Planning to buy a car? Here's how 20-4-10 formula can save you from debt
Planning to buy a car? The 20-4-10 formula clarifies your car-buying capacity. It details savings, loan amount, and more. What is this formula? Let's explore.
Buying a car is a dream for many. Some save diligently for it. Zero down payment offers are tempting, but avoid rushing into debt. City traffic makes bikes less safe. Cars offer better protection in accidents.
For stress-free car buying, follow the 20-4-10 formula. It guides down payment, loan amount, and affordable car price.
The number '20' in the formula signifies a 20% down payment of the car's price. Avoid 100% financing to minimise risk.
The '4' represents a loan tenure of fewer than 4 years to reduce interest. The '10' means EMIs should be 10% or less of your income.
Get all the latest Automobile News, including updates on Electric Vehicles, new car and bike launches, reviews, and auto industry trends. Stay informed about mileage comparisons, performance insights, and expert opinions to guide your next vehicle choice. Download the Asianet News Official App for all the latest updates from the world of automobiles.
