My Garage	my hunch is he got confused between the sumo 'VICTA' and the new vista. Get back to him and check this out... No way a Vista can become a MUV!!! But if its classified as a Taxi - vehicle, no can blame the Genepool of the maker... pity you.
	() Thanks

22nd October 2008, 11:10	#3
phamilyman Senior - BHPian Join Date: Jul 2007 Location: Gurgaon Posts: 5,968 Thanked: 4,641 Times	Nahin yaar, check out tsk's thread about HDFC. Some here have contacts. its just a silly accountant confused between victa and vista!
	() Thanks

22nd October 2008, 11:14	#4
Maverick1977 BHPian Join Date: Aug 2007 Location: Mumbai Posts: 997 Thanked: 906 Times View My Garage	Guys thanks for your prompt reply. I crossed checked with their call centre & was given the same story. He also said that this is true for ALL INDICA Models & that this classification has been done by SIAM. I am now confused, dejected & irritated. Phamily - I will check out the thread.
	() Thanks

22nd October 2008, 11:24	#5
tsk1979 Team-BHP Support Join Date: Feb 2005 Location: San Jose, CA Posts: 23,717 Thanked: 22,823 Times View My Garage	Go to another bank. Indica is not classified as a MUV by anybody. HDFC is known for these things, Go to Kotak or SBI Every executive of SBI has their own rules and regulations
	() Thanks

22nd October 2008, 11:43	#6
greenhorn Senior - BHPian Join Date: Apr 2007 Location: KL-01 Posts: 7,744 Thanked: 4,387 Times View My Garage	13% is what i had to pay when i got a loan for my indica. 1.5L over 3 years came to an EMI of 5.1k
	() Thanks

22nd October 2008, 12:02	#8
greenhorn Senior - BHPian Join Date: Apr 2007 Location: KL-01 Posts: 7,744 Thanked: 4,387 Times View My Garage	South indian bank, Jul 2007 ( and dad knew the manager very well) Strangely, at a tata loan mela where we asked, we were quoted 7%, but the EMI's came to be approximately the same amount !
	() Thanks

22nd October 2008, 12:05	#9
tsk1979 Team-BHP Support Join Date: Feb 2005 Location: San Jose, CA Posts: 23,717 Thanked: 22,823 Times View My Garage	Maverick, for a Tata car HDFC bank will give you hearburn. I do not understand why they do that, maybe they have lower rate of recovery of money? For example in the final stages of my loan, the bank refused me loan, after promising the moon. Only after raising a big stink(helps when you have a salary account), things got moving, and after that the bank tried to get away with an interest rate 3.5% higher than what the DSA promised.
	() Thanks

22nd October 2008, 12:14	#11
SRShrikanth BHPian Join Date: Sep 2007 Location: B'bay/Stockholm Posts: 255 Thanked: 8 Times View My Garage	Maverick - Try out ICICI. I got my loan at 11.75% in Sep'07. My EMi is 7250 pm, for a 3.05lac loan spread over 48 months. This a Tata Indica V2 Turbo - DLG.
	() Thanks

22nd October 2008, 12:24	#12
greenhorn Senior - BHPian Join Date: Apr 2007 Location: KL-01 Posts: 7,744 Thanked: 4,387 Times View My Garage	noooooo not ICICI. http://www.team-bhp.com/forum/indian...assed-law.html
	() Thanks

22nd October 2008, 12:35	#14
Maverick1977 BHPian Join Date: Aug 2007 Location: Mumbai Posts: 997 Thanked: 906 Times View My Garage	How good are the PSU Banks like SBI when it comes to car loans?
	() Thanks

22nd October 2008, 16:40	#15
rkg Senior - BHPian Join Date: Apr 2005 Location: bangalore Posts: 1,044 Thanked: 594 Times	I have taken loan from Vijaya Bank @13% for 5 years, 3.5 lakhs for Indica vista. Loan was disbursed in the first week of Oct, 2008. EMI was rounded off to Rs 8000/= No processing fee except Rs 450 as stamp paper. Check Canara Bank has 12.5% fixed rate When i took delivery of the car Oct first week SBI was offering special rates to Vista In Concorde motors @12.75% for 5 years and 13% for 7 years. they said it special rates for Indica Vista in association with Tata motors.
	() Thanks