[AvonA7]

Originally Posted by Butters

thanks Avon, that was helpful !! However i was also thinking that since the car i booked has 3-4 months waiting period why shouldn't i just go for SBI 8-10-10-floating scheme ? As it is wont be any hurry for the loan amount to be dispersed

Personally would like to go with SBI, but I couldn't because of some other reason mentioned in my ownership thread. However, if looked into carefully, you would see that SBI interest rates are more, .i.e., one ends up paying more depending on other banks rate of course.

Other point is - I checked with a. dealer, b. at SBI branch and was told that - repayment or foreclosure can be done with the condition that you have to continue your loan repayment till 50% of the loan tenure (for 5years loan it is 30months) please check this as I have heard different versions of the same.

In this case if somebody foreclose the loan, even though SBI foreclosure charges are less compared to other private banks, end of day the difference is not much because for eg. HDFC charging 6% (if foreclosed within 6-12months) and SBI may be 2% or Nill charges but after 30months - so during these 30months one ends up paying most of the interest.

One more thing, if you are to wait for 3-4months, check with the bank before applying loan that how long can you keep the amount on hold before disbursing to the dealer.

[Dieseling]

Hey guys,

I'm not sure if any such sheet has been circulated on the forum or not. This excel I created for calculation of my car loan. It is pretty much self explanatory, just punch in the relevant fields and you get EMI, declining balances, total payout, EMI/lakh etc.

Hope you all find it useful.

Regards

Dieseling

[shantanumishra]

Here's the Deal that I got from Corporation Bank under their Grand Festival Offer for my Safari

Loan Amount : 6 L
Period : 2 Years
1st Yr ROI - 8%
2nd Yr ROI - 10%
1st Yr EMI ~ 27K
2nd Yr EMI ~ 27.5K

Processing Fees - 0.5% ~ 3K + 100 Rs for Stamp Paper Agreement

Prepayment Charges : NIL

Pre Closure Charges : NIL

Lock-in Time for Pre-Payment : NIL

Lock-inTime for Pre-Closure : NIL

Negatives : A lot of documentation, Guarantor is a must, You need to open a SB Account with them for ECS for which a Introducer is a must (there is a work-around for this). It has been around 8 days but I am yet to get a sanction letter (because of their Lack-luster behaviour, CWG Games, some holidays, etc.)

Positives : You can start your prepayment almost immediately as they have no Lock-in (unlike other banks where you need to pay EMIs atleast for 1 year), Also, you can pre-close your loan almost Immediately (unlike other banks where you need to pay EMIs atleast for 50% of tenure)

I could not find a better deal than this in terms of saving money although I had to run quite a bit to get their documentation in order.

[h.k]

the golden rule of car loan or any loan for that matter is input maximum cash from your side. the lesser the loan the more happy you are, also depending on your income flow make sure you divide the car loan into per day breakup and ensure that this amount is always there at your bank.

also make sure you have one month emi in advance always as if there is some system error the bank deducts the amount even its a sunday etc, also make sure the money reaches the bank at least two days in advance and not on the day.

some banks withdraw money through ecs by as early as 8am and if you do not have funds on that day you are fined.

understand that the idea of banks is not to get those who pay promptly but get defaulters so that they can charge you the same.

so make sure you are always cautious with your car loan.

take monthly and annual report on your car loan statement.

[bullboy]

My sister has a car loan from SBI for 5 yrs. She is the account holder of same bank.
She has been trasnsfering lumpsum amount to the loan account from her SB account. Now after two year there is only a small amount left as loan which she plans to close asap. Earlier the bank told that there is no prepayment charges after one year. If she closes the loan , does she need to pay the pre-closure penalty ? How is it different from pre-payment penalty?

[wildon]

^^ What i understood form SBI is that, if you complete the half of your loan tenure period (in your case 2.5 Years) then you can pre-close your loan with out any penalty. or else you have to pay pre-closure penalty.

