Well,guys here are my views:- Does Buying Diesel Car Over Petrol Gives Financial Edge?
The answer is simple:NEVER.. Why?
Because I myself own a diesel car and my monthly expenses on fuel etc is really quite high.
If one own a petrol car then he'll be automatically more environment conscious..
.Its the petrol price effect,but if he owns a diesel car then even if he have to go to piss then also he will take the car.
I have seen many people here who owns some Swift etc etc and for even 200-300 meter trip they take the car and man the A/C thing,better less said:-
Those with petrol cars park their cars in shade but the diesel owners just mindlessly burn the oil and keep their A/C's running for whole time. Result:
All the works are being carried out at the same pace and the car is also nearly equally used,but the diesel owners at the end of the day end up paying about 80-90% of the same as the petrol owners pay.
Take it this way:
A person whose monthly running was 2000,he maintains it at either at 2000 or 1800 after buying a petrol car,but if he buys a diesel car then he mindlessly increase it upto 2500 or even 3000 kilometers. Some days back I did a survey and in that too I found that most of the cars pulled back by the bank was 'DIESEL' ones..thanks to mindless owners. How?
How it is possible that diesel cars don't give any financial edge?Take it this way:- Case considered:-
Mr.Shailinder(Imagined person,not ours) is a Delhi based common man who earns 50k per month and live with his family of four-He,wife and two children.
Mr Shailinder(I hope you have no problem for me using your name buddy) wants to buy a Swift for himself and he is confused between diesel and petrol.
Swift ZXi costs him 6.23 lacs on-road Delhi while swift ZDi costs him 7.72 lacs on-road Delhi.
Now Mr.Shailinder made a chart making out his financial planning,running costs etc etc.
Monthly running:2k+200 kms(2400 kms of weekend trips for whole year).
Diesel:About 45/liter.(I took round average figures considering whole country prices).
Difference between variants:1.49 lacs or say 1.50 lacs.
If he buys a Swift petrol then his monthly fuel bill will be around 11471 @ 14 kpl FE.
If he buys a Swift diesel then his monthly fuel bill will be around 6187 @ 16 kpl FE,but for Diesel car he will do at least 500 kms more in the car per month which adds Rs 1406 + 500 rs fuel will be which he is going to waste by taking longer routes,keeping A/C continuously running etc.Hence he will be spending 8093 Rs
per month on fuel.
I hope I am right guys.Please correct any mistake,I'll be thankful to you.
So now he plans the financial thing and finds it out as follows:-
3 lacs down payment and after that for ZXi he needs a loan of 3.23 lacs while for ZDi he needs a loan of 4.72 lacs.
Now bank charges him at Rs 2500 per lac per month for 5 years and hence his installments will become somewhere about
Rs 8075 per month for ZXi.And hence in five years he will end up paying Rs 4,84,500 for the loan.
Rs 11800 per month for ZDi.And hence in five years he will end up paying Rs 7,08,000 for the loan.
Hence at the end of five years ZXi costs him:7,84,500 and ZDi costs him 10,08,000.
Now his monthly expenses on the car becomes:-
11471+8075=Rs 19546 per month for ZXi and
8093+11800=Rs 19893 per month for ZDi. Hence this way the diesel car is simply ruled out in terms of 'giving a financial edge' over the petrol one. To be continued..