Cheap Ways to buy your dream car
Buy your Dream Car
Easy investments and quick, cheap ways to buy your dream car
Growing your money through investments isn’t some super complicated, confusing venture. Well, it can be, if you’re a direct fund manager for a mutual fund or something like that, but chances are that you’re between 25-35 years old working a sane job and earning a decent amount of money and don’t know what to do with it. Don’t go out and buy a bunch of stuff, channel your money into avenues where it can grow.
Fixed deposits:
The most basic investment is a 5-year fixed deposit from the post office or bank of your choice, as this is a common way to save on tax (most 5-year fixed deposits are also called ‘tax saving deposits’ for this reason). The way this works is that it takes your invested amount, say Rs.50,000 and reinvests that along with the deposit amounts of thousands of others just like you. This reinvestment is huge and usually to the tune of a few hundred crores, and these are the massive investments that turn the wheels of India’s gargantuan economy. A small part of the profits generated through these investments are set aside to pay off the promised interest rate to the investors (people who purchase/invest in the 5-year fixed deposit product). Currently, the average interest rate offered on 5 year deposits is around 8%, which means that an investment of Rs.50,000 will earn you Rs.74,492 in 5 years’ time**.
Investing in gold in India:
Anyway, if you have made other arrangements to meet your tax deductible requirement (or just don’t want to think about a tax saving investment right now) you can always just invest in gold. Here’s what’s great about investing in gold - it’s solid and physical. Lock that up in your personal version of Gringotts, or use it as a paperweight.
It doesn’t appreciate as fast, and has a bad habit of dropping in value every now and then, but the overall graph shows a line going upwards so it can’t be that bad, right? It really isn’t. Gold is one of the best investments you can make. It’s literally called the “zero-risk investment” because it will eventually appreciate enough to give you a decent profit despite inflation.
Recent gold trends show that it’s on the rise up to Rs.3,219 at the end July, 2016***. This was after a substantial loss which took the yellow metal down to Rs.2,916 on the 3rd of July***.
We Indians love gold. It’s given as gifts, used as an indicator of social status, and invested as a safety to be kept aside for emergencies. Brides secretly have endurance challenges to see who could carry the most weight in gold at their weddings. Indian gold jewellers are among the best in the world in terms of craftsmanship and business acumen. All this aside, India is the top importer of gold in the world by quite a large margin. India accounts for 20% of the entire world’s gold imports. We import around $37.7 billion worth of gold^ and the runner up (Hong Kong) isn’t even in the rear-view, at $25.9 billion^.
All that aside, an investment in gold is a sound financial decision. It can be sold quickly if you need money fast as it’s always in demand. It’s also the ideal investment if you don’t want to waste time reading through endless documents and signing things. This investment is a physical thing that you can call “precious” and lock in a box, given in exchange for hard cash and not just a piece of paper that says you’re entitled to money at some point in the future.
How to buy a car the easy way in India:
The simplest way to buy a car? Two words – car loan.
Many people are afraid of loans. They feel that the interest rates are eventually either too high or the tenures are too long, and eventually end up buying a second hand car at a cheaper price (which is a good idea, but as we all know thanks to Barney, New Is Always Better).
You’ve probably been working for at least 5 years now, and have been drawing a decent salary the entire time, but still can’t account for where most of it went. You could’ve bought a car with a car loan and had it totally paid off by now without too much of an impact on your life. EMIs literally make things a lot easier, you just need to adjust to the fact that a portion of your salary is reserved for something else for a few years, and you get complete ownership of a vehicle at the end of your loan tenure.
If you don’t know how much you’ll end up paying each month, or how much of a loan you’re eligible to borrow – check out the car loan EMI calculator on BankBazaar.com – it takes into consideration your required loan amount, age, income, employment status, etc. to estimate how much you’ll need to pay every month.
You can also compare your car loans side by side like you would compare mobile phones on an e-commerce website on BankBazaar, and apply through their portal for the loan you wish to borrow. It’s a secure process and won’t bombard you with promotional offers, etc.
Before you close this page, think about how you’re getting home later – in cab, auto, bike, or in a powerful four-wheeled chariot of glory, which can be claimed by no man but yourself?