Hello Friends,
I am planning to buy a Hyundai i20 very soon and wanted to get your advice on car loans.
I am in a dilemma to be honest on fixed rate v/s float rate.I am sure I am not the only one out there.:)
I am looking at a longer tenure such as 5 yrs or more and plan to repay the loan back fully in the next 2 years.However would also like to have a lower EMI for the first year.
I have 2 offers with me.
1.SBI car loan which gives me finance upto 85% off On road price.
Rate of interest is 11.25%(floating)
Pre-Payment charge: NIL(can repay anytime)
Daily reducing balance
2.HDFC bank loan which gives me finance upto 85% off Ex showroom price(dampener for me!)
Rate of interest is 11.00%(fixed)
Pre payment charge : 1.5%(after 2 yrs).before 2 years is 6%.
Monthly reducing balance method.
Please can you suggest me what offer I should go with.
Regds
Ravi.