[ch.nathan]

I heard Reliance Finance is offering a loan exclsively for FORD FIGO:

Amount: 3 lakhs
RoI: 8.5 % Fixed
Term: 3 years.

[vgsr]

Originally Posted by bullboy

My sister has a car loan from SBI for 5 yrs. She is the account holder of same bank.
She has been trasnsfering lumpsum amount to the loan account from her SB account. Now after two year there is only a small amount left as loan which she plans to close asap. Earlier the bank told that there is no prepayment charges after one year. If she closes the loan , does she need to pay the pre-closure penalty ? How is it different from pre-payment penalty?

No Once half of the contracted period of the loan is completed, your sister can prepay her loan without any penalty.
Preclosure means the laon is completely repaid. Prepayment means prepaying a few instalments In advance. Though prepayment is also a term loosely used for preclosure bu bank customers, at times

[ch.nathan]

Guys,

Anyone has taken 'Used car loan' recently?
Which bank offers the best deal for Used cars currently?

[Archon]

I was thinking of taking SBI loan because their first year teaser rate of 8% sounded attractive. But due to a tie-up between my employer and HDFC I am getting some discount from them i.e.

Rate 9.5% for 36 months with one advance EMI

NO processing fee

Stamp duty of 0.5% + 100 Rs

Didn't get a chance to talk about prepayment terms but I guess they would be as per HDFC standard of 5% after an year etc
I also need to get delivery of the car in two weeks so I am getting tempted by the HDFC offer.
Any comments?

[ayrtonSenna]

I have a salary account with HDFC bank. I have a pre-approved car loan of 6.25lacs. I intend to take a loan of 2.5 to 3.0 lacs though. Every other day someone from HDFC is calling me for documents and stuff. Because of an arrangement with my employer they are offering me 9.5% fixed interest rate for a 5 year loan, that is atleast what they told me. Is it possible to bargain for better rates?


Also, I have come to know that HDFC has preclosure charges. So is there any way to negatiate on that too? I may close the loan after 3 years.

Should I go for HDFC or explore other options as well. Which is the best option?

[Archon]

Originally Posted by ayrtonSenna

I have a salary account with HDFC bank. I have a pre-approved car loan of 6.25lacs. I intend to take a loan of 2.5 to 3.0 lacs though. Every other day someone from HDFC is calling me for documents and stuff. Because of an arrangement with my employer they are offering me 9.5% fixed interest rate for a 5 year loan, that is atleast what they told me. Is it possible to bargain for better rates?

Also, I have come to know that HDFC has preclosure charges. So is there any way to negatiate on that too? I may close the loan after 3 years.

Should I go for HDFC or explore other options as well. Which is the best option?

In the offer I have, which sounds very similar to yours, HDFC is not taking any preclosure penalty after 24 months, so this sounds like a very good deal based on your requirements. I wanted to close mine in <24 months but they're not budging ("Take it or leave it") from 5% prepayment penalty.

You can use the spreadsheet I was using for comparison which I posted in another thread (http://www.team-bhp.com/forum/indian-car-loans-insurance/93087-car-loan-schedule-calculator.html#post2162109)
Hope this helps.

[Live To Jive]

Originally Posted by ch.nathan

I heard Reliance Finance is offering a loan exclsively for FORD FIGO:

Amount: 3 lakhs
RoI: 8.5 % Fixed
Term: 3 years.

Read the fine print carefully and clarify before taking the loan. There are plenty of horror stories with Reliance stories and products. Go for Nationalised Banks for peace of mind and transperancy.

[Abhi_Automobile]

Guys,

Is it possible these days to go for a 7 year loan? I may prefer this type of loan to keep my EMI down and buy a bigger car for the same EMI. The car that I buy will be with me for 5-7 years, so I don't mind paying off more amount in total.

Is any bank offering such a scheme these days?

[MileCruncher]

My present car is financed by SBI but I'm selling my car andbuying a new vehicle.

Can someone tell me which bank is offering the best Rate of Interest?