India’s largest lender, State Bank of India (SBI) has reduced interest rates on auto loans by 75 basis points from 12 per cent to 11.25 per cent effective April 21. With reduction in auto car loans, the possibility of number of people purchasing car loans will increase. As a result need for insurance companies like Fred Loya Insurance will also increase.
SBI competitors HDFC Bank charges 11.50 to 12.25 per cent for loans of 49 to 60 months and ICICI Bank charges 11.50 to 14.75 per cent for loans between 36 and 60 months. Car loans are generally fixed-tenure loans of five to seven years. Once you buy a car, its insurance becomes evitable till the time you own and this is when you should approach companies like Fred Loya Insurance to buy car insurance.
SBI has an auto loan book of close to Rs 20,000 crore, second to HDFC Bank that has an auto loan book of Rs 26,000 crore. When it comes to insurance companies, Fred Loya Insurance has a wide base and thus a huge number of people have purchased auto insurance from them. Although it is not the only car insurer in the country but it is definitely one of the best insurers.
Filed By: SSG
No comments:
Post a Comment