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Car Financing Cost :
A comparativecustomer Perspective
Submitted By :-
Group 7
Neha Singhal - 102
Parul Srivastava - 109
Payal Saraf ± 111
Shruti Bagri
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INDEX
1. Introduction
2. Types of Finances
3. Car Loan Terminologies
4. Calculation of Loan Amount
y State Bank of India
y Punjab National Bank
y UCO Bank
y ICICI Bank
5. Conclusion
6. Bibliography
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Introduction
Customer is the key revenue generator for any profit-making organization. It is the customer,
who decides which product should stay in the market and which should not . Companies try to
differentiate their product by giving better quality or assuring good services. The market is
moving from the supply-side economy to the demand-side one. Though the equilibrium is
obtained in any market when both the sides intersect, but the supply is altered according to
the demand.
Not all customers can buy everything. If it¶s a necessary good, then the purchase becomes
important. But, when it comes to purchasing a luxury product, people think about the
opportunity cost of buying it.
Started in the early 1980¶s, car financing was offered by firms to make their payment easy
and affordable. The second thought which the customer might have was offset by providing
them the ease to buy.
Car finance is anything that a third party may provide to the seeker to avail the automobile
without making the entire payment at once. The business sector and the public have
benefitted a lot since it was provided in the market. As a result, now a car isn¶t a luxury
anymore, rather, it¶s a necessity.
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Types of Finances
Car finance includes a wide range of options for the customer to choose from. Some of them
would be:
y Car Loan
y Hire Purchase
y Car leasing
y Contract Purchase
Car loans
These are the typical loans offered by the companies and banks to the public, in which they
provide them with money to purchase which is followed by payment of interest and then full
payment of the loan in instalments.
Hire Purchase
These allow the customer to pay for the purchase of car at a certain percentage and the rest is
paid by the assuring company. With instalments, the customer pays the complete payment.
Leasing
Here the car is availed for a span of years, after which it is returned back to the lessor . The
lessee doesn¶t avail the right of ownership on the car .
Leasing is considered to a good option in terms of less payment, because the expenses come
down to 30-60% if the customer uses the car through leasing . But, keeping only fewer
expenses in mind is not the best way as the manipulations can make the worst deal look like
the best deal.
Also, if the customer wants to go for car customization, then leasing may not bethe suitable option. They cannot make modifications and install custom equipment that alters
the car . Leasing gives the user a used car, while car loan provides them a new one. It depends
on the features that the leased car is availing that may make the decision vary. If the old car
has all the new safety features and the technology that the customer wants, then the customer
might opt for the lease option.
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The three advantages of leasing are as follows:
y It avoids depreciation. Leasing is done for a short period of time (i.e. around 3 years).
So, the depreciation is realized by the owner and not the user of the car .
y Cheaper way of finance for expensive cars. Rather than purchasing an expensive car,
consumer can go for leasing which can reduce the cost by about 60% .
y Convenience. Leasing can be availed very conveniently, even when sitting at home
via online services.
Personal Contract Purchase
The user has to pay a certain sum of money to the company for using the car, from 24 months
to 48 months. This gives the right to use the car by the customer but not the right of
ownership.
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Car Loan Terminologies:
y Sticker price
This price, also called the MSRP, can be seen on the windshield of your new car . This
is the public, or advertised, price of the vehicle. The MSRP is intended as a starting point for negotiations to settle on a selling price. Occasionally, car buyers will pay full
sticker price. For example, on some 0% APR car loan rates, dealers are inflexible on
the price of the car, which means you end up paying full sticker price. Rarely, if a car
is in high demand, you might end up paying more than sticker price. In general,
though, if you paid sticker price for the vehicle, you likely paid too much.
y Invoice price
This is what the dealer actually paid the manufacturer for the car . The difference
between the MSRP and the dealer invoice price represents the dealer's profit, which is
the amount you will negotiate.
y APR (Annual Percentage Rate)
This is an especially common term you will see when shopping for car loan rates.
This number calculates all interest expenses, charges, and fees per year to represent
the total cost of the loan to the buyer annually. Remember that the best way to
compare car loan rates is the APR because each lender/dealership can calculate fees,
charges, and interest rates different ways. The way an APR is calculated, though, is
regulated by the government.
y Rebates
Manufacturers use rebates as a "gift" to buyers to give them an added incentive to buy
particular makes and models. The dealer will also sometimes offer rebates. Rebates
usually take two forms: a reduction in the price of the vehicle or a better offer on car
loan rates (or financing). Rebates usually come with slow-selling vehicles to help
dealers get rid of surpluses.
y Dealer financing
As soon as dealers realized they were missing out on potentially huge profits by just
selling cars and not financing, the dealer financing business was born. Dealership
financing rarely offers the lowest car loan rates, so be cautious if you're considering it .
Dealerships usually take advantage of you by jacking up the sticker price of the car
when they offer more competitive financing deals.
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LOAN AMOUNT CALCULATED AS PER BANKS OF DIFFERENT
SECTOR
(To know which bank¶s scheme costs low to the customer)
We have calculated total payment to be made by the customer for the following Banks:
y State Bank of India- Nationalised Bank, also a Public Sector Bank
y Punjab National Bank- Public Sector Bank
y UCO Bank- Public Sector Bank
y ICICI- Private Sector Bank
Following assumptions have been made while calculating:
y New Car Invoice Price ± Rs5,00,000
y Period of Loan ± as maximum duration provided by Banks
y MS Excel has been used for calculating Equated Monthly Instalments (EMI) on the
basis of schemes available from above mentioned banks.
State Bank Of India- Nationalised Bank
The origin of the State Bank of India goes back to the first decade of the nineteenth century
with the establishment of the Bank of Calcutta in Calcutta on 2 June 1806. Three years later
the bank received its charter and was re-designed as the Bank of Bengal (2 January 1809). A
unique institution, it was the first joint-stock bank of British India sponsored by the
Government of Bengal. The Bank of Bombay (15 April 1840) and the Bank of Madras (1
July 1843) followed the Bank of Bengal. These three banks remained at the apex of modern
banking in India till their amalgamation as the Imperial Bank of India on 27 January 1921.
The State Bank of India was thus born with a new sense of social purpose aided by the 480
offices comprising branches, sub offices and three Local Head Offices inherited from the
Imperial Bank . The concept of banking as mere repositories of the community's savings and
lenders to creditworthy parties was soon to give way to the concept of purposeful banking
subserving the growing and diversified financial needs of planned economic development.
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The State Bank of India was destined to act as the pacesetter in this respect and lead the
Indian banking system into the exciting field of national development.
