PeppyWalrus
PeppyWalrus

Is it advisable to buy a good car at this point?

Guys, I have a monthly salary of 40000 rs(8 years in IT) and I am thinking about a switch and learning for it. My husband joined a company on Feb 5 and his monthly expected salary is around 65000 rs(5 years in fincrime). We have around 5-6 lakhs debt, which we are repaying based on requirements. We are seriously thinking about buying a car as we have a 10 month old baby and travel is difficult without a good car, hence we are planning to buy kushaq ambition automatic (~18 lakhs). We don't have money in hand thinking about taking a loan of 12 lakhs and rest by pledging gold.

Do you think we made the right decision to buy a car now. We have a 15 year old Alto now.

9mo ago
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TwirlyJellybean
TwirlyJellybean

If possible go for 2nd hand car within 3lakh. Your first priority should be to pay off debt.

PeppyWalrus
PeppyWalrus

I understand

SillyPenguin
SillyPenguin
TCS9mo

Yes go with 2nd hand car . I have bought from spinny around 4 lakhs . Your loan amount will be less . You can buy a new one . Once you have enough savings 🙂

SnoozyPotato
SnoozyPotato

Rule of thumb I follow is buy a car which is 1/3 price of your CTC(excluding stocks) at max, anything beyond this price is most likely a childhood dream, some aspirations. Because this will add on to your debt.

With loan hovering around 9.2-9.5 percent, your interest itself will amount to 3-4 lakhs

PeppyWalrus
PeppyWalrus

Yes I understand. It's our dream to buy a good car.

SnoozyPotato
SnoozyPotato

With around 1L in hand salary and 5-6 lakhs of debt your emi will be around 26k on a year loan, almost 25% of your total salary. Bad financial judgment. House is rented or own? EMI on house?

GroovyBoba
GroovyBoba

why does it have to be an 18lakh car, why not something like a punch automatic that costs half of it

MagicalBagel
MagicalBagel

What city are you in?

PeppyWalrus
PeppyWalrus

Kerala

MagicalBagel
MagicalBagel

I’d suggest a cheaper car. If you’re buying fresh, get something under 10L, or if you want something with performance and top quality, buy second hand. Get a used 2017 or 18 car, there are many options. venue, sonet, brezza, ecosport, kiger. All under 10L

PeppyWalrus
PeppyWalrus

Thank you so much guys 😊, We had second thoughts, that's why I asked here. As most of you suggested, we have listed out the pros and cons and decided not to buy kushaq now.

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