Best Car Deals in India with Smart Cost-Saving Tips

Key Highlights:

• Buy during year-end, festive seasons, or the end of the month to get better discounts from dealers eager to hit sales targets.
• Research invoice pricing, compare offers from multiple dealerships, and explore corporate or loyalty discounts.
• Get extra savings through exchange bonuses, low-interest financing and by comparing insurance premiums independently.

Schedule Your Purchase

Year-end and festival seasons are among the periods when car manufacturers offer lucrative discounts to attract buyers to their fold. These are considered to be the best times to buy a new car.

Additionally, if you're not in a hurry, consider visiting the showroom at the end of the month, when salespersons may offer more discounts than usual to meet their monthly sales targets.

Do Your Research

The invoice price is the amount a dealer pays to the manufacturer for a vehicle. It is always lower than the ex-showroom price. Sometimes the dealer's final cost may be even lower than the invoice price due to bonuses, bulk incentives and holdbacks from manufacturers. Knowing the invoice price can help you negotiate more effectively to secure the best car deal.

Check Prices At Different Dealerships

Dealers' margins on a car may vary by dealership, city and variant. So get quotes from multiple dealerships of the same brand, including those in cities near you. Sometimes dealers in smaller and rural areas offer higher discounts and lower waiting periods.

Ask For A Corporate Discount

If you work in a public sector undertaking, a bank, an IT firm, or a multinational corporation (MNC), you must request the corporate discount from the dealer. It's a part of a tie-up sales strategy where automakers partner with large corporations and organisations to attract bulk customers.

To avail this, you must have your company ID card, employment proof and sometimes a corporate email ID.

Stick To Your Brand

A loyalty bonus is a special discount provided by a car manufacturer to its existing customers when they buy another car from the same brand. It is simply a way for a brand to reward its existing customers for sticking with it.

Trade In Your Old Vehicle

Dealers often provide an exchange bonus in addition to the trade value when a buyer exchanges their old car for a new one. And if the vehicle to be exchanged is from the same company whose new car you want to buy, then you can also get the benefit of a loyalty bonus.

Scrap Your Old Vehicles

By scrapping your end-of-life vehicles (ELVs), you can receive a refund of 4-6% of the vehicle's original ex-showroom price, which can be applied to your next purchase. Additionally, the scrap certificate can help you claim rebates on the road tax and avail of extra discounts of up to 5% on the purchase of a new car.

Get Finance Discount

Obtain a price quotation for a car and compare the loan EMIs of different banks to make an informed decision. Ask for a discount and negotiate on the interest rate if you have a high credit score. A slight difference in interest rate can significantly impact your total repayment amount. A shorter repayment term can further help you to save on interest, thus lowering your overall purchase cost.

Negotiate On Insurance Premium

Ask the dealership to lower the insurance premium, as they receive a payout from banks or financial institutions for selling their loans and insurance. You can also compare the insurance online to get the best deal for you. It is not recommended to buy the insurance only from the dealership.

Availing a no-claim bonus (if you haven't claimed on your past insurance) can further lower your insurance premium. Bundling your other insurance policies with your car insurance can provide you with an additional loyalty discount from the insurer.

Drive Home the Best Deal

If you follow some of the tips mentioned above, we are sure that you'll be able to secure the best car deal with maximum savings. All you need is careful market research and conviction; otherwise, you may be overcharged. Move away if the deal isn't favourable.

FAQs

1. What is the best time to buy a car in India?

At the end of the month, during festive seasons, and the year-end period, the best times to buy a car in India are typically observed. During this period, brands offer various benefits and discounts on their product lines to attract buyers.

2. How to negotiate a car deal?

By negotiating on interest rates, insurance premiums, accessories, handling charges, and exchange bonuses, you can lower the overall purchase cost.

3. What hidden fees should I look out for?

Always review the price breakdown. Check for dealer add-ons like extended warranties, accessory packages and unnecessary insurance products.