The business of the banks was initially confined to discounting of bills of exchange or other
negotiable private securities, keeping cash accounts and receiving deposits and issuing andcirculating cash notes. Loans were restricted to Rs.one lakh and the period of accommodation
confined to three months only. The security for such loans was public securities, commonly
called Company's Paper, bullion, treasure, plate, jewels, or goods 'not of a perishable nature'
and no interest could be charged beyond a rate of twelve per cent. Loans against goods like
opium, indigo, salt woollens, cotton, cotton piece goods, mule twist and silk goods were also
granted but such finance by way of cash credits gained momentum only from the third decade
of the nineteenth century. All commodities, including tea, sugar and jute, which began to be
financed later, were either pledged or hypothecated to the bank . Demand promissory noteswere signed by the borrower in favour of the guarantor, which was in turn endorsed to the
bank . Lending against shares of the banks or on the mortgage of houses, land or other real
property was, however, forbidden.
The State Bank of India, the country¶s oldest Bank and a premier in terms of balance sheet
size, number of branches, market capitalization and profits is today going through a
momentous phase of Change and Transformation ± the two hundred year old Public sector
behemoth is today stirring out of its Public Sector legacy and moving with an agility to give
the Private and Foreign Banks a run for their money.
SBI Loan details:
y No Advance EMI;
y Longest repayment tenure (7 years);
y Lowest interest rates ( there are further concessions for Corporate Salary Package
accounts) ;
y Lowest EMI;
y LTV 85% of 'On Road Price' of car (includes registration, insurance and cost of
accessories worth Rs 25000), 90% in case of Corporate Salary Package accounts;
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y Interest Calculated on Daily Reducing Balance;
y Flexibility of payment of EMI anytime during the month ;
y Low pre-payment penalty, only 2%;
y Low processing fee (only 0.50% of loan amount); for Corporate Salary Package
accounts, only Rs.500 per application.
y Free Accidental insurance ; Optional SBI Life cover;
y Overdraft facility available.
Loan Amount
Maximum Loan amount will be 2.5 times of net annual income. Spouse¶s income could also
be considered provided the spouse becomes a co-borrower in the loan.
Loan amount below Rs. 5 lacs will cover under the scheme
Documents Required
You would need to submit the following documents along with the completed application
form:
1. Statement of Bank account of the borrower for last 12 months.
2. 2 passport size photographs of borrower(s).
3. Signature identification from bankers of borrower(s).
4. A copy of passport /voters ID card/PAN card.
5. Proof of residence.
6. Latest salary-slip showing all deductions
7. I.T. Returns/Form 16: 2 years for salaried employees and 3 years for professional/self-
employed/businessmen duly accepted by the ITO wherever applicable to be
submitted.
8. Proof of official address for non-salaried individuals.
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Margin
15% of the on the road price (which includes vehicle registration charges, insurance, one-
time road tax and accessories).
Repayment
You can enjoy the longest repayment period in the industry with us as long as 84 months .
Processing Fee
Only 0.50% of Loan amount to be paid up front as processing fee, with minimum: Rs. 500/-
and maximum Rs. 10,000
25% of Processing fee will be retained if application is rejected after pre-sanction survey.
Security
Borrower undertakes to get hypothecation to the bank, marked in the Registration book of the
Vehicle immediately after purchase of vehicle
SBI EZEE CAR LOAN SCHEME
Purpose
For purchase of new passenger cars, Multi Utility Vehicles (MUVs) and SUVs with
minimum loan component of Rs. 5.0 lakh and above.
Takeover of existing loan from other Bank/Financial institution (Conditions apply)
Interest Rates
SL.
No
PARAMETER
SCHEME
DETAILS
1 Applicable toAll New Car Loans to Public of loan amount less than 5
lacs
2 Interest RateAt present the following limited period offer will apply till
31st
March 2011:
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For Term Loan:
Card Rate: 3.00% above Base Rate i.e. min 11.25% p.a.
For 1st year: discount of 2.00% on Card Rate, i.e. 9.25%
p.a.
For 2nd
& 3rd
year: discount of 1.00% on Card Rate,
i.e. 10.25% p.a.
For 4th to 7th year: At Card Rate i.e.11.25% p.a.
For Overdraft:
OD will attract 0.50% more than the existing rate for Term
loans.
SBI EZEE Loan Calculated as follows:
Payment
No.
Payment
Date
Beginning
Balance
Scheduled
Payment
Extra
Payment
Total
Payment Principal Interest
Ending
Balance
1.00 40634.00 425000.00 6891.90 0.00 6891.90 3615.86 3276.04 421384.14
2.00 40664.00 421384.14 6891.90 0.00 6891.90 3643.73 3248.17 417740.41
3.00 40695.00 417740.41 6891.90 0.00 6891.90 3671.82 3220.08 414068.58
4.00 40725.00 414068.58 6891.90 0.00 6891.90 3700.12 3191.78 410368.46
5.00 40756.00 410368.46 6891.90 0.00 6891.90 3728.65 3163.26 406639.81
6.00 40787.00 406639.81 6891.90 0.00 6891.90 3757.39 3134.52 402882.43
7.00 40817.00 402882.43 6891.90 0.00 6891.90 3786.35 3105.55 399096.08
8.00 40848
.00 399096
.08 6891
.90 0
.00 6891
.90 381
5.54 3076
.37 39
5280
.54
9.00 40878.00 395280.54 6891.90 0.00 6891.90 3844.95 3046.95 391435.59
10.00 40909.00 391435.59 6891.90 0.00 6891.90 3874.59 3017.32 387561.00
11.00 40940.00 387561.00 6891.90 0.00 6891.90 3904.45 2987.45 383656.55
12.00 40969.00 383656.55 6891.90 0.00 6891.90 3934.55 2957.35 379722.00
13.00 41000.00 379722.00 6891.90 0.00 6891.90 3964.88 2927.02 375757.12
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14.00 41030.00 375757.12 6891.90 0.00 6891.90 3995.44 2896.46 371761.68
15.00 41061.00 371761.68 6891.90 0.00 6891.90 4026.24 2865.66 367735.44
16.00 41091.00 367735.44 6891.90 0.00 6891.90 4057.28 2834.63 363678.16
17.00 41122.00 363678.16 6891.90 0.00 6891.90 4088.55 2803.35 359589.61
18.00 41153.00 359589.61 6891.90 0.00 6891.90 4120.07 2771.84 355469.55
19.00 41183.00 355469.55 6891.90 0.00 6891.90 4151.83 2740.08 351317.72
