POSTED BY January 27, 2013 1:32 pm COMMENTS (9)ON
I am a professional in my late 20s. I plan to buy a new car and also have plans to extend my house. I already have a home loan and pay 20k EMI for a 20 yr loan. For the car and home extension plans, I would need ~ 9 Lakhs. On checking with the SBI officials, I have two options:
1. Go for a car loan at 10.50%, emi (1686/ lakh) = Rs. 15174 for 7 yrs
2. Opt for a special top up at 11%, emi (1032/ lakh) = Rs. 9288 for 20 yrs
I have few financial commitments for the next 2.5-3 years including my marriage, gold loans amounting to 3 lakhs etc. Thereafter I will be able to free up a fixed amount of money around 10k/ month and could contribute towards the loan EMIs.
Could you please advice on which loan should I opt for and any other way to ease my financial commitments. Thanks for reading my query.