In Pakistan, consumer financing was established in the 20th century when there was a rise in disposable income and a decrease in the discount rate. Credit cards, personal loans and house loans are all examples of consumer financing. These sectors have seen rapid growth over the past two decades. Many banks offer vehicle loans with many features. Al Habib Bank Car Loan Calculator also offers highly competitive car loans to consumers. Bank Al Habib offers car loans to salaried people and business owners at very low rates and with flexible terms and conditions. Although it may seem that consumer financing is slowing down as vehicles become more expensive, the opposite is true. Because vehicles are essential, people now rely more on banks to purchase vehicles than they do buying them with cash.
How to use the Bank Al Habib Loan Calculator
To estimate the monthly installment of their auto loan, customers can use the online Bank Al Habib calculator. This calculator is easy to use and follows a simple process. This calculator can be found on the bank’s website. Let’s see how this calculator can help you.
Step 1: Select your customer status
You can select your customer account status by using the first drop-down menu. If you have an existing Bank Al Habib account. The auto loan approval process is usually simple for existing account holders. Many loan process formalities will be completed if you’re an account holder. Click on the drop-down to select your status and then move on to the next step.
Step 2: Select a car make
Select the Al Habib car that you wish to finance using the Al Habib car financing loan. You can choose to finance a Suzuki or Toyota car by selecting your preference from this menu.
Step 3: Choose a Model
Use the Al Habib bank car loan calculator to select the model you wish to finance. If you have selected Suzuki, then you can choose the Suzuki model you wish to finance from the next menu. The calculator will automatically calculate the current price for the car you have chosen.
Step 4: Choose the vehicle type
A Bank Al Habib car loan is available for new and used vehicles. Both vehicles will have different terms and conditions, such as the down payment and tenure. Once you’ve selected “New Vehicle”, you will be able to proceed to the next step in order for you to make a down payment. If you’ve selected “Used Vehicle”, however, you’ll first need to enter the car’s value in the next menu.
Step 5: Choose the amount of your down payment
You can choose whether you want to finance a new or used vehicle by using the Bank Al Habib Loan Calculator’s next drop-down menu. The down payment. According to the most recent regulations of the State Bank of Pakistan, the minimum down payment allowed is 20 %. The minimum permissible percentage for locally manufactured vehicles of less than 1000 CC is 20%. It is 30% for vehicles above 1000 CC. The minimum down payment for used vehicles can vary between banks depending on make, model and year.
Step 6: Choose the loan term
Next, you need to identify the tenure or term of the Al Habib car loans that you are looking to obtain. According to SBP regulations, the maximum term a consumer can get for a new vehicle with a 1000 CC or less is seven years. Vehicles with more than 1000 CC are subject to a maximum tenor of 5 years. The tenor of used vehicles is determined by their year of manufacture.
Step 7: Choose the Tracker/Insurance option
You can choose whether you want to have an insurance option without or with a tracker from the Al Habib bank Car Loan Calculator. If you choose a tracker, the insurance rate will be slightly higher. For your vehicle to be insured and safe, we recommend that you choose the option “With tracker”.
Step 8: Choose the mark-up type
Last, you can choose the mark-up type. The variable rate or fixed rate can be chosen for your loan. Although the former is slightly more than the latter, it does not change over the term of the loan. The variable-rate is slightly higher but will continue to change according to the current discount rate. This doesn’t make a difference, but it is a good idea to choose a fixed rate if you anticipate that the discount rate will continue to rise in the future.
Last step – Press calculate
Once you’ve selected the options you want for your bank Al Habib car loans, hit the “calculate” button. The Bank Al Habib Loan Calculator shows you the results. The calculator will calculate your upfront payment, down payment + insurance premium, processing fee, and financing amount. The RPS (Repayment Schedule), will be provided for the duration of your loan. You can get an estimate of your monthly payment and a breakdown of your monthly installment from the RPS. The calculator does not include registration fees, withholding taxes or delivery costs. These charges are typically paid by the customer from his own pocket.