Should You Buy A Car If You’re Living In Mumbai?

By BankBazaar | December 13, 2017

Mumbai may be the most expensive city in India, but you can always bank on its excellent public transport system. So, do you really need a car if you live there? Find out!

Should You Buy A Car If You're Living In Mumbai?

Every year the cost of living survey is carried out by multiple agencies and every year Mumbai seems to be among the most expensive cities in India. According to the Mercer Annual Cost of Living survey done this year, Mumbai ranks 57th among the most expensive cities in the world with New Delhi a distant 99th.

In fact, Mumbai ranked 82nd in 2016, so it’s clear to see that the standard of living has certainly increased manifold in Mumbai over the past year. Apparently, inflation in Mumbai is much higher than that of other cities.

So, buying an asset such as a home is definitely an expensive affair and even more so if you get yourself a Home Loan. However, you can always bank on the city’s excellent public transport system. So, the question is, do you really need a car if you live in Mumbai? Well, it depends on many factors. Let’s find out!

Good network

Unlike other cities, Mumbai has the best public transport services. Whether it’s the bus service, Brihanmumbai Electric Supply and Transport (BEST), the metro or the railways, they all offer great connectivity within the city at affordable rates.

In fact, the Indian government has come up with battery operated buses to reduce air and noise pollution. Also, the Navi Mumbai Municipal Transport (NMMT) services will be launching an all-in-one prepaid smart card for passengers. Using this card, you can book tickets for any of the public transport services in Mumbai.

This is a multipurpose card which seeks to eliminate the hassles of carrying multiple Credit Cards and Debit Cards. This card can even be used for withdrawing cash and shopping at retail outlets.

Additional Reading: Document Checklist For A Car Loan

Still, think you need a ride of your own? Then consider this.

The traffic jams in Mumbai are nothing short of epic. And we don’t mean in a good way since most roads at present are being dug up for Metro construction or sewerage work. The length of the roads in Mumbai has always been the same at 2,000 kilometers despite an increase in the number of vehicles on the roads.

According to news reports, the total number of new vehicles hitting the roads in Mumbai every day has gone up to an alarming 700 from 460 a few years ago. More than 2.5 lakh vehicles, including cars and two-wheelers, have been registered this year. Unfortunately, it looks like those traffic jams are here to stay.

However, we understand that a car might be needed for emergencies or for long road trips that would otherwise cost a ton if you use a rental cab. You might also need a car when you have too many people in the family that need transport.

Everyone taking a cab every single day might turn out to be expensive. So, go in for a car if you think you really need one. It doesn’t matter if you are in Mumbai or Bathinda.

Additional Reading: Car Loan Application 101

Offers for you

Since living in Mumbai is expensive, you should look at Car Loan offers that are not very expensive. For this, you will have to consider the interest rate, processing fees, loan tenure and other such factors. Here’s a list of Car Loans that you could consider.

Get a floating rate Car Loan at just 8.90%. There’s no processing fee and you can get a loan of up to Rs. 1 crore. The tenure? You can choose a loan period of up to 7 years. There are no pre-closure charges either. What’s more? You can choose the paperless approval process if you go in for this loan with BankBazaar. By the way, this bank offers Car Loans at 8.80% for women.

You can get a loan from this bank at 8.70%. The processing fee is just 0.5% of the loan amount or Rs. 15,000, whichever is lower. Unlike other loans, the maximum age of the customer can be 70 years. Union Bank of India offers Car Loans up to Rs. 1.25 crores. The maximum tenure is 7 years and there are no pre-closure charges for this loan.

The interest rate offered by this bank is 8.70%. There are no processing charges and the maximum loan amount is capped at Rs. 75 lakhs. The maximum tenure offered is 7 years, but the best part is that the minimum annual income of the applicant needs to be just Rs. 2.4 lakhs.

Canara Bank offers extremely low-interest rates at 8.60%. The processing fee is just Rs. 1,000 to Rs. 5,000, while the maximum tenure is 7 years. However, a guarantor might be needed for this loan.

The minimum loan amount is Rs. 1 lakh and there is no maximum limit. The minimum processing fee is Rs. 575 and the maximum is 0.5% of the loan amount. The tenure can be 1 to 7 years. The best part? If you are a woman customer, you can get the loan for just 9.3%. For others, the interest rate is 9.55%.

Want more options? Go on and explore these amazing Car Loan options that we have on offer and choose the one that suits you best.

All information including news articles and blogs published on this website are strictly for general information purpose only. BankBazaar does not provide any warranty about the authenticity and accuracy of such information. BankBazaar will not be held responsible for any loss and/or damage that arises or is incurred by use of such information. Rates and offers as may be applicable at the time of applying for a product may vary from that mentioned above. Please visit www.bankbazaar.com for the latest rates/offers.
Category: Car Loans Mumbai

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