I’m planning to buy a Car in near future. I was looking forward to own a Volkswagen Vento Diesel version (Rs.923,500) which is priced Rs.100,000 more than Petrol its variant (Rs.823,500).
If I were to use this Car for another 10 years, monthly savings on fuel charges would be around Rs. 1400/- per month assuming difference between petrol and diesel prices are going to stay same during this course of time (current diesel price per liter in my city is Rs.41.39 and petrol price is Rs.61.75).
Difference in price between diesel and petrol variant is Rs.100000 if invested at 12% interest rate for 5 years give return of Rs.3,10,585 and savings from fuel charges Rs.1,400 invested monthly at 12% for 5 years gives Rs.3,25,275.
I understand that Diesel price may hike in near future thus reducing the savings from fuel charges and also aware of diesel variants delivering sluggish performance and its high spare parts costs.
What do you think is the best option in terms of total cost of ownership and savings?