Learn about gift cards
What is a gift card?
Also known as brand vouchers, gift vouchers and brand cards, gift cards are a digital mode of payment which carries a amount along with a pin / card no. You can buy these gift cards and use them to pay on 300+ brand online and offline as well.
Why should I use a gift card?
Gift cards help you get great value on your purchase with a brand. They simplify giving, help with budgeting, and are easily sent across distances, ensuring your thoughtful gesture brings joy and value.
How to use a gift card?
To use a gift card, simply present it at the time of purchase in-store or enter the card’s unique code at checkout when shopping online. The amount of your purchase will be deducted from the card's balance.

Comprehensive guide on buying a car while optimizing finances

Last updated :
March 10, 2024

minutes read

I. Introduction

Buying a car is a big step, especially for young Indian professionals and fresh graduates like you. We know you've been daydreaming about that smooth ride to work or cruising down the highway with friends.

But hold your horses (or should we say horsepower?) because there's a lot to consider before you go racing off to the nearest dealership.

Adulting is no joke. You've got your first job, you're paying your own bills, and now you want to buy a car. It's exciting, but also a little daunting, right? We totally understand. The Indian job market is competitive, and salaries for young employees might not be as high as you'd hoped.

With expenses like rent, groceries, and weekend fun (can't miss out on those Friday night parties, can we?), saving up for a car might seem like an uphill battle.

But worry not, dear reader! We're here to be your trusty sidekick on this car-buying journey. We'll guide you through everything you need to know, from assessing your needs to finding the best deals, and even how to save on insurance.

Buckle up and get ready to rev your engines – let's conquer this car-buying adventure together!

II. Assessing Your Car Needs

A. First things first, what's the purpose of your car?

Before you dive headfirst into the world of shiny new cars or go hunting for the perfect pre-owned gem, it's essential to figure out why you need a car in the first place. It's like choosing the right ice cream flavor – you can't go wrong if you know what you want!

Let's explore the top reasons people in India decide to buy a car, shall we?

1. Daily office commute?

Ah, the daily grind! If you're one of the many Indian professionals who spend hours every day navigating the great obstacle course known as traffic, then having a car might seem like a blessing. No more wrestling with fellow commuters for a spot on the bus, or negotiating with auto-rickshaw drivers who think they're auditioning for the next Fast & Furious movie. But remember, a daily office commute means fuel efficiency and low maintenance should be your top priorities.

2. Family outings?

Family time is precious, and if you plan to use your car for trips with the whole clan, you'll want something spacious, comfortable, and safe. After all, you need room for everyone, plus all the shopping bags, cricket gear, and snacks (because we all know Indian families never travel light).

In this case, consider a car with ample seating and boot space – and maybe even a good sound system for those epic family sing-alongs!

3. Weekend getaways?

If your motto is "work hard, play harder," you're probably dreaming of a car that can whisk you away to weekend adventures in style. You'll need a reliable ride that can handle both city streets and the occasional off-road excursion. In this case, prioritize cars with sturdy builds, powerful engines, and features that make those long drives more enjoyable (hello, cruise control and GPS navigation!).

Now, all you have to do is decide which destination to conquer first – the beaches of Goa, the hills of Shimla, or the bustling streets of Mumbai?

B. What features matter most to you?

Now that you've figured out why you need a car, it's time to think about what features are most important to you. It's like choosing toppings for your pizza – you can't have them all (unless you're a culinary daredevil), so you need to prioritize what will make you happiest!

1. Fuel efficiency

If you're a young Indian professional or recent graduate, chances are you're still working on building that mountain of gold coins like Scrooge McDuck. Until then, fuel efficiency is your best friend!

With petrol prices soaring higher than the Burj Khalifa, a car with good mileage can save you a pretty penny in the long run. So, if fuel efficiency is your top priority, keep an eye out for cars with impressive km/liter stats.

2. Comfort

Long commutes, road trips, or just driving around town can be a pain if your car's comfort level is on par with sitting on a bed of nails. That's why it's important to find a car with cozy seats, smooth suspension, and user-friendly controls. Don't forget to consider legroom, headroom, and how easy it is to get in and out of the car – especially if you've got family members of all ages and sizes!

