Bank Loan and deals

[trustvishwas]

Update 2 :

My friend visited State Bank of India and ICICI. Both are in same situation. They are not disbursing loans for two wheelers right now.

He ultimately had to opt to Bajaj Auto Finance loan since he wanted a bike on diwali.

[aargee]

My friend visited State Bank of India and ICICI. Both are in same situation. They are not disbursing loans for two wheelers right now.

Something doesn't sounds good; another crisis or recession

[trustvishwas]

Something doesn't sounds good; another crisis or recession

Actually, the banks are busy processing higher amount loans. Time taken to process even a smaller amount is similar to a loan of much larger amount. So they are prioritizing. eg. A bank would earn a lot more interest and processing fee if they disburse a loan for Rs.15 lakh would be much higher than interest earned for a loan of Rs.1 lakh.

This has nothing related to crisis or recession.

Edit : While leaving, the staff asked us to bring proposals for car loans and also asked whether one of their current borrower (and my friend) would like some more loan. :-)

[trustvishwas]

Re: Bank Loan and deals

Watch out for update sometime in next week. Would describe in detail process for obtaining loans for purchasing second hand bikes.

[vikas007sharma]

Re: Bank Loan and deals

Hello Everyone


I'm looking for Bike Loan. But Interest rate seems to be very high. While banks with low interest rate have cap of 1 lakh or 0.50 lakh.

I'm planning for CBR 250R. It would be somewhere 2 Lakh approx. on road. So I would be needing loan of around 1.5 Lakh. I know few banks like HDFC or Bajaj but there interest rates are quite high. I talked to HDFC bank, they quoted 21% fixed & 23% floating interest rate and they will finance 80% of bike cost. Only thing that itch me is high interest rate.

[padamchhabra]

Help for a Bike Loan

Hi,
I am planning to buy a Harley Davidson's Fatboy. I am working in CAT A company. I have been visiting many banks and it's difficult to compare between all. I have even been to online portals like Dialabank and the rate of interest I have got is 9.40% from HDFC bank so please suggest me what to do..

[sarada06884]

Re: Bank Loan and deals

Forgive me folks if I hurt your sentiments

I suggest you not to buy a vehicle on a loan until it's an absolute necessity. As you folks know, vehicles are depriciating assets. Your vehicle will loose it's book value quickly and you also need to pay a hefty rate of interest.
If it's an absolute necessity then first consider taking a loan on a fixed deposit or so. This has got it's own advantage like you can close the loan at your convenience and the monthly payment is not fixed.
In case you don't have a fixed deposit, and you need to take a loan please compare rate of interest on sites like bank Bazaar etc.

Thanks

[Astrix]

Re: Help for a Bike Loan

Hi,
I am planning to buy a Harley Davidson's Fatboy. I am working in CAT A company. I have been visiting many banks and it's difficult to compare between all. I have even been to online portals like Dialabank and the rate of interest I have got is 9.40% from HDFC bank so please suggest me what to do..

Not quite sure, but I think HDFC is the only bank that is giving loan for super-bikes. Also, I think 9.4% is a very reasonable rate. But do check with them if this is flat or reduing. If it is reducing then I think the deal is a good one.

You can also check with the showroom guys for loan and check what they have to offer as even they will have tie-ups with banks and financial institutes.

Also while comparing the rate of interest as them for your EMI and compare the EMIs. I have come across instances where Bank A said interest is 10.5 and other bank saying interest is 10.35, but the EMI of 10.5 was turning out to be lower than the 10.35 one. So they have many ifs and buts in their terms, so it's best to just compare the EMI.

Hope this helps.

[kirosh_03]

Re: Bank Loan and deals

Need some clarification from banking gurus here...

The bank guy (recommended by the dealer) quoted me an EMI of 5269 x 23 months for a loan of 1,01,273. He mentioned that the ROI is 7.5%. However, when I calculated the EMI using some available online tools, the EMI for the said amount is around 4.5k for the same tenure and interest. It looks like the quoted interest rate by the bank guy is way above 20% (as per the online calculators).

Any idea which is correct?

[sarada06884]

Re: Bank Loan and deals

Need some clarification from banking gurus here...

The bank guy (recommended by the dealer) quoted me an EMI of 5269 x 23 months for a loan of 1,01,273. He mentioned that the ROI is 7.5%. However, when I calculated the EMI using some available online tools, the EMI for the said amount is around 4.5k for the same tenure and interest. It looks like the quoted interest rate by the bank guy is way above 20% (as per the online calculators).

Any idea which is correct?

These are just the colorful lies told to you by the agent. Also don't forget to factor in processing charges and hypothecation removal charges.

Sent from my Lenovo A6000 using xBhp.com mobile app

[demon_speeding]

Re: Bank Loan and deals

Need some clarification from banking gurus here...

The bank guy (recommended by the dealer) quoted me an EMI of 5269 x 23 months for a loan of 1,01,273. He mentioned that the ROI is 7.5%. However, when I calculated the EMI using some available online tools, the EMI for the said amount is around 4.5k for the same tenure and interest. It looks like the quoted interest rate by the bank guy is way above 20% (as per the online calculators).

Any idea which is correct?

please see https://www.sbi.co.in/portal/web/int...o-loans-scheme

it states 9.25 % above 1 Yr. MCLR, effective rate 17.25 % p.a & w.e.f. 01.01.2017 1 year MCLR 8.00% p.a. for SBI.
so i dont think it can be 7.5%


its around 18.61%

no of emi	OP o/s	int due	emi	cl bal
1	101273	1570.6	5269	97575
2	97574.575	1513.2	5269	93819
3	93818.794	1455	5269	90005
4	90004.768	1395.8	5269	86132
5	86131.592	1335.8	5269	82198
6	82198.349	1274.8	5269	78204
7	78204.108	1212.8	5269	74148
8	74147.924	1149.9	5269	70029
9	70028.834	1086	5269	65846
10	65845.865	1021.2	5269	61598
11	61598.025	955.28	5269	57284
12	57284.307	888.38	5269	52904
13	52903.691	820.45	5269	48455
14	48455.14	751.46	5269	43938
15	43937.598	681.4	5269	39350
16	39349.997	610.25	5269	34691
17	34691.25	538	5269	29960
18	29960.253	464.63	5269	25156
19	25155.887	390.13	5269	20277
20	20277.013	314.46	5269	15322
21	15322.475	237.63	5269	10291
22	10291.101	159.6	5269	5181.7
23	5181.6993	80.36	5262	0

[kirosh_03]

Re: Bank Loan and deals

please see https://www.sbi.co.in/portal/web/int...o-loans-scheme
.
.
.

Thanks a lot. That clarifies.