Wednesday, 28 November 2018

things to negotiate while availing a car loan


Are you in pursuit of a set of wheels to call your own? Want to buy your own dream car? But don’t have enough money? So, in such circumstances car loan comes in handy. A car loan helps you to buy your dream car and allows you to acquire a four wheeler quickly, without spending too much time in arranging the fund. But buying a car can be an extremely emotional as well as big financial decision, especially when if it is your first vehicle. And, as a prospective buyer, one obviously wishes to get a best pocket friendly deal on a car loan.
Here are some things that you should negotiate with your lender to get a best deal on loan-

Negotiate the price of the car, not your EMIs


If you already find your dealer and are all ready to opt financing of the vehicle, then it may happen that you will be assigned a sales representatives who will be friendly and is on your side, asks you a question like” how much you are willing to pay each month?” .but before you impressed with the helpfulness of the salesman, take a step back.
Bear in mind that each dealer makes a considerable margin on the sale of each car. So, the best way is to approach multiple dealers for the same car and check out the best price of the car on offer and not who is giving you the maximum EMI.
Opt for the best rate of interest
Car loan interest rates are obviously the major consideration that you have to make before availing a car loan. In the market host of banks are present which offers a loan at attractive interest rate to the individuals. For a quick and cost-effective method of purchasing, opt for Axis Bank car loans. As the bank offer loan for both new as well as used one at low interest rates. The Axis Bank Car Loan interest rate is from 8.60% to 11.50% p.a.
Go for short loan tenure
Once again, do not be taken in by the creative ways that the car dealers come up with to make borrowers pay the lowest EMI each month. Bear in mind that the lower EMI, the higher is your loan tenure. Axis bank offers loan tenure of as long as seven years.  However, you need to keep in mind that a car is a depreciating asset and loses value each year. Therefore, try and keep the tenure as short as possible.

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