group 7 f2

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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

8/6/2019 Group 7 F2


*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

8/6/2019 Group 7 F2


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

8/6/2019 Group 7 F2


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

8/6/2019 Group 7 F2


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

8/6/2019 Group 7 F2


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

8/6/2019 Group 7 F2


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:


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.

8/6/2019 Group 7 F2


8/6/2019 Group 7 F2


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

8/6/2019 Group 7 F2


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

8/6/2019 Group 7 F2


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

8/6/2019 Group 7 F2


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

8/6/2019 Group 7 F2


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

8/6/2019 Group 7 F2


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:


8/6/2019 Group 7 F2


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

8/6/2019 Group 7 F2


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

8/6/2019 Group 7 F2


8/6/2019 Group 7 F2


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.

8/6/2019 Group 7 F2


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.