Car Financing Tips: Buying a new car is a happy moment. But when this purchase is made on loan. So wisdom becomes even more important. Seeing the small EMI, the actual expenditure cannot be estimated. The real cost is hidden in interest, charges and terms. If you got the finance done without understanding it properly. So the same car which is giving happiness today. It may cause trouble tomorrow. Therefore, just liking the car is not enough. It is also important to understand these things regarding loan. Knowing these five things before signing can save you from a wrong decision.

Keep an eye on the entire payment, not the interest rate.

While getting a car financed, most people only ask for the interest rate. Whereas the real thing is full payment. The interest on two different loans may be equal. But due to different tenure and charges, there is a big difference in the total payment. Therefore, definitely ask how much money you will pay in total for the tenure. Processing fees, file charges, GST and other charges are not reflected in EMI. But increase the total cost. This figure will tell you how much your car is actually costing.

Higher the down payment, cheaper the loan.

Often people think that they can buy a car by paying less down payment. But this means more loan and more interest. If you deposit a good amount in the beginning. So your principal amount will reduce and EMI will also remain under control. This not only reduces the total interest. In fact, the financial pressure also reduces in the future. Try not to stop at just the minimum down payment. Rather give more as per your capacity. This decision will give you big benefits in the long run.

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Decide the loan tenure wisely

Long term loan makes EMI smaller. But the total interest increases a lot. At the same time, EMI may seem heavy in the short term. But the car becomes yours sooner and less interest has to be paid. Therefore, do not decide the tenure just by looking at the EMI. Create a balance keeping in mind your monthly income, remaining expenses and savings. Choose a plan in which the EMI is not high and the loan does not last longer than necessary.

Must read pre-payment and foreclosure terms

What is your income today? It is not necessary that tomorrow remains the same. Maybe in future you will get a chance to repay the loan early. In such a situation, if the bank imposes a heavy penalty, your profit gets reduced. Therefore, while taking a loan, definitely ask how much will be charged on pre-payment or foreclosure. Some banks charge higher fees in the initial years.

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Don’t get trapped in insurance and extra packages

Showrooms often bundle expensive insurance and accessory packages with finance. These are stated together in EMI. Due to which the real value is not understood. You have every right to buy insurance from outside and compare rates from different companies. Apart from this, only avail extended warranty, maintenance pack and other add ons. When they are really needed. Otherwise you make your car more expensive unnecessarily.

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Second Hand Car Buying Tips: In today’s era, cars are no longer just a hobby. Rather, it has become a necessity for every home. But the price of a new car is so high that not everyone is able to buy it immediately. In such a situation, many people decide to buy a second hand car. A lot of people are trying this option these days.

However, it is important to do complete research before buying a second hand car. Most people look at engine, mileage or accident history. But some important documents are ignored. Due to which problems may arise later. Let us know those three important things. Buying an old car without seeing these can prove to be a mistake.

First of all check the number plate

It is important to know the history of the old vehicle because many times vehicles used in crime are sold. By purchasing such a car, the new owner may also get into legal trouble. Therefore, it is very important to check the vehicle registration number online.

For this, you can go to the website of Crime and Criminal Tracking Network and enter the vehicle number. From there you will know whether any case or complaint is registered against the vehicle or not. If you get information about any dispute or case, then immediately refuse to buy that vehicle.

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Please check the details of the challan

Many times traffic challans remain outstanding on old vehicles and the new buyer unknowingly takes that burden upon himself. Take care. If the vehicle is transferred to your name, you will have to pay all the outstanding challans. Therefore, before purchasing, go to the e-challan website of the Transport Ministry and check the vehicle number. There it will be clearly visible whether there is any challan pending on the vehicle or not. It would be better if you clear all the outstanding challans from the old owner in advance. So that there is no problem in future.

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Don’t forget to check RC and NOC

Before buying a used car, definitely check the registration certificate i.e. RC and no objection certificate i.e. NOC. From RC you will get information about the owner and loan status of the vehicle. If the car is on finance from a bank. So the name of the bank is written on the RC. In such a situation, it is necessary to take NOC from the owner of the vehicle.

So that it can be proved that all the installments have been paid. If you buy a car for which loan installments are pending. So in future the responsibility of payment will fall on you. Therefore, do not be hasty and finalize the deal only after checking all the documents.

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Car Buying Tips: The festive season has started in the country. Today is Dhanteras, many people buy many things on this special day. Discounts and offers are also available on many things during Dhanteras and Diwali. Car dealers also give attractive offers to people on this occasion. In which there are discounts, exchange offers and discounts in financing. Due to which buying a car may seem even more beneficial.

But the most important thing to note here is that the offers may be good. But don’t be hasty. You must do pre-delivery inspection. By checking the car properly, any problem can be avoided in future. It turns out that your new car is completely new and has no technical or external defects. Let us tell you which things are important to check.

Complete inspection of exterior and engine

While taking delivery of a new car, first check its exterior carefully. There should not be any scratches, dents or paint properly on the paint. There should be no difference in paint shade on different panels of the car. Be sure to look for swirl marks on the surface. Because this can happen due to bad handling. After this open the hood and look at the engine. Check the levels of oil, coolant and brake fluid and report any leakage immediately.

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Look at the welding joints and inform the dealership staff immediately if there is any crack or breakage. Also check the condition of the battery. If you notice rust, loose wires or any kind of defect on the terminal, note it down and inform the dealer. so that there is no harm in future

Be sure to pay attention to these things also

When buying a car, all its tires including the spare wheel are included. Must be brand new. It is important to have correct tire pressure. Start the air conditioner and heater and check. Check the interior for any stains, scratches or tears. Pull the seat belts out completely and pay attention to their quality. Along with this, check that the owner manual, warranty card and insurance documents are correct.

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Match the vehicle identification number and engine number with your records. Also check that spare wheel, jack, toolkit, duplicate keys and other accessories are in good condition. Accept the car only after checking all these things. So that you don’t have to face any trouble later.

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