3. Safety

As much as we'd like to believe we're invincible superheroes, safety should never take a back seat when it comes to buying a car. Look for features like airbags, anti-lock braking systems (ABS), and electronic stability control (ESC). And, of course, always remember that the most important safety feature is you – the driver!

Make sure to follow traffic rules and keep your inner Vin Diesel in check.

C. Time to set a budget that won't break the bank!

Finally, it's time to talk numbers. Remember when you were a kid, and you had to save up your pocket money to buy that shiny new toy? Well, buying a car is like the grown-up version of that. To set a realistic budget, consider your income, existing expenses, and how much you can save for a down payment. Don't forget to factor in costs like insurance, registration, and maintenance.

It might take some number-crunching and a bit of discipline, but finding a car within your budget will be worth it when you hit the road without a mountain of debt weighing you down. Happy budgeting!

III. New vs. Used Cars: The Great Debate

Ah, the age-old question: new car or used car? It's like trying to decide between gulab jamun and rasgulla – both have their appeal, but which one is right for you?

Let's take a closer look at the pros and cons of new and used cars, so you can make an informed decision that suits your needs and your wallet.

A. Let's weigh the pros and cons of new cars


  • That new car smell: Let's be honest, there's something magical about sliding into a brand-new car, knowing you're the first one to call it yours.
  • Customization: When you buy a new car, you can choose the exact color, features, and accessories you want. It's like building your dream home but on wheels!
  • Warranty: New cars usually come with a manufacturer's warranty, which means you won't have to shell out big bucks for repairs in the first few years.
  • Advanced technology: New cars tend to have the latest and greatest tech, like touchscreen infotainment systems, advanced safety features, and better fuel efficiency.


  • Price: New cars can be pricey, especially for young professionals or recent graduates on a tight budget.
  • Depreciation: The moment you drive a new car off the lot, its value starts to drop like a hot samosa. In the first year alone, a new car can lose 20-30% of its value.

B. Now, let's look at the ups and downs of used cars


  • Price: Used cars are generally more affordable than their new counterparts, which means you can potentially get a higher-end model for less.
  • Slower depreciation: Since used cars have already taken the initial depreciation hit, their value doesn't drop as rapidly as new cars.
  • Insurance: Insurance premiums for used cars are often lower than for new cars, which means more money in your pocket (or more cash for weekend adventures!).


  • Reliability: With a used car, you don't always know its history. It could have hidden issues that could lead to costly repairs down the road.
  • Limited warranty: Used cars often come with a shorter or less comprehensive warranty, which means you might have to pay for repairs sooner than with a new car.
  • Outdated tech: Older cars may not have the latest features or technology, so you might miss out on some cool bells and whistles.

C. Which one suits your wallet better?

Ultimately, the decision between a new car and a used car comes down to your priorities and financial situation. If you value the latest technology, customization, and a longer warranty, a new car might be worth the investment.

On the other hand, if you're looking for a more affordable option with lower insurance premiums and slower depreciation, a used car could be the perfect fit.

Whichever path you choose, remember to keep your budget in mind and happy car hunting!

IV. Navigating the Financing Maze

So, you've made up your mind about the type of car you want, but now you're faced with the daunting task of figuring out how to pay for it. Don't worry, we're here to help you navigate the financing maze like a pro.

Think of us as your trusty GPS, guiding you through interest rates, loan tenures, and eligibility, as well as exploring other financing options. Ready? Let's get started!

A. Car loans can be confusing, but we've got you covered!

Car loans are like a plate of piping hot biryani – you can't wait to dig in, but you know it's going to take some time and effort to finish. So, let's break it down into bite-sized pieces, shall we?

1. Interest rates

Interest rates are like the spice level in your curry – they can make a huge difference in the overall experience. In India, car loan interest rates can range from 7.5% to 15% depending on factors like your credit score, the loan amount, and the lender.

Pro tip: Don't just settle for the first offer you get; shop around and negotiate for the best rates.

