Car loan finance.

This query is : Resolved

surbhi agrawal (Querist)
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14 December 2016 Hello, I want to know that how banks calculate and disbursement of car loan amount after retaining their margin %. Lets suppose,i want to buy Rs.15 lakh car and having a net profit of Rs.6.5 lakh for the two preceding year of the relevant current year of applying a loan, Please let me know the criteria of assessing loan granting approach of banks ,as my client has a relevant query of the said example Do reply

Unnikrishnan B

Unnikrishnan B (Expert)
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14 December 2016 It duffers with each bank .in your case you have net profit of 6.5 lakhs

Net profit. 6.5 lakhs
Add depreciation xx
Add other income. xx
(Including exempted income)

Less income tax paid/ payable
Less extraordinary income

Net amount. xx
Less existing liabilities. xx

Eligible amount. xx
60 % of the eligible income xx
(% Varies according to the amount of income)
This is a general reply

Less

Net