20.00 41214.00 351317.72 6891.90 0.00 6891.90 4183.83 2708.07 347133.89
21.00 41244.00 347133.89 6891.90 0.00 6891.90 4216.08 2675.82 342917.82
22.00 41275.00 342917.82 6891.90 0.00 6891.90 4248.58 2643.32 338669.24
23.00 41306.00 338669.24 6891.90 0.00 6891.90 4281.33 2610.58 334387.91
24.00 41334.00 334387.91 6891.90 0.00 6891.90 4314.33 2577.57 330073.58
25.00 41000.00 330073.58 6156.58 0.00 6156.58 3337.21 2819.38 326736.38
26.00 41030.00 326736.38 6156.58 0.00 6156.58 3365.71 2790.87 323370.66
27.00 41061.00 323370.66 6156.58 0.00 6156.58 3394.46 2762.12 319976.20
28.00 41091.00 319976.20 6156.58 0.00 6156.58 3423.45 2733.13 316552.75
29.00 41122.00 316552.75 6156.58 0.00 6156.58 3452.70 2703.89 313100.05
30.00 41153.00 313100.05 6156.58 0.00 6156.58 3482.19 2674.40 309617.87
31.00 41183.00 309617.87 6156.58 0.00 6156.58 3511.93 2644.65 306105.94
32.00 41214.00 306105.94 6156.58 0.00 6156.58 3541.93 2614.65 302564.01
33.00 41244
.00 302
564
.01 61
56.5
8 0.00 61
56.5
8 3572
.18 2
584
.40 298991
.82
34.00 41275.00 298991.82 6156.58 0.00 6156.58 3602.70 2553.89 295389.13
35.00 41306.00 295389.13 6156.58 0.00 6156.58 3633.47 2523.12 291755.66
36.00 41334.00 291755.66 6156.58 0.00 6156.58 3664.50 2492.08 288091.16
37.00 41365.00 288091.16 6156.58 0.00 6156.58 3695.81 2460.78 284395.35
38.00 41395.00 284395.35 6156.58 0.00 6156.58 3727.37 2429.21 280667.98
39.00 41426.00 280667.98 6156.58 0.00 6156.58 3759.21 2397.37 276908.76
40.00 41456.00 276908.76 6156.58 0.00 6156.58 3791.32 2365.26 273117.44
41.00 41487.00 273117.44 6156.58 0.00 6156.58 3823.71 2332.88 269293.74
42.00 41518.00 269293.74 6156.58 0.00 6156.58 3856.37 2300.22 265437.37
43.00 41548.00 265437.37 6156.58 0.00 6156.58 3889.31 2267.28 261548.06
44.00 41579.00 261548.06 6156.58 0.00 6156.58 3922.53 2234.06 257625.54
45.00 41609.00 257625.54 6156.58 0.00 6156.58 3956.03 2200.55 253669.50
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46.00 41640.00 253669.50 6156.58 0.00 6156.58 3989.82 2166.76 249679.68
47.00 41671.00 249679.68 6156.58 0.00 6156.58 4023.90 2132.68 245655.78
48.00 41699.00 245655.78 6156.58 0.00 6156.58 4058.27 2098.31 241597.50
49.00 41730.00 241597.50 6244.21 0.00 6244.21 4029.57 2214.64 237567.93
50.00 41760.00 237567.93 6244.21 0.00 6244.21 4066.51 2177.71 233501.42
51.00 41791.00 233501.42 6244.21 0.00 6244.21 4103.78 2140.43 229397.64
52.00 41821.00 229397.64 6244.21 0.00 6244.21 4141.40 2102.81 225256.24
53.00 41852.00 225256.24 6244.21 0.00 6244.21 4179.36 2064.85 221076.87
54.00 41883.00 221076.87 6244.21 0.00 6244.21 4217.68 2026.54 216859.20
55.00 41913.00 216859.20 6244.21 0.00 6244.21 4256.34 1987.88 212602.86
56.00 41944.00 212602.86 6244.21 0.00 6244.21 4295.35 1948.86 208307.51
57.00 41974.00 208307.51 6244.21 0.00 6244.21 4334.73 1909.49 203972.78
58.00 42005.00 203972.78 6244.21 0.00 6244.21 4374.46 1869.75 199598.31
59.00 42036.00 199598.31 6244.21 0.00 6244.21 4414.56 1829.65 195183.75
60.00 42064.00 195183.75 6244.21 0.00 6244.21 4455.03 1789.18 190728.72
61.00 42095.00 190728.72 6244.21 0.00 6244.21 4495.87 1748.35 186232.86
62.00 42125.00 186232.86 6244.21 0.00 6244.21 4537.08 1707.13 181695.78
63.00 42156.00 181695.78 6244.21 0.00 6244.21 4578.67 1665.54 177117.11
64.00 42186.00 177117.11 6244.21 0.00 6244.21 4620.64 1623.57 172496.47
65.
00 42217.00 172496
.47 6244
.21 0
.00 6244
.21 4663
.00 1
581
.22 167833
.47
66.00 42248.00 167833.47 6244.21 0.00 6244.21 4705.74 1538.47 163127.73
67.00 42278.00 163127.73 6244.21 0.00 6244.21 4748.88 1495.34 158378.85
68.00 42309.00 158378.85 6244.21 0.00 6244.21 4792.41 1451.81 153586.45
69.00 42339.00 153586.45 6244.21 0.00 6244.21 4836.34 1407.88 148750.11
70.00 42370.00 148750.11 6244.21 0.00 6244.21 4880.67 1363.54 143869.44
71.00 42401.00 143869.44 6244.21 0.00 6244.21 4925.41 1318.80 138944.03
72.00 42430.00 138944.03 6244.21 0.00 6244.21 4970.56 1273.65 133973.47
73.00 42461.00 133973.47 6244.21 0.00 6244.21 5016.12 1228.09 128957.34
74.00 42491.00 128957.34 6244.21 0.00 6244.21 5062.10 1182.11 123895.24
75.00 42522.00 123895.24 6244.21 0.00 6244.21 5108.51 1135.71 118786.73
76.00 42552.00 118786.73 6244.21 0.00 6244.21 5155.34 1088.88 113631.40
77.00 42583.00 113631.40 6244.21 0.00 6244.21 5202.59 1041.62 108428.80
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78.00 42614.00 108428.80 6244.21 0.00 6244.21 5250.28 993.93 103178.52
79.00 42644.00 103178.52 6244.21 0.00 6244.21 5298.41 945.80 97880.11
80.00 42675.00 97880.11 6244.21 0.00 6244.21 5346.98 897.23 92533.13
81.00 42705.00 92533.13 6244.21 0.00 6244.21 5395.99 848.22 87137.14
82.00 42736.00 87137.14 6244.21 0.00 6244.21 5445.46 798.76 81691.68
83.00 42767.00 81691.68 6244.21 0.00 6244.21 5495.37 748.84 76196.31
84.00 42795.00 76196.31 6244.21 0.00 6244.21 5545.75 698.47 70650.56
85.00 42826.00 70650.56 6244.21 0.00 6244.21 5596.58 647.63 65053.98
86.00 42856.00 65053.98 6244.21 0.00 6244.21 5647.89 596.33 59406.09
87.00 42887.00 59406.09 6244.21 0.00 6244.21 5699.66 544.56 53706.43
88.00 42917.00 53706.43 6244.21 0.00 6244.21 5751.90 492.31 47954.53
89.00 42948.00 47954.53 6244.21 0.00 6244.21 5804.63 439.58 42149.90
90.00 42979.00 42149.90 6244.21 0.00 6244.21 5857.84 386.37 36292.06
91.00 43009.00 36292.06 6244.21 0.00 6244.21 5911.54 332.68 30380.52
92.00 43040.00 30380.52 6244.21 0.00 6244.21 5965.73 278.49 24414.80
93.00 43070.00 24414.80 6244.21 0.00 6244.21 6020.41 223.80 18394.39
94.00 43101.00 18394.39 6244.21 0.00 6244.21 6075.60 168.62 12318.79
95.00 43132.00 12318.79 6244.21 0.00 6244.21 6131.29 112.92 6187.50
96.00 43160.00 6187.50 6244.21 0.00 6187.50 6130.78 56.72 0.00
Total Amount to be paid = Total Interest and Principal Amount + Processing Fee
= 612829.22 + 0.5 % of 425000
= 612829.22 + 2125
= Rs. 614954.22
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PUBLIC SECTOR BANKS
PUNJAB NATIONAL BANK:
The Bank opened for business on 12 April, 1895. It has over 56 million satisfied customers
and more than 5000 offices including 5 overseas branches. The Corporate Office is at New
Delhi which supervises 65 Circle Offices under which the branches function. The delegation
of powers is decentralised up to the branch level to facilitate quick decision making.