2. Loan tenure

The loan tenure is like the length of a Bollywood movie – it can have a significant impact on your overall enjoyment. A shorter loan tenure means higher monthly payments but less interest paid over the life of the loan.

On the other hand, a longer tenure means lower monthly payments but more interest paid in the long run. So, choose a tenure that best fits your budget and financial goals.

3. Eligibility

Car loan eligibility is like the dress code at a fancy party – you need to meet certain criteria to get in. In India, eligibility factors include your age, employment status, income, and credit history. Make sure to check the specific requirements of the lender you're considering, and remember that a strong credit score can help you secure better interest rates.

B. What about other financing options?

If car loans aren't your cup of chai, there are other financing options to explore. After all, variety is the spice of life!

1. Personal loans

Personal loans are like the wildcard in a game of cards – they can be used for pretty much anything, including buying a car. While personal loan interest rates can be higher than car loans, they offer more flexibility in terms of usage and repayment.

Just make sure to weigh the pros and cons before deciding if this is the right choice for you.

2. Leasing

Leasing a car is like renting a swanky apartment – you get to enjoy it without the long-term commitment of ownership. With a car lease, you make monthly payments to use the car for a specific period, and at the end of the term, you can either return the car or buy it outright. This can be a great option for those who like driving a new car every few years, but keep in mind that there may be mileage restrictions and potential fees for excess wear and tear.

No matter which financing option you choose, remember that the key is to find a solution that fits your needs and budget. Go forth and conquer the financing maze, and soon you'll be cruising down the road in your dream car!

V. Finding the Best Deals

You've got your dream car in mind and figured out your finances, but now comes the most thrilling part of the journey – finding the best deal. It's like a treasure hunt where the grand prize is your shiny new (or new-to-you) car!

So, buckle up and let's dive into the world of online platforms, offline dealers, haggling, and timing to ensure you drive away with the best deal possible.

A. Online platforms vs. offline dealers: Where to look?

The quest for the perfect car deal can feel like trying to find the secret recipe for the world's best masala chai – everyone has their own preference. So, let's weigh the options:

Online platforms: Websites and apps like CarDekho, CarWale, and Droom offer a wealth of information on new and used cars, including prices, specifications, and even user reviews. They're like the Wikipedia of car shopping, allowing you to compare deals from the comfort of your own home (or office, but we won't tell!).

Offline dealers: Traditional car dealerships may seem old-school, but they offer the advantage of being able to see, touch, and test-drive your potential new ride. Plus, interacting with salespeople can give you an opportunity to negotiate on price and snag some extra perks.

The bottom line?

Consider using a combination of both online and offline sources to find the best deals and make the most informed decision.

B. Learn to haggle like a boss

Negotiating the price of a car is as much a part of the Indian car-buying experience as enjoying a steaming plate of pani puri at your favorite street vendor. Here are a few tips to help you haggle like a boss:

  • Do your homework: Knowledge is power, so research the market value of the car you want and be prepared to present your findings during negotiations.
  • Be confident: Approach the negotiation with a calm, assertive demeanor. Remember, you're the customer, and you hold the power to walk away if the deal isn't right.
  • Aim low: Start with a lower offer than you're willing to pay, leaving room for negotiation.
  • Be prepared to compromise: Finding the perfect deal is like trying to make everyone happy at a family gathering – sometimes, you have to meet in the middle.

C. Timing is everything – make your purchase count!

Just like finding the best time to visit the Taj Mahal without the crowds, timing your car purchase can make all the difference. Here are some tips to help you time your purchase just right:

  • End of the month or quarter: Dealers often have sales targets to meet, so they may be more willing to negotiate at the end of the month or quarter.
  • Festive seasons: In India, festivals like Diwali and Dussehra often bring great discounts and special offers on cars, so keep an eye out for these deals.
  • Model year-end: When new car models are about to be released, dealers may offer discounts on the previous year's models to clear their inventory.

With these tips and tricks in your arsenal, you'll be well on your way to finding the best deal on your dream car. So, channel your inner Sherlock Holmes and happy deal-hunting!

