It is one part of the middle class trifecta the cool car along with the cushy job and the own home.
Only a minuscule percentage of people (including the wealthy) opt to buy a car outright. Most of them go the car loan route. All that's needed is a sufficiently good income and all the vehicle papers in place.
No running to different banks to get their loan rates. Compare car loan interest rates right here on a click. Please note here that used car loans are slightly costlier than new car loans.

Car Loan EMI

Zeroed in on your dream machine? Want the delivery this festive season? But do now know how much money you will need to dole out every month for zipping in and out of your dream machine? How will increasing your down-payment affect your EMI?

With the Car Loan EMI Calculator, you can know your EMI (Equated Monthly Installment) which will be payable every month towards repayment of your loan. The down-payment at the time of making a car purchase affects the EMI you will pay later. Here's how:

The Loan Amount for your Car Loan is simply the Total Cost of the Car less the initial down-payment. As you increase the down-payment, your loan amount reduces. For a given rate of interest, a reduced loan amount reduces the EMI you have to shell out every month.

Car Loan: Documents Required: Overview

Several documents establishing your identity, proof of income and residence are required for a loan. But, the documents pertaining to the car, new or old are very important. So even if you are eligible for a loan; without proper car documents you can not get a loan.

Financing a car purchase has become rather easy these days. In recent years, a whole lot of financing options have emerged for the potential car buyer. Here we list a few options.

Loan: One of the more famous ways of buying a car is through a car loan. In this case, the car bought through a loan is actually in the possession of the lending institution. The official term used here is 'hypothecation clause', which basically means that though you own the car, the bank/lending institution is using the car as a security against the loan taken by you. Thus, once you have cleared all the dues, this clause is removed from the agreement.

The self-employed can get tax relief on the interest paid for the car loan (approximately 15 per cent). Also, depreciation to the tune of 10 per cent per annum can be claimed depending on the price of the car.