Home   >>    Investment   >>    Home

More people buying vehicles in cash

Paying in cash is the new mantra for an increasing number of car, two-wheeler and commercial vehicle buyers.

14 Aug 2008

Paying in cash is the new mantra for an increasing number of car, two-wheeler and commercial vehicle buyers.

As reported by Business Standard, cash sales of cars and commercial vehicles of ICICI Bank and HDFC Bank have doubled to 30 per cent of the total sales compared to that of last year. In the case of two-wheeler buyers, more than 30 per cent are paying in cash.

Automobile loans are offered at a fixed interest rate and the lending rates have shot up by over 300 basis points in two years. The borrowers are also opting for an increase in the tenure of their loans from 4 years to 5 years to beat the impact of inflation.

HDFC Bank has reduced the dealer commissions on cars from 5 per cent to 2-3 per cent, to pass on the benefit to customers. ICICI Bank is set to introduce a floating rate for auto loans from next week.



44.58 Lakh satisfied customers till Dec 2016
Get Loan Offers
Instant Home Loan Offers Instant Car Loan Offers Instant Personal Loan Offers
     
Instant Loan against Property Offers Instant Education Loan Offers Instant Credit Card Offers
Get Insurance Proposals
Instant Life Insurance Offers Instant Health Insurance Offers Instant Car Insurance Offers