Summary of this article
Historically, the Dasara-Diwali festive season sees very high vehicle sales in India. To sweeten the deal even further, most brands launch some of their biggest discounts and offers during this period. So this is a good time to get some of the best auto deals. Lenders, too, offer special schemes and discounts on processing fees during this time. “While there may be a reduction in interest rates, that would typically be around five to 10 basis points, and for a limited time only. The biggest offers would be around discounts and waivers on processing fees and special schemes with longer tenors,” says Adhil Shetty, CEO, BankBazaar.com.
Most car loans still tend to be fixed-rate loans. This means there may be prepayment penalties attached. So if you are looking to prepay your loan, make sure you go with a scheme that allows you. If you are taking a floating rate loan, it would prove beneficial in the near term as rates are set to go down further. However, if you are planning on a five-year or eight-year loan, this could prove costly when the cycle turns.
Unpacking Loan Offers And Hidden Costs
Watch out for processing fees after the festive window, as some waivers are only time-bound. Be cautious of introductory interest rates that may reset higher after a fixed period. Check eligibility clauses, since the lowest advertised rates are usually for borrowers with strong credit scores. Review prepayment or foreclosure charges, which could offset the benefit if you plan to close the loan early. “Look out for insurance add-ons or bundled products that increase the effective cost. Always compare the total cost of borrowing—not just the headline rate—to ensure you truly benefit from festive offers,” says Raoul Kapoor, Co CEO, Andromeda Sales and Distribution.
Tips To Maximize Your Navratri Car Purchase
Buying a car this Navratri may turn out to be more than a seasonal pitch. Banks are rolling out lower loan rates, waiving or cutting processing charges, and speeding up approvals through digital channels. On the ground, dealerships are adding their own incentives in the form of cash discounts, exchange deals, and small freebies — offers that together can trim the real cost of ownership. “However, the real benefit depends on comparing offers, checking total loan cost, and ensuring the purchase aligns with personal financial readiness. For prepared buyers, Navratri is one of the most rewarding times of the year to buy a car,” says Kapoor.
“There are big discounts and offers during Navratri. Coupled with the GST cuts, the cost of acquisition has fallen further. This combination does make it rewarding to buy that first vehicle or upgrade your existing one,” says Shetty.
