Owning a car was a luxury that not everyone was able to afford a few years ago. Owning a car was a career achievement for someone who could fork out a large amount of money to purchase their dream car at once. Today, owning a vehicle is no longer an extravagance for most of the Indian middle class, with shifting times and demographics and new car loan providers, but made possible by taking a car loan.
You cannot think about living without a car because it would deter you from getting to work, commitments, or leisure, hindering a healthy social and professional life. Despite newer technologies and fewer funds, however, cars' cost is rising, making it increasingly difficult for people in the middle-income group to buy their vehicles directly from their savings.
Car Loan Features
Car loans in India generally have the following features:
- Depending on the condition and the kind of vehicle requirement, a new or pre-owned car loan can be obtained. However, more people prefer a car loan for new vehicles instead of pre-owned cars.
- India's car finance option allows you to purchase a better car than the one available in your budget because the car loan's approval is speedy.
- Car loans in India usually provide interest options during repayment through EMIs at a fixed rate. This leaves you assured of a fixed monthly EMI amount for the car loan without impacting your daily expenditures, allowing for better budget planning.
- For the most part, a bank providing car loans also offer flexible repayment options to repay the car loan balance through fixed EMIs for 1-7 years.
- Compared with any other loans, car loans in India are also easier to obtain and include clear paperwork with detailed guidance during the entire approval process for car loans.
A car loan EMI calculation
EMIs make repaying your loan easy and a stress-free process, but in your monthly budget, and EMI of a car loan would make a significant dent. Therefore, you must measure the EMI amount ahead of time with the car loan calculator to ensure that you can pay the EMI before taking out a loan for the amount necessary.
Use the EMI calculator for a car loan. Depending on the number, duration, and interest rate of the loan given to you, it automatically gives you the monthly amount you are supposed to pay. It will allow you to prepare your finances accordingly, and you will be able to buy a car according to your budget and wishes.