Tata Punch: Tata Punch is making waves as an affordable compact SUV that boasts great safety features. With a modest budget, you can even take this model back home with a down payment beginning at just ₹1 lakh. While purchasing, it’s crucial to know how your monthly EMI would be under varying loan options.

Tata Punch Price and Variants

Tata Punch has emerged as a tough competitor in the subcompact SUV space due to its pricing and safety features. Being available in 31 variants, it has a starting price of its base model at ₹6.20 lakh ex-showroom and the range-topping variant at ₹10.32 lakh. The best-selling variant is the Adventure Rhythm Petrol, priced at ₹8.52 lakh ex-showroom and having well-balanced features.

Loan and Down Payment

If you are looking to purchase the Tata Punch Adventure Rhythm, you can reserve it with a down payment of ₹1 lakh. Subsequently, you would have to arrange for a loan of ₹7.67 lakh. Your monthly EMI would then be based on your credit rating and the rate of interest your bank is willing to give you. It is advisable to compare the offers of banks and terms of the loan before finalizing any deal.

EMI Details for Four-Year Loan

When you opt for a four-year loan with a 9 percent rate of interest, you will be required to pay an EMI of approximately ₹19,000 per month. This represents both interest and principal, so it is convenient for you to pay as per your budget over the duration.

EMI Information of Five and Six-Year Loans

For a 9 percent rate on a five-year loan, you will be paying roughly ₹16,000 every month. If the repayment period is extended to six years, your EMI is reduced to ₹13,800, reducing the monthly load but raising the overall interest outgo.

EMI Information for Seven-Year Loan

Those who want to opt for the longest term, seven years, can anticipate an EMI of roughly ₹12,400. Even if the monthly expense is lower, you need to consider the interest cost overall, which increases with longer-term loans.

Tips Before Taking a Loan

Before signing any documents, review each clause in the loan papers carefully. Also remember that EMI amounts can be altered based on the lending policy of the bank and market interest rates. Carefully discuss these facts with your representative bank and shop around for offers to ensure you receive the optimal deal.