Loan Details:
Available for purchase of New Car/ Van/ Jeep/ Multi Utility Vehicle (MUV)/ Sports Utility
Vehicle (SUV).
For old vehicles that are not older than 3 years (Depreciation @ 15% p.a. on current invoice /
showroom invoice). Finance will be provided for purchase of vehicle of indigenous/ foreign
makes.
Eligibility:
y Individuals as well as Business Concerns (Corporate or non-corporate).
y Minimum net monthly salary / pension / income ± 20000/-. Income of spouse can be
added.
Amount of loan:
y For Individuals / Proprietorship Concerns: 25 times of the monthly
net salary OR Rs.25 lakhs (for one or more vehicles), whichever is
lower . Income of parent(s) / spouse can be taken into account for
determining loan amount. In such cases, the parent(s)/ spouse shall
stand as additional guarantor .
y For Business Concerns (Corporate or non-corporate): No ceiling
on loan amount (for one or more vehicles).
y Margins:
y For New Vehicles: 15%
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y For Old Vehicles: 30%
Security:
The vehicle purchased with the amount of loan is to be hypothecated to the Bank . It will be
registered in the name of the borrower jointly with the Bank
Guarantee /collateral security:
1. Third party guarantee / collateral security is waived in following cases:
y Permanent Employees of Central Govt. /State Govt. /PSUs/ MNCs/
ListedCompanies at NSE/ BSE whose Shares are actively traded and quoted
above par .
y For other than salaried class borrowers where ex ± showroom cost of the car
is exceeding Rs.6 lakh.
2. However the Guarantee of Parent(s) / Spouse will be taken in case their income
has been considered for determining loan amount
Rate of interest:
BPLR System Base Rate System
Less than 3 yrs 3 yrs & above Less than 3 yrs 3 yrs & above
10.50% 11.00 % BR+2.00% BR+2.00%+TP
y Till 30.06.2010 Car loan was fixed rate loan. From 01.07.2010, new car loan will be
floating i.e. to be changed with change in BR . The old car loans will be mandatorily
migrated to base rate system on the reset date.
y Interest is charged on reducing balance.
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Repayment:
y For New Vehicle: The loan amount together with interest is to be repaid maximum in
84 Equated Monthly Instalments (EMIs).
y For Old Vehicle: The loan amount together with interest is to be repaid maximum in60 Equated Monthly Instalments (EMIs)
Documents required:
y Proforma Invoice of Car to be purchased.
y Proof of residence
y Proof of Income
y Details of guarantor .
Upfront fees and documentation charges:
@ 1% of the loan amount, with a maximum of Rs.6,000/- (exclusive of service tax &
education cess)
Disbursement:
The intending borrower will be required to settle the transaction for purchase of vehicle
needed by him/her with the seller and will be required to deposit the difference of the cost of
the vehicle to amount of loan, and thereafter, the advance will be allowed to him/her from the
bank by paying the entire price of the vehicle to the seller directly on behalf of the borrower .
Loan Amount Calculated:
Invoice Price of the car = Rs 5,00,000
Amount of loan given: 85% of the Invoice Price i.e. Rs. 4,25,000.
Service cost: 1% of the loan amount or Rs. 6000, whichever is less
In this case, it will be Rs. 4,750
Total cost to the customer= Principal Amount + Interest Amount + Service charges
= 4,25,000 + 2,05,202 + 4,750
= Rs.6,34,952
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*number of instalments according to maximum payment time availed by PNB.
Equated monthly instalments are as follows:
Enter Values Loan Summary
Loan
amount 425000.00 Scheduled Payment 7502.41
Annual interest 12.00 %
Scheduled Number of
Payments 84
Loan period in months 84
Actual Number of
Payments 84
Moratorium in months 0 Total Early Payments 0.00
Date of
loan
1-Mar-
2011
Total
Interest 205202.56
Optional extra payments
Lender
Name: Punjab National Bank
PmtNo.
Payment
Date
Beginning
Balance
Scheduled
Payment
Extra
Payment
Total
Payment Principal Interest
Ending
Balance
1 01-Apr-14 425000.00 7502.41 0.00 7502.41 3252.41 4250.00 421747.5
2 01-May-14 421747.59 7502.41 0.00 7502.41 3284.94 4217.48 418462.6
3 01-Jun-14 418462.65 7502.41 0.00 7502.41 3317.78 4184.63 415144.8
4 01-Jul-14 415144.87 7502.41 0.00 7502.41 3350.96 4151.45 411793.9
5 01-Aug-14 411793.91 7502.41 0.00 7502.41 3384.47 4117.94 408409.4
6 01-Sep-14 408409.43 7502.41 0.00 7502.41 3418.32 4084.09 404991.1
7 01-Oct-14 404991.12 7502.41 0.00 7502.41 3452.50 4049.91 401538.6
8 01-Nov-14 401538.62 7502.41 0.00 7502.41 3487.03 4015.39 398051.5
9 01-Dec-14 398051.59 7502.41 0.00 7502.41 3521.90 3980.52 394529.6
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10 01-Jan-15 394529.69 7502.41 0.00 7502.41 3557.11 3945.30 390972.5
11 01-Feb-15 390972.58 7502.41 0.00 7502.41 3592.69 3909.73 387379.8
12 01-Mar-15 387379.89 7502.41 0.00 7502.41 3628.61 3873.80 383751.2
13 01-Apr-15 383751.28 7502.41 0.00 7502.41 3664.90 3837.51 380086.3
14 01-May-15 380086.38 7502.41 0.00 7502.41 3701.55 3800.86 376384.8
15 01-Jun-15 376384.84 7502.41 0.00 7502.41 3738.56 3763.85 372646.2
16 01-Jul-15 372646.27 7502.41 0.00 7502.41 3775.95 3726.46 368870.3
