Decide Best Car Loan EMI

Earlier, car buyers had be fully dependant on the loanterm and EMI of Rs. 3,331, the amount you would
officer. Thanks to the various options we have theserepay at the end of the three-year tenure would be
days, the loan agents have to compete with eachRs 1,19,916. The extra sum you would have repaid over
other for our car deals. We have thethe principal is Rs 19,916. On a yearly basis, the same
‘pre-approved loan’ and ‘loan on phone’.works out to Rs. 6,638 or 6.6 per cent a year. This is
Banks yearn for customers. This article will help carthe flat rate charged by the loan agency.
buyers get the best EMI on the car loan.The reason the rate is so good is because it takes for
The car finance rates may be high. Yet, the car buyergranted the simple interest, which is not appropriate for
is the one who gains. Negotiation is the best trick thatour EMI based loan. The flat rate is applicable, if you
one can play in the game of car financing. Brush up onare allowed to pay only the interest at the end of
your negotiation skills and you will be amazed at howevery year for three years and repay the principal
the interest rate and car loans EMI decreaseafter three years.
drastically. If a finance agent tells you that the rate andMost car loans come with monthly payments in the
EMI are fixed, ask for the manager. You never know,form of EMIs that include principal repayment and
the EMI may go down.interest charges. Your principal outstanding decreases
Do not forget to do your home work. Use the EMIevery month and the monthly interest is calculated on
calculators that are present on most car loanwebthis reducing balance. See to it that you settle for the
sites. Calculate the EMI for the amount you wouldlowest EMI in order to get the best deal. However, do
have to borrow as auto loan. Compare the EMIs fromnot forget the interest rate.
as many Web sites as you can. It is advisable to laterToday, car finance agents offer loan tenures as long
lower down the choice to may be five car financeas seven years that naturally lower the EMI. However,
agents who offer the lowest interest rates and thesuch car loans may not be optimal. You may end up
lowest EMIs. Don’t be happy though, thatconstantly owing more on your car than it’s worth
you’ve got the best car loan deal. You need toas your car is depreciating faster than you’re
negotiate on those interest rates. Even very littlepaying your loan off. You will not even be able to sell
amount saved in margin down payment and interestoff your car midway without losing money. Then
counts. There are enough options available for ancomes the pre-payment penalty too. You will be
average Indian to obtain an auto loanon sensible termshappier considering a cheaper car than a longer loan.
as long as he knows what to ask for and assessTo buy sale second hand cars or to buy sale used
what is being sold.cars delhi visit angclassifieds.
Suppose you take a car loan of Rs 1 lakh for a 3-year