How to Book a New Car Congratulations! You have finalized your new car. It's not been as easy as one would expect, and only you know the sweat and toil you've put into researching and test driving all those cars to finally zero-in on this one. But now comes the most critical part of the buying process actually booking your car. We've outlined a few important points for you to keep in mind while booking your car. We suggest that you print out this document and keep it handy throughout the booking process. Before You Book Things You Should Know Finalizing the Variant and Colour This might sound like it s a simple matter of the features you desire and your colour preference, but in actual fact it s a lot more complicated than that. Some colours and variants (or specific combinations of both) could fetch you higher discounts and also impact the waiting period. As a thumb rule, more popular colours and variants fetch lower discounts and command longer wait periods. So unless you re really sold on the Bossa Nova White, switching to the Minimal Grey might help you save both $$$ and some time. Discounts The final on-road price of your car can be much lesser depending on the discounts you are able to negotiate with the dealership. Ask for manufacturer s promotions, dealer offers and free accessories. You could also be eligible for a corporate discount depending on where you work. Most manufacturers offer a loyalty discount if you re exchanging one of their older cars for a newer one. Even if it is not their own brand, you could qualify for an exchange bonus if you re exchanging your old car. Tip: Read our New Car Discount Negotiation Guide Choose your Finance Wisely If you re in the market for a car loan, ask the dealers to help you get quotations from several banks. Most dealers have tie-ups with more than one financial partner and they would be happy to oblige. You can also approach other banks yourself and arrange your own loan. You should choose your loan after considering all the factors down payment, processing fees, monthly payments, rate of interest, tenure, foreclosure charges, etc. The one with the lowest EMI is not always the cheapest loan available. Tip: Use our Loan Comparison Tool and EMI Calculator to help you choose your car loan. 1
Understand the Insurance Cover Insurance is often treated as a necessary evil by car owners, but it is critical to know the cover that you are buying. Read the policy wordings, especially the exclusions, terms and conditions and the locations where cashless facilities are offered. Several policies cover glass, plastic parts and paint jobs only partially (or not at all!) and this could set you back several thousand rupees in the event of a simple bumper repair job. If you are not convinced with the policy that the dealer is offering you, you can approach other insurers and buy your own car insurance policy. Clarify Everything It s always better to clarify everything in writing with the dealership before you sign on the dotted line. This could go a long way in avoiding miscommunication and giving you a sense of comfort through the entire process. Some of the important points to clarify are: What happens if the price of the car changes between booking and delivery? Note the committed delivery date on paper. If you wish to take delivery on a special day, such as your birthday, or a festive occasion, please inform the dealership at the time of booking itself. What are the charges levied if you wish to cancel your booking? What terms apply if the waiting period stretches longer than committed? Please note all the promised accessories and discounts and the final on-road price that you would be liable to pay. 2
Pre- Steps in the Booking Process Check When Completed 1 Ask the dealership to give you a Proforma Invoice. This document will clearly state: Your name and address (this information might be used to register your car) Variant and colour, along with accessories and tentative delivery date The final on-road price, including all taxes, fees and discounts Terms and conditions pertaining to cancellation of your booking 2 Pay the Booking Amount Complete the booking form and make the payment of the booking amount. You are required to furnish a copy of your PAN card while booking the car. Please ensure you get a receipt for the payment from the dealership, and keep it safe. 3 4 Apply for your Car Loan (If Required) If you have decided to avail of a car loan to buy the car, you should apply for the loan right away. Please see the list below to prepare the documents required. Loan approvals can take from a few days to two weeks or so. Once your loan is approved, the bank will send the disbursed amount directly to the dealership. Final Payment You now need to make the final payment due to the dealership. This includes the balance amount towards the cost of the car, registration charges, insurance premium, taxes, etc. and one advance EMI (if you ve opted for a loan). Again, please ensure you get receipts from the dealership for all payments. 5 Pre-Registration Inspection Before the car is registered in your name, request the dealer to allow you to inspect the car. This might require you to visit the stock yard of the dealership. Tip: Carry our Pre-Registration / Pre-Delivery Checklist along with you 3
Pre- Steps in the Booking Process Check When Completed 6 Registration Once you are satisfied with the inspection, the dealer will register the car in your name, pay the required taxes on your behalf and process the final sales invoice. If you are arranging your own insurance, you need to buy the policy at this time. After completing the formalities, the dealer will intimate you about the delivery date. 7 Pre-Delivery Inspection Again, before accepting delivery of the car, request the dealer to allow you a pre-delivery inspection. This is similar to the pre-registration inspection. Tip: Our Pre-Registration / Pre-Delivery Checklist will help you again here. 8 Take Delivery That s it! Take delivery of your vehicle and distribute mithai or chocolates to everyone at the dealership. All that s left to do is to drive off in your brand new car. Congratulations from everyone at CarWale on your shiny new car. 4
Documents Required For Booking and Registration of the Car Proof of Nationality (any one of the following) School Leaving Certificate Voter ID Life Insurance Policy Certificate Proof of Identity (any one of the following) Driving License Employee ID Card (For government employees only) Proof of Address (any one of the following) Electricity Bill Ration Card Rent Agreement (if the house is rented) Purchase Agreement AND Society Maintenance Receipt (if electricity bill is in builder or society s name) Two recent passport-size photographs If you are buying the car on a company s name, you will also need Company s PAN card Company s proof of address Gumasta License When Applying for a Car Loan Proof of Identity (any one of the following) Driving License Voter's ID Card Proof of Address (any one of the following) Electricity Bill Ration Card Phone bill (Land line or Postpaid Mobile) Rent Agreement (if the house is rented) Purchase Agreement (if electricity bill is in builder or society's name) Society Maintenance Receipt (if electricity bill is in builder or society's name) Proof of Signature Proof of Income Last 3 Months' Salary Slips OR 2 years' Income Tax Returns Last 6 Months' Bank Statements Previous loan repayment record (other than home loan), if any Loan closure letter (other than home loan), if any Two recent passport-size photographs 5