17 01-Aug-15 368870.32 7502.41 0.00 7502.41 3813.71 3688.70 365056.6
18 01-Sep-15 365056.62 7502.41 0.00 7502.41 3851.85 3650.57 361204.7
19 01-Oct-15 361204.77 7502.41 0.00 7502.41 3890.36 3612.05 357314.4
20 01-Nov-15 357314.41 7502.41 0.00 7502.41 3929.27 3573.14 353385.1
21 01-Dec-15 353385.14 7502.41 0.00 7502.41 3968.56 3533.85 349416.5
22 01-Jan-16 349416.58 7502.41 0.00 7502.41 4008.25 3494.17 345408.3
23 01-Feb-16 345408.33 7502.41 0.00 7502.41 4048.33 3454.08 341360.0
24 01-Mar-16 341360.01 7502.41 0.00 7502.41 4088.81 3413.60 337271.1
25 01-Apr-16 337271.19 7502.41 0.00 7502.41 4129.70 3372.71 333141.4
26 01-May-16 333141.49 7502.41 0.00 7502.41 4171.00 3331.41 328970.5
27 01-Jun-16 328970.50 7502.41 0.00 7502.41 4212.71 3289.70 324757.7
28 01-Jul-16 324757.79 7502.41 0.00 7502.41 4254.83 3247.58 320502.9
29 01-Aug-16 320502.96 7502.41 0.00 7502.41 4297.38 3205.03 316205.5
30 01-Sep-16 316205.58 7502.41 0.00 7502.41 4340.36 3162.06 311865.2
31 01-Oct-16 311865.22 7502.41 0.00 7502.41 4383.76 3118.65 307481.4
32 01-Nov-16 307481.46 7502.41 0.00 7502.41 4427.60 3074.81 303053.8
33 01-Dec-16 303053.86 7502.41 0.00 7502.41 4471.87 3030.54 298581.9
34 01-Jan-17 298581.99 7502.41 0.00 7502.41 4516.59 2985.82 294065.4
35 01-Feb-17 294065.40 7502.41 0.00 7502.41 4561.76 2940.65 289503.6
36 01-Mar-17 289503.64 7502.41 0.00 7502.41 4607.38 2895.04 284896.2
37 01-Apr-17 284896.27 7502.41 0.00 7502.41 4653.45 2848.96 280242.8
38 01-May-17 280242.82 7502.41 0.00 7502.41 4699.98 2802.43 275542.8
39 01-Jun-17 275542.84 7502.41 0.00 7502.41 4746.98 2755.43 270795.8
40 01-Jul-17 270795.85 7502.41 0.00 7502.41 4794.45 2707.96 266001.4
41 01-Aug-17 266001.40 7502.41 0.00 7502.41 4842.40 2660.01 261159.0
42 01-Sep-17 261159.00 7502.41 0.00 7502.41 4890.82 2611.59 256268.1
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43 01-Oct-17 256268.18 7502.41 0.00 7502.41 4939.73 2562.68 251328.4
44 01-Nov-17 251328.45 7502.41 0.00 7502.41 4989.13 2513.28 246339.3
45 01-Dec-17 246339.32 7502.41 0.00 7502.41 5039.02 2463.39 241300.3
46 01-Jan-18 241300.31 7502.41 0.00 7502.41 5089.41 2413.00 236210.9
47 01-Feb-18 236210.90 7502.41 0.00 7502.41 5140.30 2362.11 231070.6
48 01-Mar-18 231070.60 7502.41 0.00 7502.41 5191.71 2310.71 225878.8
49 01-Apr-18 225878.89 7502.41 0.00 7502.41 5243.62 2258.79 220635.2
50 01-May-18 220635.27 7502.41 0.00 7502.41 5296.06 2206.35 215339.2
51 01-Jun-18 215339.21 7502.41 0.00 7502.41 5349.02 2153.39 209990.1
52 01-Jul-18 209990.19 7502.41 0.00 7502.41 5402.51 2099.90 204587.6
53 01-Aug-18 204587.68 7502.41 0.00 7502.41 5456.53 2045.88 199131.1
54 01-Sep-18 199131.15 7502.41 0.00 7502.41 5511.10 1991.31 193620.0
55 01-Oct-18 193620.05 7502.41 0.00 7502.41 5566.21 1936.20 188053.8
56 01-Nov-18 188053.83 7502.41 0.00 7502.41 5621.87 1880.54 182431.9
57 01-Dec-18 182431.96 7502.41 0.00 7502.41 5678.09 1824.32 176753.8
58 01-Jan-19 176753.87 7502.41 0.00 7502.41 5734.87 1767.54 171019.0
59 01-Feb-19 171019.00 7502.41 0.00 7502.41 5792.22 1710.19 165226.7
60 01-Mar-19 165226.78 7502.41 0.00 7502.41 5850.14 1652.27 159376.6
61 01-Apr-19 159376.63 7502.41 0.00 7502.41 5908.65 1593.77 153467.9
62 01-May-19 153467.99 7502.41 0.00 7502.41 5967.73 1534.68 147500.2
63 01-Jun-19 147500.25 7502.41 0.00 7502.41 6027.41 1475.00 141472.8
64 01-Jul-19 141472.85 7502.41 0.00 7502.41 6087.68 1414.73 135385.1
65 01-Aug-19 135385.16 7502.41 0.00 7502.41 6148.56 1353.85 129236.6
66 01-Sep-19 129236.60 7502.41 0.00 7502.41 6210.05 1292.37 123026.5
67 01-Oct-19 123026.56 7502.41 0.00 7502.41 6272.15 1230.27 116754.4
68 01-Nov-19 116754.41 7502.41 0.00 7502.41 6334.87 1167.54 110419.5
69 01-Dec-19 110419.54 7502.41 0.00 7502.41 6398.22 1104.20 104021.3
70 01-Jan-20 104021.33 7502.41 0.00 7502.41 6462.20 1040.21 97559.1
71 01-Feb-20 97559.13 7502.41 0.00 7502.41 6526.82 975.59 91032.3
72 01-Mar-20 91032.31 7502.41 0.00 7502.41 6592.09 910.32 84440.2
73 01-Apr-20 84440.22 7502.41 0.00 7502.41 6658.01 844.40 77782.2
74 01-May-20 77782.21 7502.41 0.00 7502.41 6724.59 777.82 71057.6
75 01-Jun-20 71057.62 7502.41 0.00 7502.41 6791.84 710.58 64265.7
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76 01-Jul-20 64265.79 7502.41 0.00 7502.41 6859.75 642.66 57406.0
77 01-Aug-20 57406.03 7502.41 0.00 7502.41 6928.35 574.06 50477.6
78 01-Sep-20 50477.68 7502.41 0.00 7502.41 6997.63 504.78 43480.0
79 01-Oct-20 43480.05 7502.41 0.00 7502.41 7067.61 434.80 36412.4
80 01-Nov-20 36412.44 7502.41 0.00 7502.41 7138.29 364.12 29274.1
81 01-Dec-20 29274.15 7502.41 0.00 7502.41 7209.67 292.74 22064.4
82 01-Jan-21 22064.48 7502.41 0.00 7502.41 7281.77 220.64 14782.7
83 01-Feb-21 14782.71 7502.41 0.00 7502.41 7354.58 147.83 7428.1
84 01-Mar-21 7428.13 7502.41 0.00 7428.13 7353.85 74.28 0.0
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UCO BANK:
UCO BANK is in the Service of Community since 1943. It has nearly 2000 Service Units
spread all over India. It also operate in two Major International Financial Centres namely
Hong kong and Singapore. It has Correspondents/Agency arrangements all over the world. It
also undertakes Foreign Exchange Business in more than 50 Centres in India.