VI. The Art of Saving on Insurance

Buying a car is like getting married – it's not just about the big day (or the big purchase), but also about the lifelong commitment that comes with it. One of those commitments is car insurance, which can feel more confusing than trying to remember the steps to your cousin's sangeet dance.

But fear not! We're here to guide you through the art of saving on insurance, from shopping around to finding discounts and picking the perfect coverage.

A. Comparing insurance providers – let's shop around

When it comes to insurance, putting all your eggs in one basket is like eating the same dish every day – it's not always the best idea. Shopping around for insurance providers can help you find the best deal and the most suitable coverage. Websites like PolicyBazaar and Coverfox are like the Zomato of car insurance, allowing you to compare quotes from multiple providers in one convenient place.

Remember, the cheapest option isn't always the best. Be sure to read the fine print and compare factors like coverage, claim settlement ratio, and customer reviews to make an informed decision.

B. Discounts? Yes, please!

Who doesn't love a good discount? It's like finding an extra samosa in your snack order – a delightful surprise! When shopping for car insurance, be on the lookout for discounts that can help you save money. Some common discounts include:

  • No Claim Bonus (NCB): If you've gone a year without making any claims, you may be eligible for an NCB, which can reduce your premium by up to 50%.
  • Anti-theft devices: Installing approved anti-theft devices in your car can make you eligible for a discount on your insurance premium.
  • Membership discounts: Being a member of certain organizations, like the Automobile Association of India, can earn you a discount on your insurance.

C. Picking the perfect coverage for you

Choosing the right insurance coverage is like picking the perfect outfit for a wedding – it's all about finding the right balance between style (or in this case, protection) and budget. In India, there are two main types of car insurance:

  1. Third-party insurance: This is the mandatory minimum coverage required by law, which covers damage to other people's property and bodily injury or death to third parties in an accident. While it's the most affordable option, it doesn't cover damages to your own vehicle.
  2. Comprehensive insurance: This type of policy covers both third-party liability and damages to your own car, as well as theft, natural disasters, and other incidents. While it's more expensive than third-party insurance, it offers greater protection and peace of mind.

When picking your coverage, consider factors like your car's age, value, and how much you're willing to pay out-of-pocket in the event of an accident. Remember, the goal is to find the perfect balance between cost and protection, just like finding the right level of spice in your favorite curry.

Armed with these tips, you'll be well on your way to mastering the art of saving on car insurance. So go forth and conquer the insurance world like the savvy shopper you are!

VII. Maintaining Your Car Without Breaking the Bank

You've done it! You've bought your dream car and cruised the streets like a Bollywood hero or heroine. But now, the real adventure begins – maintaining your car without breaking the bank. It's like trying to keep your favorite houseplant alive – it takes some love, care, and know-how. So, let's dive into the world of regular maintenance, DIY hacks, and finding a reliable yet affordable service centre to keep your ride running smoothly and your wallet intact.

A. Regular maintenance – why it matters

Just like going for a jog or eating your veggies, regular car maintenance is essential for a healthy and happy life (for your car, that is). Keeping up with routine maintenance can prevent costly repairs down the line, improve fuel efficiency, and even extend your car's lifespan.

Think of it as your car's daily dose of yoga – keeping everything flexible, functioning, and fabulous!

B. DIY hacks to keep your wallet happy

While we can't all be as skilled as the local mechanic who fixes everything from scooters to trucks, there are a few simple DIY hacks that can help you save money on car maintenance. Here are some wallet-friendly tips:

  1. Check tire pressure regularly: Properly inflated tires not only improve fuel efficiency but also reduce the risk of tire-related accidents. Invest in a tire pressure gauge and check the pressure at least once a month.
  2. Clean your air filter: A dirty air filter can reduce fuel efficiency and increase emissions. Luckily, cleaning or replacing your air filter is as easy as making a cup of chai! Check your owner's manual for instructions and recommended replacement intervals.
  3. Keep an eye on fluids: From engine oil to coolant, your car relies on various fluids to keep it running smoothly. Regularly check fluid levels and top them up as needed, following the guidelines in your owner's manual.

