Flaunt your luxurious four-wheeler dream this season with the help car loan
Author: kamlesh shukla
With 'season of festivities' coming, major names in the country's automobile segment can look forward to recording profits all over again.
Recently, just when Navratras began, a surge in car-purchasers confidence was seen for family-cars like Maruti Swift, Dzire and even A-Star.
Beside the trusted Maruti Car models, other established car brands like Hyundai, Chevrolet and Honda are also catching eyeballs, recording a increase in demand levels within the range of 7-10 percent in the current season alone.
However, such revivification has also gained strict examination since people are reflecting over the fact that what has prompted this sharp Now the question arises that how can one be so sure of reviving economy that buying a new car is his first choice now.
The answer is quite uncomplicated. It is the inexpensive sedan funding schemes that are being made available in a convenient style.
Both Private sector such as ICICI Bank, IDBI Bank, HDFC Bank, Kotak Mahindra Bank, Tata Capital, Canara Bank as well as public sector banking entities like State Bank of India have been extending comfortable financing deals that has not only delivered goods for the makers but has also resulted into growth in demand levels from rural areas.
Speaking of private loaners, the largest of them all, ICICI Bank is offering the car loan products up to the max. limit of 90% of ex-showroom price of any vehicle and that too with the repayment term of 5 years.
However, the availability of these loans also counts on certain pre-defined conditions like the annual income as well as past repayment records.
HDFC Bank is another corporate banking entity name in the Indian banking industry that has been offering 100 percent car-financing facilities to its client. However, the legal specifications here too changes for salaried person as well as for self-employed person.
Loan products with a repayment term of 1-7 years, are being rendered by banks. In case of public-sector bank, State Bank of India, country's largest bank, is supplying auto loans @ 8 percent rate of interest which will be step-upped to 10 percent in the second year.
Canara Bank is supplying car loan at set ROI of 8 percent in 1st year; 9 percent in the IInd year and 10.5 percent in the IIIrd year, which will eventually carry on to Vth year.
IDBI is also out with the similar kind of loan deals. Best offers can also be secured through the banks which are already in an agreement with car dealers.
The recent event of Hyundai inking MoU with Bank of Rajasthan and Central Bank is suggestive of fact that customers can now get auto loans at comparatively lower interest rate and with convenient repayment tenure.
Government bank, RBI is supplying alleviation to banks which in turn are passing on the advantage to customers by providing car loans at as low as 10.5 percent (with no processing fees and foreclosure prices).
This exercise of passing benefits to customers is actually pulling in lot of attention from loan aspirants which might help banking segment from revival from liquidity crisis' after-effects.
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