pratik0009
KF Rookie
I've chosen a Volkswagen Virtus variant priced near 20 lakh rupees. I have the full amount saved up. Should I buy it outright or opt for EMI financing? Are there any tax advantages I can leverage with either approach?
Financing a Volkswagen Virtus - Cash vs. EMI and Tax Implications
- Thread starter pratik0009
- Start date
Bharatiya Nagrik
KF Mentor
There are no tax implications or advantages when you buy a car.
There are 2 ways and none of them is wrong.
1 is you buy in all cash deal. 2nd is you take a loan of may be 80% of that total amount. Invest your money in investments that yield better returns compared to the interest that you are going to pay for the car.
It's up to you to decide what will be a better deal for you considering you financial status.
There are 2 ways and none of them is wrong.
1 is you buy in all cash deal. 2nd is you take a loan of may be 80% of that total amount. Invest your money in investments that yield better returns compared to the interest that you are going to pay for the car.
It's up to you to decide what will be a better deal for you considering you financial status.
zacobite
KF Mentor
no tax benefits for retail.. leasing / company car may give tax benefits.
Full cash is better if you can negotiate hard on price and insurance as well as simpler from process.
EMI is gd if u can make better use of the funds and invest wisely. May even be good for your credit score in the long run showing mix of borrowing type.
shivampembarti
KF Rookie
Can this purchase be done on credit card ?
Bharatiya Nagrik
KF Mentor
Could be possible with something like a AmEx Black card with no credit limit set.