C. Choosing a reliable yet affordable service center

Finding the perfect service center is like discovering the ultimate street food vendor – it's all about the right mix of quality, affordability, and trustworthiness. Here are some tips to help you find the best service center for your car:

  1. Ask for recommendations: Friends, family, and colleagues can be a treasure trove of information when it comes to finding a reliable service center. Don't be shy to ask for their opinions and experiences.
  2. Read reviews: Websites like Google Reviews, Justdial, and Sulekha can offer valuable insights into customer experiences at various service centers. Be sure to read multiple reviews to get a well-rounded understanding.
  3. Compare prices: While the cheapest option may be tempting, it's essential to balance cost with quality. Call or visit multiple service centers, discuss your needs, and compare prices to find the best fit for your budget and your car.

With these tips and tricks, you'll be well on your way to maintaining your car without breaking the bank. So, roll up your sleeves, channel your inner mechanic, and embrace the art of car maintenance like the money-savvy driver you are!

VIII. Fuel Efficiency: Driving Smart to Save Money

Remember how your parents always told you that "a penny saved is a penny earned"?

Well, they were right (as usual), and this wisdom applies to car ownership as well! One of the easiest ways to save money is by improving your car's fuel efficiency. It's like doing the "Garba" – the more efficiently you dance, the longer you can keep going without running out of breath (or, in this case, petrol).

Let's explore the world of driving efficiently, keeping your car in tip-top shape, and considering carpooling or alternate transportation to save those precious pennies.

A. Drive efficiently, save money – it's that simple

The way you drive can make a significant difference in your car's fuel efficiency. Channel your inner zen master and follow these tips to save money on petrol or diesel:

  1. Accelerate gently: Flooring the accelerator is like gulping down a glass of lassi – it might be fun, but it's not always the best idea. Gradual acceleration can help improve fuel efficiency.
  2. Maintain a steady speed: Stick to the speed limit and avoid rapid changes in speed. Cruise control can be your best friend here if your car has it.
  3. Avoid unnecessary idling: Just like you wouldn't leave the tap running while brushing your teeth, don't let your car idle for too long. Turn off the engine if you expect to be stopped for more than a minute or two.

B. Keep your car in tip-top shape

A well-maintained car is a fuel-efficient car, so don't forget the maintenance tips we discussed earlier. In addition to those, here are some more tips to keep your car running at its best:

  1. Maintain proper tire pressure: Underinflated tires can reduce fuel efficiency, so make sure to check your tire pressure regularly.
  2. Choose the right engine oil: Using the recommended grade of engine oil can improve your car's fuel efficiency by up to 2%. Check your owner's manual for the recommended type and change it as suggested.

C. Carpooling and alternate transportation – have you considered these?

Just like your favorite Bollywood films, sometimes, the best solutions come from joining forces with others. Carpooling and alternate transportation can save you money on fuel and reduce your carbon footprint, too. Here are some ideas:

  1. Carpool with colleagues: Sharing rides with co-workers can help you save on fuel costs and maybe even spark some interesting conversations along the way.
  2. Use public transportation: When possible, consider taking the metro, train, or bus to save money and reduce your car's wear and tear.
  3. Embrace non-motorized transport: For shorter distances, consider walking or cycling. It's not only eco-friendly but also a great way to stay fit and active.

By driving smart and considering alternate transportation options, you'll be saving money and doing your part for the environment. So buckle up, put on your favorite tunes, and embrace the journey to fuel efficiency and savings!

IX. Conclusion

Phew! That was quite a ride, wasn't it? We've covered so much ground together, from assessing your car needs to mastering the art of fuel efficiency. It's been like a classic Bollywood masala movie – full of drama, action, and valuable life lessons.

But before we roll the credits, let's take a moment to recap what we've learned and remind ourselves that smart financial planning is the key to success.

