For me, one of the more interesting aspects of the car-buying process has surprisingly been the series of exchanges I've had with representatives of various banks and similar other hungry-for-your-money financial insititutions. Initially something that I was rather wary about, you start enjoying yourself when you realise, that with just a little patience and some good acting, you can swing the deal just the way you want it. And it gets even better when you have multiple options to choose from. Competition is cut-throat, the undercutting is fierce, company loyalty is a sham and in most cases, the customer does end up having the last word . In short, it's everything you would want from a car loan.
But it's also vital that you keep a cool, clear head when you're negotiating a car finance deal and here, therefore, are some tips to help you get the best (or close to that, atleast) deal on your shiny new set of wheels.
There are two ways in which EMIs on your car loan can be worked out - in advance or in arrears. An advance instalment falls due at the beginning of the month while an arrears instalment comes up for payment at the end of every month. Between the two, for a given interest rate, an advance EMI works out lower.
Why does the average Indian choose fuel economy as the only parameter by which a car can be termed 'good' or 'bad'? Shouldn't ride comfort and safety be considered high on the priority list too, especially keeping in mind the country's well below-par driving conditions?