Headquartered in Kolkata, the Bank has 35 Regional Offices spread all over India. Branches
located in a geographical area report to the Regional Office having jurisdiction over that area.
These Regional Offices are headed by Senior Executives ranging up to the rank of General
Manager, depending on size of business and importance of location. The Regional Offices
report to General Managers functioning at Head Office in Kolkata.
CAR LOAN:
For purchase of a new car as well as second hand vehicle not older than 5 years and economic
life of a vehicle should be taken as 8 (eight) years from the date of manufacture of the
vehicle.
Eligibility
Salaried Persons
The applicant must be a permanent employee having completed 2 years of service and
remaining period of service of more than 5 years. The minimum monthly take-home pay
must be Rs. 7,500/- + EMI.
Professional & Businessmen
Minimum income should be Rs. 1.20 Lac per annum as per Income Tax Return/Assessment.
LIC Policy equal to the amount of loan should be assigned in favour of the Bank .
Quantum of loan
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The amount of loan would be 85% of the cost of vehicle or Rs. 7.50 lacs whichever is lower
in case of purchase of new car . For purchase of old car, the maximum quantum would be
60% ( if age of car is more than 4 years old ) and 70% ( if the age of car is upto 4 years old)
of the cost of the vehicle or Rs.3.50 lacs maximum. For second hand vehicle "certificate of
fitness" and valuation certificate is required.
1% service charge is applicable subject to a ceiling of Rs.1000/- only.
Repayment
The loan amount together with interest will have to be repaid within a maximum of 60
months. In case where at source deduction is not possible, repayment should be made by post
dated cheques in 60 instalments. In case of second hand/Pre-used vehicle the loan with
interest should be repaid within the residual economic life of the vehicle but not exceeding 36
instalments.
0.5% charge is levied on pre-paid amount if loan limit is above Rs . 2 Lac.
Rate of interest:
BPLR- 9.50%
CAR CATEGORY BPLR spread Effective rate
a) New Car 3.00% 12.50%
b) Used Car 4.00% 13.50%
Calculation of cost of car loan for the customer:
Invoice Price of the car = Rs 5,00,000
Amount of loan given: 85% of the Invoice Price or 7.50 lacs, whichever is lower .
In this case it will be 85% of the Invoice Price: 85% of Rs. 5,00,000 i.e. Rs. 4,25,000.
Service cost: 1% of the loan amount or Rs. 1000, whichever is less
In this case, it will be Rs. 1000.
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9 01-Dec-14 367998.80 11296.50 0.00 11296.50 7463.18 3833.32 360535.6
10 01-Jan-15 360535.62 11296.50 0.00 11296.50 7540.92 3755.58 352994.7
11 01-Feb-15 352994.70 11296.50 0.00 11296.50 7619.47 3677.03 345375.2
12 01-Mar-15 345375.23 11296.50 0.00 11296.50 7698.84 3597.66 337676.3
13 01-Apr-15 337676.39 11296.50 0.00 11296.50 7779.04 3517.46 329897.3
14 01-May-15 329897.35 11296.50 0.00 11296.50 7860.07 3436.43 322037.2
15 01-Jun-15 322037.28 11296.50 0.00 11296.50 7941.94 3354.56 314095.3
16 01-Jul-15 314095.34 11296.50 0.00 11296.50 8024.67 3271.83 306070.6
17 01-Aug-15 306070.67 11296.50 0.00 11296.50 8108.26 3188.24 297962.4
18 01-Sep-15 297962.40 11296.50 0.00 11296.50 8192.72 3103.78 289769.6
19 01-Oct-15 289769.68 11296.50 0.00 11296.50 8278.07 3018.43 281491.6
20 01-Nov-15 281491.61 11296.50 0.00 11296.50 8364.30 2932.20 273127.3
21 01-Dec-15 273127.32 11296.50 0.00 11296.50 8451.42 2845.08 264675.9
22 01-Jan-16 264675.90 11296.50 0.00 11296.50 8539.46 2757.04 256136.4
23 01-Feb-16 256136.44 11296.50 0.00 11296.50 8628.41 2668.09 247508.0
24 01-Mar-16 247508.02 11296.50 0.00 11296.50 8718.29 2578.21 238789.7
25 01-Apr-16 238789.73 11296.50 0.00 11296.50 8809.11 2487.39 229980.6
26 01-May-16 229980.63 11296.50 0.00 11296.50 8900.87 2395.63 221079.7
27 01-Jun-16 221079.76 11296.50 0.00 11296.50 8993.59 2302.91 212086.1
28 01-Jul-16 212086.17 11296.50 0.00 11296.50 9087.27 2209.23 202998.9
29 01-Aug-16 202998.91 11296.50 0.00 11296.50 9181.93 2114.57 193816.9
30 01-Sep-16 193816.98 11296.50 0.00 11296.50 9277.57 2018.93 184539.4
31 01-Oct-16 184539.40 11296.50 0.00 11296.50 9374.21 1922.29 175165.1
32 01-Nov-16 175165.19 11296.50 0.00 11296.50 9471.86 1824.64 165693.3
33 01-Dec-16 165693.33 11296.50 0.00 11296.50 9570.53 1725.97 156122.8
34 01-Jan-17 156122.80 11296.50 0.00 11296.50 9670.22 1626.28 146452.5
35 01-Feb-17 146452.58 11296.50 0.00 11296.50 9770.95 1525.55 136681.6
36 01-Mar-17 136681.63 11296.50 0.00 11296.50 9872.73 1423.77 126808.9
37 01-Apr-17 126808.90 11296.50 0.00 11296.50 9975.57 1320.93 116833.3
38 01-May-17 116833.32 11296.50 0.00 11296.50 10079.49 1217.01 106753.8
39 01-Jun-17 106753.84 11296.50 0.00 11296.50 10184.48 1112.02 96569.3
40 01-Jul-17 96569.36 11296.50 0.00 11296.50 10290.57 1005.93 86278.7
41 01-Aug-17 86278.79 11296.50 0.00 11296.50 10397.76 898.74 75881.0
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42 01-Sep-17 75881.03 11296.50 0.00 11296.50 10506.07 790.43 65374.9
43 01-Oct-17 65374.95 11296.50 0.00 11296.50 10615.51 680.99 54759.4
44 01-Nov-17 54759.44 11296.50 0.00 11296.50 10726.09 570.41 44033.3
45 01-Dec-17 44033.35 11296.50 0.00 11296.50 10837.82 458.68 33195.5
46 01-Jan-18 33195.54 11296.50 0.00 11296.50 10950.71 345.79 22244.8
47 01-Feb-18 22244.82 11296.50 0.00 11296.50 11064.78 231.72 11180.0
48 01-Mar-18 11180.04 11296.50 0.00 11180.04 11063.58 116.46 0.0
ICICI Bank
ICICI Bank ( Industrial Credit and Investment Corporation of India ) is a major
banking and financial services organization in India. It is the second largest bank in India and
the largest private sector bank in India by market capitalization. The bank also has a network
of 2,529 branches (as on 31 March 2010) as well as some 24 million customers (at the end of
July 2007). ICICI Bank offers a wide range of banking products and financial services to
corporate and retail customers through a variety of delivery channels and specialization
subsidiaries and affiliates in the areas of investment banking, life and non-life insurance,
venture capital and asset management.
