COMPARATIVE STUDY: BFSI

Read (and Re-Read) the Fine Print

Buying a Car through Bank Loan?

Read (and Re-Read) the Fine Print

Car loans are a dime a dozen. Almost every bank wants you to take your car loan from them, applying their persuasive power through advertising in the various mass media. Low interest rates, flexible repayment terms, low monthly payments, instant approval – they all claim to have a USP. Somewhere a particular bank announces through ‘jingles’ in a TV ad a ‘car loan mela’ for a particular period, especially during the festive season. Another bank may have tieups with car dealers/manufacturers wherein consumers get a cash discount if they avail of a bank loan for financing that particular car make. So, in theory any walk-in consumer in a bank has only to state their requirement and submit proof of income and car invoice. The question is: which bank may you approach, keeping in mind the deal that works best for your budget and expectations? the most important variables based on consumer perception, we identified eight product attributes – including maximum loan, rate of interest and time taken for sanction – assigning a total of 80 points. The rest 20 points were assigned towards consumer feedback.