Buying a Car ? Loan or full payment | Kirtan Shah CFP

If you have 15,00,000 today & you want to buy a 15,00,000 car, should you use the 15,00,000 you have or take a loan? Let me explain If you take a 15,00,000 loan for 5 years at 9%, your EMI is 31,137. Which means in 5 years you will end up paying the bank 18.68L i.e. - 3.68 lakhs of interest But at the same time when you invest the 15,00,000 you have even at 8% in an FD or similar product, 15L will become 22.03 lakhs which is a 7.03 L of profit So 7.03 L of profit - 3.68 paid as interest you benefit 3.35L Always take a loan when you can pay the EMI’s, that’s the best way #carloan #carloans #cars #emi #loan #FPA #FPAEdutech #CFP