It provides a large variety of loans to the customers which include home loans, loans against
property, personal loans, car ,two wheeler and commercial vehicle loans, loans against gold
ornaments etc.
CAR LOANS
Eligibility Criteria:
With ICICI Bank Car Loans, you can avail of car loans as per your needs .
Particulars Salaried IndividualSelf-Employed
Individual
Partnership
Firm
Private / Public
Ltd Co
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Age
Criteria*
The applicant should
be above 25 years old
at the time of
application, and upto
58 years of age at the
time of maturity of the loan.
Any proprietor,
partner, professional
or director above 28
years but below 65
years at the time of
the loan maturity.
-
Limited
companies
should have
been in
existence for at
least 3 years.
Income
Criteria*
Gross annual income
of at least Rs. 2.50
lakhs.
Gross annual
income of at least
Rs. 2.00 lakhs.
Firm should
have a
minimum PAT
(profit after tax)
of Rs. 2.00
lakhs.
Minimum PAT
(profit after
tax) of Rs. 2.00
lakhs.
Stability The total employment
stability should be
more than 2 years and
current employment
stability of minimum
1 year .
Business stability
should be more than
3 years.
Business
stability should
be more than 3
years.
Business
stability should
be more than 3
years.
Loan Amount:
The minimum loan amount for taking a new car loan is Rs . 1,00,000. The maximum loanamount will depend upon the price of the car, model variant, profile of the customer, etc.
New car
y It finances up to 90% of the ex-showroom price of the car .
y The Loan amount also depends on the car model. Higher loan amounts are available
under specific enhanced income eligibility criteria.
Collateral security
Borrower undertakes to get hypothecation to the bank, marked in the Registration book of the
vehicle immediately after purchase of vehicle
Service Charges
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Car loan interest charges differ according to the car model, the tenure of the loan, the
customer and his location.
Description of
Charges Car Loans
Loan Processing Fees
New Car
Gross
Loan
Amt
Processing
Fee Amt
Documentation
Charges
<2.5 L Rs.2500/- Rs.350/-
2.5 L
to 5 LRs.3100/- Rs.350/-
5 L to
10 LRs.4000/- Rs.350/-
>10 L Rs.5000/- Rs.350/-
Stamp Duty Actuals
Prepayment Charges
Lower of the two amount given below.
1. 5% of principal outstanding or
2. Interest outstanding for unexpired period of the
loan.
Charges for late
payment (loans)2% per month on the outstanding instalment
Cheque Swap Charges Rs. 500/- per transaction
Cheque return charges^ Rs. 400/- per return
Amortisation Schedule
ChargesRs. 200/- per schedule
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Statement of Account
ChargesRs. 200/- per statement
Prepayment Statement
ChargesRs. 100/- per statement
Duplicate NOC
ChargesRs. 500/- per NOC
NOC for conversion
from Petrol to
LPG/CNG
Rs. 500/- per NOC
Revalidation of NOC
ChargesRs. 500/- per NOC
NOC to convert from
Private to Commercial
Registration
Rs. 2000/- per NOC
NOC to convert from
Commercial to Private
Registration
Rs. 2000/- per NOC
y Service Tax and other govt. taxes, levies, etc. applicable as per prevailing rate may be
charged over and above these charges at the discretion of ICICI Bank .
y The charges or fees given in above table are subject to change and the one recorded in
agreement will be binding over this site.
y Effective for loans availed from August 10th, 2009. For loans availed prior to the said
date, the cheque return charge is Rs 200.
Documentation:
Documents supporting customer information :
y Identity Proof
y Signature Proof
y Address Proofs as per ICICI Bank norms
y Income Proof
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Income proof:
y Salaried individuals: Latest Salary Slip and 2 years Form 16/ Income tax returns.
y Self-Employed individuals: Income Tax Returns of 2 previous financial years.
y Partnership Firms, Societies & Companies: Income Tax returns of 2 previous financial years
along with complete financial/audit report.
Other Documents:
Partnership Firms: Partnership deed and Letter signed by all partners authorising one partner to execute
the required Car Loans documentation.
Societies and Companies: Resolution by Board of Directors (or such managing body) & Memorandum &
Articles of Association (or Society/Trust deed).
Repayment:
y Repayment tenure ranges from 1 year to 5 years for new car loans.
y You may change the tenure of the loan before the loan is disbursed. The interest rate & EMI would
change accordingly.
y The repayment due dates for the loan are 1st
and 15th
of every month and would depend on the date
of disbursement. Payment due dates cannot be changed.
y You can make the Payments through post-dated cheques (PDCs)
y Repayment option through Direct Debit Mandates is also available for all ICICI Bank account
holders.
y Option of repaying through ECS is also available in select cities.
y Payments through cash or credit cards are not accepted.
y You may change the PDC's in case your Bank Account is changed . However, we would require
verification of signatures by new banker . A nominal fee of Rs.500/- (Swap Charges) would be
charged for exchange of cheques.
y A full pre-payment of the loan is accepted. Part pre-payment is not allowed.
Calculation of cost of car loan for the customer:
Invoice Price of the car = Rs 5,00,000
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Amount of loan given: 90% of the Invoice Price i.e Rs 4,35000
Service cost: depends upon the amount of loan taken. Here it is Rs. 3450
Total cost to the customer= Principal Amount + Interest Amount + Service charges
=227422.8 + 449916.86 + 3100 +350
=680789.46
Equated monthly Instalments can be calculated as follows:
Enter Values Loan Summary
Loan
amount 450000.00 Scheduled Payment 8064.56
Annual interest 12.50 %
Scheduled Number of
Payments 84
Loan period in months 84
Actual Number of
Payments 84
Moratorium in months 0 Total Early Payments 0.00
Date of loan 9-Apr-2011
TotalInterest 227422.81
Optional extra payments
Lender
Name: ICICI Bank
PmtNo.