A. We've covered a lot – time for a quick recap

Together, we've navigated the twists and turns of car ownership, including:

  1. Assessing your car needs based on purpose, features, and budget.
  2. Debating the age-old question of new vs. used cars.
  3. Unraveling the mysteries of car financing, from loans to leasing.
  4. Hunting for the best car deals and mastering the art of haggling.
  5. Saving on insurance by comparing providers, seeking discounts, and picking the perfect coverage.
  6. Maintaining your car without emptying your wallet with regular maintenance, DIY hacks, and choosing a reliable service center.
  7. Boosting fuel efficiency through smart driving, car maintenance, and considering carpooling or alternate transportation.

B. Remember, smart financial planning is key

As a young Indian employee or a new graduate, you're embarking on an exciting journey – one filled with opportunities, challenges, and, of course, the inevitable expenses. But with a bit of patience, research, and smart financial planning, you can make your dream of owning a car a reality without breaking the bank.

So, put on your financial planning hat, channel your inner Bollywood hero or heroine, and take the wheel of your car-buying journey with confidence. After all, when it comes to optimizing your finances and buying a car, you've got the script, the director's notes, and the perfect soundtrack to guide you along the way.

Lights, camera, action! Let's get this show on the road!

X. Resources and References

You know how they say "knowledge is power"? Well, the same holds true for making smart decisions when buying a car and optimizing your finances. To make sure you're well-equipped for this thrilling ride, we've handpicked some top resources and references for you. So let's dive into the treasure trove of information with car research websites, trustworthy car loan providers, insurance comparison tools, and tips and tricks for efficient driving and car maintenance.

A. Our top picks for car research websites

When it comes to buying a car, research is your best friend. Here are some popular Indian websites to help you make an informed decision:

  1. CarDekho: With reviews, comparisons, and detailed specifications, CarDekho is like the Big B of car research websites.
  2. CarWale: Another excellent source for car reviews, prices, and comparisons – CarWale is like the Shah Rukh Khan of the car world, charming you with its wealth of information.

B. Trustworthy car loan providers

Finding the right car loan provider can be like navigating through a spicy plate of chaat – you need the perfect balance of taste and texture. Here are some reputable car loan providers to consider:

  1. State Bank of India: SBI's car loans come with competitive interest rates and flexible repayment options, making it a solid choice for your car financing needs.
  2. HDFC Bank: Known for its quick processing and attractive interest rates, HDFC Bank's car loans are definitely worth a look.

C. Insurance comparison tools to make your life easier

Comparing insurance policies can be as tricky as spotting the differences between Kumbhakarna and his twin brother. To simplify the process, check out these comparison tools:

  1. PolicyBazaar: PolicyBazaar is like the matchmaker of the insurance world – it helps you find the perfect policy by comparing quotes from various providers.
  2. Coverfox: Coverfox is another helpful platform to compare car insurance policies and choose the one that best fits your needs.

D. Tips and tricks for efficient driving and car maintenance

A well-maintained car is a happy car, and a happy car saves you money. For tips and tricks on efficient driving and car maintenance, consider these sources:

  1. Autocar India: This popular magazine and website offers a wealth of information on car maintenance, driving tips, and industry news.
  2. Team-BHP: Team-BHP is a treasure trove of advice from Indian car enthusiasts, with forums, reviews, and maintenance tips for every car lover.

With these resources and references at your fingertips, you're all set to conquer the world of car buying and financial optimization! So go ahead, arm yourself with knowledge, and embark on this exciting journey like the superstar you are. Happy car hunting!

Fashion Tour of India: Click & Discover!
Dive into India's colorful wardrobe with our easy-to-use map! Just click on a state and see what people wear, from timeless classics to trendy outfits. Plus, check out the cool brands they love. It's fun, fast, and fullΒ ofΒ surprises!
😎 Top selling gift cards now
😎 Top selling gift cards now
😎 Top selling gift cards now
More in this series

Claim This Offer
Only on Hubble Money
Shuaib Azam
Shuaib is a Marketing & Growth lead at Hubble. When he isn't working on growth initiatives, Shuaib writes fiction and doodles space monkeys.

Claim This Offer
Only on Hubble Money

More like this

No items found.
Get rewarded every time you shop.
Up to 10% discount on 300+ brands