I want to buy a Ford Figo as a surprise for my parents, for the same how much money would I have to pay as down payment, can I buy the car on my parent’s name and what documents would I require? Also, how do I apply for a loan with EMI for my purchase?
By: Paramjeet on 24 february 2016
Firstly, if you are planning to buy a car on your parents' name, you cannot do that without informing them because the paper work will require their signatures and you will have to make them co-applicants while taking a loan as well. Secondly, for the down payment you would require to talk to your bank through which you are getting the car financed as to what are their offerings. In general you can get a loan up to 90% of the cost of the car (excluding insurance and registration) which makes the remaining 10% as your down payment. Coming to the third part, for the documents for purchasing a car, you require a proof of identity that can be a Pan Card, Passport etc., a proof of address which can be an electricity bill, ration card, rent agreement etc. along with two recent passport size photographs. Finally, for a loan you will require similar documents and you can easily calculate your EMI by talking to your bank or calculating via an EMI calculator before you decide the amount you require as a loan. Autoportal also has an EMI calculator which helps you know the amount that you will have to pay every month on the loan depending on the amount and duration of loan.