Maruti Baleno CNG: down payment and monthly EMI explained
A look at how much down payment and EMI buyers can expect on a Maruti Baleno CNG car loan
With petrol prices high and budgets tight, Maruti Suzuki is often the first name that comes to mind when buying a new car. In the premium hatchback segment, the Maruti Baleno remains a favourite among Indian buyers. Whether for the daily office commute or long trips, demand for the CNG version of this car is particularly high among those looking to save on fuel costs.
Buyers who want this car for their family but cannot pay the full amount at once need not worry, as it can be bought home through an easy down payment and monthly EMI.
The down payment is the most important factor when financing a car. The ex-showroom and on-road price of the Maruti Baleno CNG can vary slightly from city to city. But as an example, if a down payment of around Rs 1 lakh to Rs 1.5 lakh is made, banks readily provide a car loan for the remaining amount.
Banks typically finance 80 to 90 percent of the car's on-road price. The larger the down payment, the smaller the loan amount, which in turn reduces the monthly EMI burden going forward.
Once the loan amount is fixed, the next factors are the bank's interest rate and the loan tenure. At present, different banks are offering car loans at annual interest rates of around 8.5 percent to 10 percent, depending on the CIBIL score.
If a repayment period of 5 years, or 60 months, is chosen, the EMI calculation becomes fairly simple. On a car loan of around Rs 7 to 8 lakh over a 5-year tenure, the monthly instalment could work out to between Rs 15,000 and Rs 17,000. This amount fits comfortably within the monthly budget of a middle-class family.
Besides the monthly EMI, the benefits of using a CNG car are also worth considering. Because of its high mileage, the Baleno CNG proves quite economical for daily commuters and those who travel long distances, though this benefit is realised only with heavy usage of the car. In a time of rising petrol prices, CNG cars help buyers save a good amount of money over the long run.
Before taking a loan, buyers should compare interest rates and processing fees across different banks to get the cheapest and best deal. With the right financial planning and a lower down payment, the Maruti Baleno CNG can be brought home without much stress.