Payment
Date
Beginning
Balance
Scheduled
Payment
Total
Payment Principal Interest Ending Balance
1 09-May-11 450000.00 8064.56 8064.56 3377.06 4687.50 446622.94
2 09-Jun-11 446622.94 8064.56 8064.56 3412.23 4652.32 443210.71
3 09-Jul-11 443210.71 8064.56 8064.56 3447.78 4616.78 439762.934 09-Aug-11 439762.93 8064.56 8064.56 3483.69 4580.86 436279.24
5 09-Sep-11 436279.24 8064.56 8064.56 3519.98 4544.58 432759.25
6 09-Oct-11 432759.25 8064.56 8064.56 3556.65 4507.91 429202.60
7 09-Nov-11 429202.60 8064.56 8064.56 3593.70 4470.86 425608.91
8 09-Dec-11 425608.91 8064.56 8064.56 3631.13 4433.43 421977.78
9 09-Jan-12 421977.78 8064.56 8064.56 3668.96 4395.60 418308.82
10 09-Feb-12 418308.82 8064.56 8064.56 3707.17 4357.38 414601.65
11 09-Mar-12 414601.65 8064.56 8064.56 3745.79 4318.77 410855.86
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12 09-Apr-12 410855.86 8064.56 8064.56 3784.81 4279.75 407071.05 13 09-May-12 407071.05 8064.56 8064.56 3824.23 4240.32 403246.81
14 09-Jun-12 403246.81 8064.56 8064.56 3864.07 4200.49 399382.75 15 09-Jul-12 399382.75 8064.56 8064.56 3904.32 4160.24 395478.42
16 09-Aug-12 395478.42 8064.56 8064.56 3944.99 4119.57 391533.43
17 09-Sep-12 391533.43 8064.56 8064.56 3986.08 4078.47 387547.35
18 09-Oct-12 387547.35 8064.56 8064.56 4027.61 4036.95 383519.7419 09-Nov-12 383519.74 8064.56 8064.56 4069.56 3995.00 379450.18
20 09-Dec-12 379450.18 8064.56 8064.56 4111.95 3952.61 375338.23
21 09-Jan-13 375338.23 8064.56 8064.56 4154.78 3909.77 371183.45
22 09-Feb-13 371183.45 8064.56 8064.56 4198.06 3866.49 366985.39
23 09-Mar-13 366985.39 8064.56 8064.56 4241.79 3822.76 362743.59
24 09-Apr-13 362743.59 8064.56 8064.56 4285.98 3778.58 358457.62
25 09-May-13 358457.62 8064.56 8064.56 4330.62 3733.93 354126.99
26 09-Jun-13 354126.99 8064.56 8064.56 4375.73 3688.82 349751.26
27 09-Jul-13 349751.26 8064.56 8064.56 4421.32 3643.24 345329.94
28 09-Aug-13 345329.94 8064.56 8064.56 4467.37 3597.19 340862.5729 09-Sep-13 340862.57 8064.56 8064.56 4513.91 3550.65 336348.67
30 09-Oct-13 336348.67 8064.56 8064.56 4560.93 3503.63 331787.7431 09-Nov-13 331787.74 8064.56 8064.56 4608.43 3456.12 327179.31
32 09-Dec-13 327179.31 8064.56 8064.56 4656.44 3408.12 322522.8733 09-Jan-14 322522.87 8064.56 8064.56 4704.94 3359.61 317817.92
34 09-Feb-14 317817.92 8064.56 8064.56 4753.95 3310.60 313063.9735 09-Mar-14 313063.97 8064.56 8064.56 4803.47 3261.08 308260.49
36 09-Apr-14 308260.49 8064.56 8064.56 4853.51 3211.05 303406.98
37 09-May-14 303406.98 8064.56 8064.56 4904.07 3160.49 298502.92
38 09-Jun-14 298502.92 8064.56 8064.56 4955.15 3109.41 293547.76
39 09-Jul-14 293547.76 8064.56 8064.56 5006.77 3057.79 288541.00
40 09-Aug-14 288541.00 8064.56 8064.56 5058.92 3005.64 283482.07
41 09-Sep-14 283482.07 8064.56 8064.56 5111.62 2952.94 278370.45
42 09-Oct-14 278370.45 8064.56 8064.56 5164.87 2899.69 273205.59
43 09-Nov-14 273205.59 8064.56 8064.56 5218.67 2845.89 267986.92
44 09-Dec-14 267986.92 8064.56 8064.56 5273.03 2791.53 262713.90
45 09-Jan-15 262713.90 8064.56 8064.56 5327.95 2736.60 257385.94
46 09-Feb-15 257385.94 8064.56 8064.56 5383.45 2681.10 252002.49
47 09-Mar-15 252002.49 8064.56 8064.56 5439.53 2625.03 246562.96
48 09-Apr-15 246562.96 8064.56 8064.56 5496.19 2568.36 241066.7649 09-May-15 241066.76 8064.56 8064.56 5553.45 2511.11 235513.32
50 09-Jun-15 235513.32 8064.56 8064.56 5611.29 2453.26 229902.03
51 09-Jul-15 229902.03 8064.56 8064.56 5669.74 2394.81 224232.28
52 09-Aug-15 224232.28 8064.56 8064.56 5728.80 2335.75 218503.48
53 09-Sep-1
5218
503
.48 8064
.56 8064
.56
5788
.48 2276
.08 21271
5.00
54 09-Oct-15 212715.00 8064.56 8064.56 5848.78 2215.78 206866.22
55 09-Nov-15 206866.22 8064.56 8064.56 5909.70 2154.86 200956.52
56 09-Dec-15 200956.52 8064.56 8064.56 5971.26 2093.30 194985.26
57 09-Jan-16 194985.26 8064.56 8064.56 6033.46 2031.10 188951.80
58 09-Feb-16 188951.80 8064.56 8064.56 6096.31 1968.25 182855.49
59 09-Mar-16 182855.49 8064.56 8064.56 6159.81 1904.74 176695.68
60 09-Apr-16 176695.68 8064.56 8064.56 6223.98 1840.58 170471.70
61 09-May-16 170471.70 8064.56 8064.56 6288.81 1775.75 164182.89
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CONCLUSION:
To compare the cost of car loan we have calculated total payment to be made by the customer
to purchase a car with a invoice price of Rs 5 lakhs from the following Banks:
y State Bank of India- Nationalised Bank, also a Public Sector Bank
y Punjab National Bank- Public Sector Bank
y UCO Bank- Public Sector Bank
y ICICI- Private Sector Bank
BANK LTV
RATIO
INTEREST
RATE(%)
PROCESSING
FEE(Rs)
TOTAL INTEREST
& PRINCIPAL (Rs)
TOTAL
COST(Rs)
State bank of
India
85% 1st
year- 9.25
2nd and 3rd yr-
10.25
4th
to 7th
yr-
11.25%
2125 614954.22 614954.22
Punjab
National
bank
85% 12% 4150 634952 634952
UCO Bank 85% 12.5% 1000 543232 543232
ICICI Bank 90% 12.5% 3450 60789.46 680789.46
From the table we can see that the total cost to customer is minimum for UCO bank . But the
reason for this can be that the UCO Bank provides loan for the maximum period of 4 years.
Thus the amount of interest paid is less. So we can conclude that the total cost is minimum
for The State Bank of India.
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BIBLIOGRAPHY:
y http://www.icicibank .com
y www. pnbindia.com
y www.ucobank .com
y www.statebankofindia .com
Details about interest rates were determined by talking to the executives of different banks
and referring to the sites mentioned above.